FBN Holdings Plc has notified the Nigerian Stock Exchange of ongoing discussions with its partner, Sanlam Emerging Markets, the owners of 35 per cent equity in FBN Insurance Limited.
According to the Nigerian Investment Promotion Commission (NIPC), the notification was about the proposed sale of the company’s 65 per cent equity in FBN Insurance Limited.
A formal notice sent to the Exchange and signed by the Company Secretary, Seye Kosoko, FBNH stated that the move was in line with the “group’s strategic objectives”, adding that they were engaging the regulators for the necessary approval.
FBN Holdings however assured the Exchange that further announcement would be made if the transaction was concluded.
The proposed divestment was said to be a strategic business decision for the FBNH.
When completed, the transaction will involve the transfer of FBN Holdings’ 65 per cent stake in the FBN Insurance Limited to Sanlam.
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The notification is one of the statutory steps required of listed companies when considering a market-sensitive decision or transaction.
In deference to Rule 17.5 of the Rule Book of the Exchange 2015, FBN Holdings first notified the market of the development in the Directors’ Report Section of its Audited Financial Statements for the year ended December 31, 2019 which was released to the Exchange on Monday April 6, 2016.
Yetunde Adegoke
