Airtel Africa Plc yesterday announced the completion of a shareholding buyback on the Nigerian Exchange Limited (NGX).
A buyback is the repurchase of a company’s own shares from investors.
The Group’s Company Secretary, Airtel Africa, Simon O’Hara, in a statement posted on the NGX’s website put the total consideration for the 8.22 per cent minority shareholdings acquired under the buyback at N61 billion, which was equivalent to $147 million, using an exchange rate of N415.07/$1.
“Airtel Africa now holds 99.96 per cent ownership of its largest subsidiary,’’ it stated
The telecommunication company had on October 4, stated it had initiated a process under which it sought to buy back the 8.27 per cent minority shareholdings at an offer price of N55.81 per share.
The company added that: “Assuming all minority shareholders decide to tender their shares, the total consideration is estimated to be N61.24billion (c$148.1million using an exchange rate of N413.38 /USD). “This represents an open offer to all shareholders.”
Commenting on the transaction, the Managing Director, APT Securities and Funds Limited, Malam Garba Kurfi, said Airtel Africa bought the N61 billion worth of shares from its Nigeria, adding that, “the buyback does not have any business with Airtel Africa listed on the NGX.”