Africa’s largest cement producer, Dangote Cement Plc, has announced its shares buyback programme will takeoff in mid July having secured the backing of its Shareholders at the extraordinary meeting which held in December 2022.
The share repurchasing programme which was said aimed at enhancing the value of the company’s shareholders, targets N50.1 billion worth of shares, estimated to constitute a percentage of the company’s current total share issued which entails 16,873,559,251shares at N300.1 per share.
The first tranche of the share buyback in which 168,735,593 ordinary shares of 50kobo each will be repurchased at N300.1 per share is scheduled to commence on July 17 to July 18 or when the entire tranche 1 shares will be completely taken over.
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A statement made available at the Nigerian Exchange Group, NGX, by Dangote Cement Plc, DCP, on Thursday, showed DCP through its appointed stockbrokers, will be conducting the tranche 1 of the share buyback via the open market of the NXG subject to the prevailing market conditions and under the current daily trading rules of the NGX.
The statement reads in part: “DCP would not be under any obligation whatsoever to purchase any or all of the DCP shares put on offer over the duration of Tranche I.
“The shares being bought back by the Company under the Share Buy-Back Programme will be held as treasury shares, as permissible under CAMA. Execution of this Tranche I is not expected to have any material impact on the Company’s financial position.
“Dangote Cement shareholders seeking to participate in Tranche I of the Share Buy-Back Programme are advised to contact their stockbrokers or any other independent professional adviser registered as a capital market operator by the SEC for further guidance on the submission of trades on the NGX’s trading platform.
“DCP will provide weekly updates on the progress of Tranche I of the Programme on its website over the duration of this tranche. The Company said it will continue to monitor the evolving business environment and market conditions, in making decisions on subsequent tranches of the Share Buy-Back Programme.
“Shareholders and investors are advised to exercise caution when dealing in the securities of Dangote Cement until the completion of Tranche I of the Share Buy-Back Programme. An announcement will be published upon completion of Tranche I of the Programme,” it stated.
