Flour Mills of Nigeria (FMN) Plc Monday announced its agreement to acquire 71.69% equity position in Honeywell Flour Mills Plc.
FMN has also entered into an agreement with the First Bank of Nigeria (FBN) Holding Group to acquire it 5.06% equity in Honeywell Flour Mills Plc.
In a circular sent to the Nigerian Stock Exchange group, the management agreed that upon completion of the acquisition and subject to obtaining all requisite regulatory approvals, FMN is prepared to hold approximately 76.75% equity interest in Honeywell Flour Mill Plc.
Commenting on the transaction, Omoboyede Olusanya, Group Managing Director of FMN PLC said it is part of a global strategy.
“The proposed transaction is part of a global growth strategy which is aligned with our vision to not only be an industry leader, but also, a national champion for Nigeria in the Food and Agro-allied industries," Olusanya said.
He advised shareholders and potential investors to exercise caution when dealing in the shares FMN until a further announcement is made.