MON 22 NOV, 2021-theGBJournal- Flour Mills of Nigeria Plc (FMN) today announced it has reached an agreement to secure majority stake holding in Honeywell Flour Mills Plc (HFMP) after it sealed a sweetheart deal with Honeywell Group and First Bank of Nigeria Limited.
The deals include an agreement with Honeywell Group Limited (HGL), the majority shareholder of Honeywell Flour Mills Plc, to acquire a 71.69% majority shareholding interest in Honeywell Flour Mills and an agreement with First Bank of Nigeria Limited to acquire the Bank’s 5.06% equity in Honeywell Flour Mills.
Upon completion of the acquisitions, and subject to obtaining all requisite regulatory approvals, FMN is set hold a total of 76.75% equity interest in Honeywell Flour Mills Plc.
‘’Given FMN’s parallel negotiations for both stakes culminating in the agreements being signed on the same date, the basis of arriving at key commercial terms including final equity price per share, will be the same. The price payable to First Bank will be the same Honeywell Group Limited’s,’’ FMN said in a notification to the NGX Exchange.
Mr Omoboyede Olusanya, the Group Managing Director of FMN said the proposed transaction is part of the firm’s global strategy, ‘’which is aligned with our vision to not only be an industry leader, but also, a national champion for Nigeria in the Food and Agro-allied industries.’’
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