Transcorp Hotels’ shareholders to raise N9.9bn through rights issue

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Shareholders of Transcorp Hotels Plc have approved the company’s plan to raise the sum of N9.9 billion through a rights issue.

The approval was given by the Board of Directors of the company at the Extra-Ordinary General (EGM) held in Lagos on Monday 29th June 2020 and streamed live due to coronavirus.

According to the press release issued by the company, the shareholders mandated the company’s board of directors to issue up to 2,659,574,468 ordinary shares of 50k each from its unissued share capital by way of rights issue at N3.76 per share.

The rights issue would be on the basis of seven new ordinary shares for every 20 ordinary shares of 50k each held by existing shareholders of the company.

The shareholders also authorised the directors to appoint advisers and professional parties necessary for the transactions contemplated in the rights circular, upon such terms and conditions that the directors may deem appropriate.


Annual General Meeting of Trancorp Hotels PLC

The shareholders further authorised the board of directors to take all actions as they might deem necessary or advisable to effect the purpose and intent of the foregoing resolutions.

According to the press statement, this include without limitation the approval of the basis of allotment, allocation of proceeds of the shares issued, filing of any required documentation with the Securities and Exchange Commission (SEC), the Nigerian Stock Exchange and the Corporate Affairs Commission or any other regulatory authorities.

The Chairman of the Board of Directors of the company, Mr Emmanuel Nnorom, in his remark at the meeting, said the rights issue was still subject to obtaining requisite regulatory approvals from the SEC and other regulatory authorities.

He commended the shareholders for their support and encouragement, and assured them of enhanced value creation.

Transcorp Hotels Plc is owners of the Transcorp Hilton Abuja and Transcorp Hotels Calabar . It is one of Africa’s leading hospitality companies, committed to redefining service standards across the continent while remaining truly and authentically African


About the author

Joseph Chukwuma Oputa

Joseph Chukwuma Oputa is the Managing Editor of Maslow Businessnews and Physicians News publications published by Maslow Business News Publications, Lagos, Nigeria.

Joseph Oputa is a proud Alumnus of the prestigious Nigerian Institute of Journalism, Lagos and Federal Polytechnic, Bida, Niger State.

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