Airtel Africa PLC has announced a move to buy back shares held by its Nigerian subsidiary Airtel Networks Ltd. It has initiated a process to buy back the 8.27% minority shareholdings.
The telecommunications company, in a notice to the Nigerian Exchange (NGX) Limited, said it plans to make the acquisition at an offer price of N55.81 per share.
According to Ripples Nigeria calculation assuming all shareholders tender their shares, it would result in a total price of around NGN61.24 billion, or $148.1 million.
Part of the notice reads: The exchange rate of N413.38/$1 at the Investors and Exporters (I&E) segment of the foreign exchange (FX) market in Nigeria will be used for the transaction.
The move is coming as Airtel Africa last Friday announced that Mr. Olusegun Ogunsanya began his new role as Managing Director and Chief Executive.
Mr Ogunsanya joined the company in 2012 and was previously chief executive of Airtel Nigeria, responsible for the management of operations in the firm’s largest market.
Although, checks showed that the Nigerian market is yet to react to the various development.
However, shares of Airtel Africa on the London Stock Exchange, precisely on the FTSE-250 constituent, were down by 1.8 percent at 96.60 pence (approximately N534.90) on Monday at the time of this report.
Join the conversation
Support Ripples Nigeria, hold up solutions journalism
Balanced, fearless journalism driven by data comes at huge financial costs.
As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.
If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.
Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.
SPECIAL REPORT: Lack of legal provisions, cultural sentiments fueling marital r*pe in Nigeria
By Arinze Chijioke In the early days of Sandra Izuckukwu’s marriage in 2019, her husband, Sunday Izuchukwu, did everything she...
INVESTIGATION… LIVES ON THE LINE (IV): Surviving in a dangerous media environment
This investigation is on the unresolved killing of three Nigerian journalists while on assignments between 2019 and 2020. For six...
INVESTIGATION… LIVES ON THE LINE (III): Precious Owolabi was killed covering a protest
This investigation is on the unresolved killing of three Nigerian journalists while on assignments between 2019-2020. For six months, Nigerian...
INVESTIGATION… LIVES ON THE LINE (II): Alex Ogbu was telling a story but became the story
This four-part series investigation is on the unresolved killing of three Nigerian journalists while on assignments between 2019 and 2020....
SPECIAL REPORT… TELECOMS BLACKOUT: Nigeria’s latest tactic against banditry grounds businesses, forcing residents beyond borders
The fight against notorious bandits raining terror and kidnapping students in Northwest Nigeria took a new dimension in September as...