Preline Limited Splashes N17.55 billion On Eterna Plc’s Shares

Preline Limited acquired 1.3 million shares of Nigerian oil and gas firm, Eterna Plc, after triggering a mandatory takeover of the firm, to increase its stake.

The company had previously acquired over 769 million stakes in Eterna to effect a majority takeover of the oil and gas firm last year, a move that reduces the public’s control over the organisation. 

Substantial shareholders like Lenux Integrated Resources Limited, Global Energy & Raw Materials Limited, Meristem Wealth Management Limited sold the shares, which represents 60.98 per cent stake, in August 2021. 

Almost a year after, Preline Limited is increasing its stake with the acquisition of 1.3 million shares worth N17.55 billion, a corporate document sent to the capital market authority, Nigerian Exchange Limited (NGX) reads. 

Eterna had informed its minority shareolders and the investing public in August 2022 that Preline Limited had offered to trigger the mandatory takeover backed by the rules and regulations of the capital market regulator, Nigerian Securities and Exchange Commission’s (SEC). 

“We wish to announce to the Nigerian Exchange Limited and the general public that following the granting of the “Authority to proceed” by the Securities and Exchange Commissions and our earlier announcement dated 19th April 2022 in this regard, Preline Limited has notified Eterna Plc of the completion of the Mandatory Takeover of 1,300,000 ordinary shares equivalent to 0.10% equity stake in Eterna Plc from other shareholders at a price of N13.50 per share. 

“This notification is in fulfilment of our disclosure obligations in line with Regulatory guidelines and our corporate responsibility to our stakeholders.” The statement reads.