News Column

Lafarge Shareholders Approve N100 Billion New Capital

July 9, 2014

Bamidele Ogunwusi

Shareholders of leading building materials' producer, Lafarge Cement WAPCO on Wednesday, at its 55th annual general meeting, unanimously approved and authorize the board of the company to raise additional capital of N100 billion through a public offer of debt and or equity in the domestic and or international capital market.

They also approved among other things, the dividend of 330 kobo per share proposed by the board of the company for the 2013 financial. This represents an increase of 175 percent from the 120 kobo approved in the comparable period of 2012.

The meeting also authorized the board and management of the company to acquire an equity interest in Lafarge South Africa Holdings Limited by acquiring 32.823 million ordinary shares in Lafarge South Africa Holdings Limited held by Financiere Lafarge SAS, which ordinary shares represent 100 percent of the issue share capital of the company.

The meeting also authorized the acquisition of equity interest in Egyptian Cement Holdings by acquiring 91 ordinary shares held by Lafarge Cement International which ordinary shares represents 50 percent of the company; while Lafarge Nigeria was also given approval to acquire an equity interest in Ashaka Cement by acquiring 1.312 million ordinary shares of the company held by Lafarge Nigeria (UK) Limited, which ordinary shares represent 58.61 percent.

In all, shareholders at the meeting approved eleven resolutions that have immediate and long term bearing on the company and in a note the shareholders, the company hinted several benefits of the transactions.

The transaction, according to the company will enlarge it into one of the leading building materials companies in Sub-Saharan Africa with a strong presence in Africa's two largest economies, Nigeria and South Africa.

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Source: AllAfrica

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