Transcorp Hotels gets shareholders’ approval to raise N9.9bn via Rights Issue

At an Extraordinary General Meeting (EGM) of the members of Transcorp Hotels Plc held on Monday, June 29, 2020 in Lagos, the shareholders considered and thought fit the approval for the Board of Directors to issue up to 2,659,574,468 ordinary shares of 50 kobo each from the Company’s unissued share capital by way of Rights Issue at N3.76 per share.  

The Rights Issue is on the basis of seven (7) new ordinary shares for every twenty (20) ordinary shares of 50 kobo each held by existing shareholders of the Company, or in such proportion, at such time, for such consideration and upon such terms and conditions as the Directors may deem it fit.

This is still subject to obtaining requisite regulatory approvals from the Securities and Exchange Commission (SEC) and other regulatory authorities.

The EGM held at The Lagoon Restaurants, 1c Ozumba Mbadiwe Road, Victoria Island, Lagos started at 10am and ended at 10.23 am after a closing prayer.

Also at the meeting, the shareholders authorized that the directors should appoint such advisers and professional parties that they deem necessary for the transactions contemplated in the Rights Circular, upon such terms and conditions that the Directors may deem appropriate.

The shareholders also authorized that the Board of Directors should take all such actions as they may deem necessary or advisable in order to effect the purpose and intent of the foregoing resolutions, including without limitation the approval of the basis of allotment, allocation of proceeds of the shares issued, filing of any required documentation with the Securities and Exchange Commission, the Nigerian Stock Exchange (NSE) and the Corporate Affairs Commission (CAC) or any other regulatory authorities as well as entering into any agreement necessary to give effect to the resolutions.