Directors of C & I Leasing, on Wednesday, announced plans for an extraordinary general meeting wherein its directors will seek the nod of shareholders to convert a $10m loan stock in favour of Neoma Africa Fund, LLC (formerly Aureos Africa Fund LLC).

In a notice dated July 23, 2020, by Mbanugo Udenze, the company secretary, this anticipated approval at the meeting slated for November 3, 2020, in Lagos, will raise the company’s outstanding shares by 987,500,000 units

Arising from the conversion of the US$10m unsecured variable coupon redeemable convertible loan stock in registered units of N4.75, shareholders will also be informed that “the company shall not engage in any capital raising through the issuance of equity securities such as ordinary shares, preferred shares, bonds, loans, warrants, rights, options or other similar instruments or securities which are convertible into or exercisable or exchangeable.

The eventual conversion of the unsecured variable coupon redeemable loan stock, according to an explanatory note, was “contemplated under the loan stock agreement entered into on January 14, 2010 (as amended on August 31, 2016 and June 17, 2020 between the company and Neoma Africa Fund LLC (formerly Aureos Africa Fund, LLC).”

The placement memorandum for the loan stock was issued by C & I Leasing on December 29, 2009, following which May 24, 2017, it passed a resolution for the conversion either in whole or in part of the US$10m convertible loan stocks issued to Abraaj Nigeria Advisers Limited.