By Nkiruka Nnorom
AFRICAN Prudential Plc, in a special off market transaction, has acquired 2.08 billion units of ordinary shares of United Bank for Africa, UBA Plc, at N9.47 per unit amounting to N19.7 billion.
The 2.08 billion shares crossed by both parties represent 5.7 per cent of UBA’s total outstanding shares. At N9.47 per share, the transaction represents 7.6 per cent discount on the ruling market price on Tuesday, July, 18, 2017 when the deal was announced. Market operators said it was a normal market transaction, negotiated between the two parties to which the Nigerian Stock Exchange, NSE, is aware. According to the bank, the shares were crossed from its Staff Share Investment Trust Scheme, SSIT.
In a statement by the Group Company Secretary, Bill Odum, the bank said the share transfer was part of the process of executing a special resolution reached by the shareholders of the company at the last Annual General Meeting, AGM, on April 8, 2016 to cancel the shares held under the SSIT.
“Upon cancellation of the 2.08 billion units of ordinary shares, the outstanding shares of UBA will be reduced by the amount accordingly,” he said.