7UP shareholders Affelka scheme of arrangement

Seven-Up Bottling Company PLC shareholders have approved the Scheme of Arrangement for the acquisition of 26.8 per cent shares by Affelka in South Africa.
The shareholders gave the approval at a court-ordered meeting, convened at the instance of the Federal High Court, in Lagos.
Affelka S.A. with the approval would now increase its ownership of the company to 100 per cent by acquiring all the outstanding and issued shares, previously held by the minority shareholders.
The majority shareholders would make a payment of N125 per scheme share to each shareholder in consideration for the transfer of the shares.
The payment represented a 22.6 per cent premium on the last traded share price of Seven-up on January 9, and a 27.6 per cent premium on the share price as at close of August 9, 2017, being the last business day prior to the date the initial proposal was received from Affelka.
The company’s Chairman, Faysal El-Khalil, said, at the meeting, that the scheme would create considerable benefits and opportunities for all stakeholders.
El-Khalil said that Affelka had given an assurance of a long-term commitment to the company and Nigeria in general.
“We believe that the scheme will create considerable benefits and opportunities for all stakeholders of Seven-Up Bottling Company and will serve to protect minority shareholders from a continuous erosion of value.
“Furthermore, Seven-Up Bottling Company PLC is again assured of Affelka’s long term commitment to the company and Nigeria,’’ he said.
The National Co-ordinator, Progressive Shareholders Association of Nigeria, Boniface Okezie, said that the shareholders approved the scheme, because of the price review.
Okezie said that the shareholders had no choice than to approve the arrangement, since the Securities and Exchange Commission (SEC) and the Nigerian Stock Exchange (NSE), had their consent without fighting for the minority shareholders.
He said that the majority shareholders reviewed the price to N125 per share from N112, due to minority shareholders’ stance and intervention for better treatment.
Okezie said that the capital market regulators – SEC and NSE – had collected their fees without fighting for them.
He called on the company to stick to the promises by ensuring that no job would be lost  in spite de-listing from the exchange.