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Olam completes 120b naira acquisition of Nigeria flour and pasta maker

AGRI and food giant Olam International has completed its acquisition of Nigerian flour and pasta manufacturer Dangote Flour Mills for 120 billion naira (S$450.4 million).

This was after it had obtained approval from Dangote shareholders for the scheme arrangement, which sees Olam subsidiary Crown Flour Mills acquiring all of Dangote’s shares.

Trading in Dangote shares have been placed on full suspension and the company will consequently be delisted from the Nigerian stock exchange’s main board.

The acquisition amount was changed from 130 billion naira to 120 billion naira in an addendum announced on Aug 5. This was following adjustments for Dangote’s net working capital and net debt as at March 31, along with excluding existing shares held by Crown Flour Mills. 

Olam shares closed 0.6 per cent or one Singapore cent higher on Thursday at S$1.83.

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