LEADING NIGERIAN ENERGY company Oando has offered its third rights issue in an attempt to raise capital to fund the US$1.79bn acquisition of the Nigerian operations of US multinational energy corporation ConocoPhillips, and the partial settlement of its existing debt. Oando plans to raise US$340mn through the exercise which would see its issued shares increase to 6.7bn from 2.27bn. Wale Tinubu, the company CEO, said in an official statement: "We count on the consistent support of our shareholders to seize the opportunity to take up their rights and benefit from the higher-margin value creation the [acquisition] offers." Since its share value climaxed at 243 naira (US$1.5) per share in 2008, the company has seen its share price plummet. Currently, Oando trades for about 7 cent/share on the floor of the Nigerian Stock Exchange (NSE). The company urged its shareholders to subscribe for more shares to help boost the fundraising.
展开▼
