Ignite moves to take over Ardova in N16.9bn deal

ARDOVA Plc has notified the Nigerian Exchange Limited (NGX) that Ignite Investments & Commodities Limited has approached the Board of Directors of the Company with an intention to acquire the shares held by other shareholders of the Company at an offer price of N17.38 per share, valuing the deal of N16.9 billion.

The offer price of N17.38 represents a premium of 22.44 percent and 24.38 percent to the 30-day and 60-day volume weighted average share price of N14.19 and N13.97 respectively on November 30, 2022, being the last trading day prior to the Offer).

“It is intended that the Proposed Transaction will be implemented under a Scheme of Arrangement in line with section 715 of the Companies and Allied Matters Act, No.3 of 2020 (as amended) and other applicable rules and regulations.

“The Proposed Transaction is subject to the review and clearance of the Securities and Exchange Commission (SEC) as well as the approval of the shareholders of the Company,” Ardova said in a statement at the NGX.

“The terms and conditions of the Proposed Transaction will be provided in the Scheme Document which will be dispatched to all shareholders following the receipt of an order from the Federal High Court to convene a Court Ordered Meeting.

“If the conditions of the Proposed Transaction are satisfied and same is sanctioned by the Federal High Court, the Company would be delisted from NGX. Further developments will be communicated to shareholders in due course. Ardova Shareholders and members of the public are advised to exercise caution in dealing in Ardova’s shares until further information is provided,” Ardova stated.

Ignite Investments & Commodities Limited, is the investment portfolio of Ardova’s majority shareholder. It’s Chairman, Abdulwasiu Sowami holds 74.1 per cent of Ardova’s issued shares and is looking to acquire the rest 25.9 per cent equivalent to 970.7 million units currently in the hands of the investing public.

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