Shares from the initial
Public offer of
Transnational Corporation PLC will be listed on the
Nigerian Stock Exchange today.
The News Agency of
Nigeria reports that the listing is coming more than five months after the closure of the offer.
Although
Transcorp , NSE and the
Securities and
Exchange Commission were silent on reasons for the delay in the listing, NAN quoted authoritative market sources that the delay was caused by “high level” investigation into activities of the
Company by a the Economic and
Financial Crimes Commission.
The
Company had between December 26, 2006 and February 14, 2007 offered, through the NSE, eight billion ordinary of 50k at N7.50 per shares to the
Public and was intended to raise N60bn from the
Capital market.
In a joint statement, the seven issuing houses to the offer on August 6, admitted that the offer was only 36.2 per cent successful.
The issuing houses attributed
Investors ’
Low response to the offer to doubts on the quality of the
Company ’s
Assets , which
Investors claimed, were mainly
Assets acquired through privatisation and which needed to be turned around.
Transcorp spokesman, Mr.
Adedayo Ojo, confirmed that the offer was 36.2 per cent successful and that the
Company was satisfied with the performance.
He said, “If you look at what we have done over the past 18 months, we have raised approximately $1bn from the
Nigerian Capital market.”
“Given our history and
age , compared with other
Companies elsewhere, we have been hugely successful.’’
Ojo said also that the
Company had been able to raise as much money as it needed and was considering the
Sale of part of
Equity stake in the
Nigerian Telecommunications
Limited .
Transcorp was set up by a
Group of
Nigerian businessmen in 2005 with the support of former President
Olusegun Obasanjo. Before the IPO, the
Company had about 2,400 shareholders through a previous private placement and is core investor in
Transcorp Hilton
Hotel and NITEL. - Punch
