Guinness Nigeria Reaffirms Commitment to Public Listing Amidst Mandatory Takeover Offer
Guinness Nigeria Plc, a prominent player in the Nigerian beverage industry, has unequivocally stated its commitment to maintaining its listing on the Nigerian Exchange (NGX) despite the ongoing mandatory takeover offer (MTO) by N Seven Nigeria Limited, a subsidiary of the Tolaram Group. This assurance comes amidst the acquisition of Diageo’s shareholding in Guinness Nigeria by Tolaram, a significant development that triggered the MTO under regulatory provisions. The MTO, targeting up to 481.36 million ordinary shares at a price of N81.60 per share, is a procedural step required by the Investment and Securities Act and the Securities and Exchange Commission (SEC) rules governing mergers and acquisitions in Nigeria. Guinness Nigeria’s management has emphasized that this corporate action will not impact its operations or its continued presence on the NGX, underscoring its dedication to its stakeholders and its legacy of excellence.
The MTO process, with an acceptance period running from March 14, 2025, to April 4, 2025, offers qualifying shareholders the opportunity to tender their shares. The company has ensured transparency and accessibility of information by making the Offer Document available through various channels, including Veritas Registrars Limited and the Guinness Nigeria website. Shareholders who have not received the document by March 7, 2025, are encouraged to utilize these resources to access the details of the offer. Furthermore, Guinness Nigeria has confirmed that even after the MTO, its shareholding structure will remain compliant with the NGX’s free float requirements, guaranteeing the continued tradability of its shares.
Guinness Nigeria’s commitment to maintaining its listing on the NGX is a testament to its belief in the Nigerian capital market and its desire to remain accessible to its diverse investor base. The company’s managing director, Girish Sharma, has reiterated that the MTO is a regulatory process and does not signify any shift in the company’s strategic direction or operational focus. He emphasizes the company’s 75-year legacy of providing quality products and value to stakeholders, underscoring that this commitment remains unwavering. This continued listing provides investors with ongoing access to Guinness Nigeria’s shares, allowing them to participate in the company’s future growth and performance.
Beyond the MTO process, Guinness Nigeria has emphasized its commitment to stability and continuity in its leadership and governance structure. The company has assured employees and investors that there will be no immediate changes to the board composition, management team, or corporate governance framework, apart from routine adjustments. This assurance is crucial in maintaining confidence and preventing disruption during this transitional period. Guinness Nigeria also affirms its commitment to job security for its workforce, emphasizing that the MTO will not lead to job losses. It is committed to its employees’ well-being and professional development, recognizing their contribution to the company’s success.
Furthermore, Guinness Nigeria has reinforced its dedication to its long-term growth strategy, focusing on business expansion and delivering sustained value to its stakeholders. These pronouncements are meant to reassure investors that the company’s strategic priorities remain unchanged and that it is committed to creating long-term value. The company’s dedication to talent development also highlights its commitment to building a skilled and motivated workforce to drive future growth and innovation.
In conclusion, Guinness Nigeria’s affirmation of its continued listing on the NGX, its commitment to its workforce, and its focus on long-term growth provide a clear message of stability and confidence to stakeholders amidst the MTO process. The company’s transparency and proactive communication demonstrate its commitment to good corporate governance and its respect for its investors. The MTO is a procedural step stemming from the recent change in ownership structure, and Guinness Nigeria is committed to navigating this process while maintaining its operational focus and its commitment to creating value for all stakeholders.
