Oando may delist from NGX after minority shareholders’ buyout
The board of Oando Plc says it may seek voluntary delisting of its shares from the Nigerian Exchange Limited (NGX) if ongoing plans to buy out the 42.63 per cent minority shares by Ocean and Oil Development Partners Limited (OODP) are approved by all the minority shareholders at a court-ordered meeting.
The decision, the group said, in a statement by Oando Plc Chief Compliance Officer and Company Secretary, Ayotola Jagun, arose from a court ruling following a petition filed on March 25, 2021, at the Federal High Court, Lagos by 14 shareholders of Oando. The shareholders, she said, hold a total of 299,257,869 shares, on behalf of Oando’s minority shareholders led by Venus Construction Company Limited.
The suit was brought under sections 353, 354 and 355 of the Companies and Allied Matters Act 2020 (CAMA), with OODP and Oando listed as first and second respondents respectively.
The statement put OODP’s shareholding in Oando at 57.37 per cent while the minority shareholders own 42.63 per cent.
“The petitioners requested that the court order the buyout of their entire shareholding either by OODP or Oando,” based on their belief that such would be in their best interest as well as that of the company.
“In its cross-petition, OODP had stated its willingness to buy out all the minority shareholders of Oando via a court-ordered Scheme of Arrangement (pursuant to Section 715 of the Companies and Allied Matters Act 2020) to be approved by Oando’s shareholders at a general meeting.”