CCNN Shareholders Meet Dec 4, To Approve Merger, Name Change

The board of Cement Company of Northern Nigeria Plc (CCNN), on Thursday, called for a shareholders’ meeting to, among others consider the merger of the company with Obu Cement Company Plc.
The meeting, slated for December 4, 2019, in Abuja, by an order of the Federal High Court (Lagos Division), is also to approve a proposal to merge CCNN with Obu Cement Company Plc, another member of the BUA Group.
The entire assets, liabilities, licenses, and undertakings, including real and intellectual property rights of CCNN Plc, shall be transferred to Obu Cement, in consideration for the issuance of 13,143,500,966 ordinary shares to shareholders of CCNN.
The entire share capital of CCNN will be cancelled and the company dissolved without being wound up and after which the entire shares of CCNN will be delisted from the NSE in line with a scheme of arrangement put forward by the company’s directors.
Consequently, “one scheme share shall be issued and allotted and credited as fully paid to the shareholders of CCNN for every one ordinary share of 50 kobo held in CCNN as at the terminal date.”
They shall, therefore, become shareholders of Obu Cement Company Plc.
Also on the same day and in line with the order of the court, shareholders of Obu Cement will meet to among others, increase its share capital N20bn by the creation of 39.96bn new ordinary shares of 50 kobo.
The meeting is also to approve a proposed name change to BUA Cement Plc and the Memorandum of Association amended to reflect the new name and its nominal share capital raised to N20bn dividend into 40bn ordinary shares of 50 kobo each.
Although not explicitly stated in the documents, feelers are that the emergent entity- BUA Cement Plc, will be listed on the NSE, following the delisting of CCNN Plc.
BUA Group, he assured is interested in helping to further deepen the Nigerian stock market and would therefore not be contemplating delisting CCNN”
At their separate meeting, shareholders of BUA Cement are expected to approve the scheme of arrangement dated September 2, 2019, and the directors be authorized to implement the scheme, subject to any modification thereof.
Closure data for the register of members, according to the scheme document dated October 17, 2019, for the purpose of the court-ordered meeting is November 25, 2019.