NSE ROUNDUP! Stock Exchange begins trading on Lafarge Africa’s N132bn rights issue
The Nigerian Stock Exchange (NSE) will today-Monday November 27, start trading on N131.65 billion rights issue of Lafarge Africa Plc, giving investors that want to trade on their shares opportunity to earn from the premium capital gain.
Lafarge Africa is raising N131.65 billion through a rights issue of 3.1 billion ordinary shares of 50 kobo each at N42.50 per share. The new shares have been pre-allotted to shareholders on the basis of five new ordinary shares for every nine ordinary shares held as at the close of business on November 1, 2017. The acceptance list, which opened on Friday November 24, 2017, will run till the close of business on Friday, December 15, 2017.
Head, Listings Regulation Department, Nigerian Stock Exchange (NSE), Godstime Iwenekhai, confirmed that the trading in the rights of Lafarge Africa Plc will commence today. The NSE opens for trading every working day at 10.30 am.
With the trading in rights, shareholders that want to renounce their shares-fully or partially, can trade the shares at the Exchange above the offer price. Lafarge Africa opens for trading today at the NSE at N50 per share, about 18 per cent premium on the rights price.
LafargeHolcim, which holds the majority equity stake of 72.59 per cent in Lafarge Africa, has already indicated it will subscribe fully to its rights. LafargeHolcim had proposed to pick up its rights under a debt-for-equities deal that will see conversion of LafargeHolcim’s dollar-based loan to equities.