Notore Chemical Industries Seek To Gain Shareholders Approval to Increase Share Capital

Notore Chemical Industries has revealed that at its next Extraordinary General Meeting (EGM), it will seek permission from shareholders to raise an additional N105,791,884,375 through a private placement.

This announcement was stated in a notice of the EGM sent to the Nigerian Exchange Limited.

If approved by shareholders, the proposed capital raise by the firm will be facilitated through the issuance of 2,418,099,300 ordinary shares valued at N0.50k each, with a share price set at N43.75.

The statement reads,

• That the Company be and is hereby authorised to raise additional capital of N105,791,844,375 (One Hundred and Five Billion, Seven Hundred and Ninety-One Million, Eight Hundred and Forty-Four Thousand, Three Hundred and Seventy-Five Naira) by the issuance of 2,418,099,300 (Two Billion, Four Hundred and Eighteen Million, Ninety-Nine Thousand and Three Hundred) Ordinary Shares of N0.50k (Fifty Kobo) each at the price of N43.75 per share to an identified investor, by way of a Private Placement, on such dates and time and on such terms and conditions as may be determined by the Board of Directors (the “Board”) of the Company (the “Transaction”), subject to the satisfaction of certain conditions precedent including without limitation, obtaining the approvals of relevant regulatory authorities.

However, the statement by the firm, which was signed by Mr Otivbo Saleh, the Group Chief Legal Officer/Company Secretary, reveals that the amount gotten from the transaction will be implemented for the proper use of the Company as this process will be determined by the Board, as it has obtained approval from relevant regulatory authorities.

Also, the Board is looking forward to a positive response from shareholders concerning increasing the Share Capital of the Company from the sum of N2 billion to the sum of N2.015 billion by the creation and addition of 30.166 million ordinary shares of N0.50k each, such shares to rank pari passu in all respects with the existing shares in the capital of the Company.