The American oil giant, ExxonMobil Oil Corporation has reached firm agreement to sell its majority equity stake of 60 per cent in Mobil Oil Nigeria Plc to a Nigerian indigenous firm, Nipco Plc.
In a regulatory the firm filed Wednesday at the Nigerian Stock Exchange (NSE), Mobil Oil Nigeria confirmed that it has received the communication of the divestment plan from ExxonMobil Oil Corporation.
Under the deal, ExxonMobil Oil Corporation will sell its majority equity stake of 60 per cent to Nipco Investments Limited, a wholly-owned subsidiary of Nipco Plc. However, the deal is still subject to approvals of the Securities and Exchange Commission (SEC), Nigerian Stock Exchange (NSE) and other regulatory agencies.
Market sources said they expected regulatory authorities to issue “no objection” clearance to the deal, citing similar divestment by Oando Plc of its downstream and midstream oil and gas assets.
Formerly known as IPMAN Petroleum Marketing Company Limited (IPMCL), Nipco was incorporated by members of the Independent Marketers Association of Nigeria (IPMAN) on January 8th, 2001 as a private limited liability company to participate in the distribution of white petroleum products business in Nigeria.
Mobil Oil Nigeria was incorporated as a private limited liability company in 1951 and converted to a public limited liability company in 1978. Its shares were listed on the Nigerian Stock Exchange (NSE) in 1979. Mobil Oil Nigeria is a subsidiary of Mobil Oil Corporation of the United States of America, which holds 60 per cent equity stake.
With more than 200 retail outlets spread across the 36 states of Nigeria and three ultra-modern multi-purpose plants located in Apapa, Lagos State, Mobil Oil Nigeria is one of the dominant petroleum-marketing companies and it particularly holds distinction as the earliest petroleum-marketing company to be incorporated in Nigeria.
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