CAP Plc And Portland Paints Plc Engage Stakeholders Via Nigerian Stock Exchangeâs Facts Behind The Merger Date
10/02/2021
Chemical and Allied Products (CAP) Plc and Portland Paints and Products Nigeria (Portland Paints) Plc leveraged The Nigerian Stock Exchange’s (NSE or The Exchange) Facts Behind the Merger to engage stakeholders on Tuesday, 9 February 2021. The merger was also commemorated with the NSE’s digital Closing Gong Ceremony.
CAP and Portland Paints – both subsidiaries of UAC of Nigeria – recently secured the approval of shareholders to merge both businesses. By combining both companies, CAP Plc, being the resulting entity will expectedly benefit from the diversified revenue base, economies of scale and operational efficiencies that this merger presents.
Portland Paints and Products Nigeria Plc on Tuesday announced plans to transfer all its rights liabilities and business undertakings, including real property and intellectual property to Chemical Allied Products (CAP) Plc.
This followed the approval of the proposed merger plan between CAP Plc and Portland Paints Plc by the Federal High Court, Lagos.
In a statement sent to Nigeria Stocks Exchange on Tuesday, Portland paints said upon approval by the shareholders at the court-ordered meeting on February 18, the subjoined resolutions of the merger agreement would be effected.
In the arrangement, all employees and undertakings rights, powers, and duties of a personal character, which could not generally be assigned or performed vicariously will be transferred to CAP Plc.