Seplat Shares Jump 13% on LSE, Flat in Nigerian Bourse as Mobil Deal Clears

Seplat Shares Jump 13% on LSE, Flat in Nigerian Bourse as Mobil Deal Clears

Seplat Energy Plc has price remains steady at N1430.50, its seventh day trading print after the company gets approval to acquire the entire share capital of ExxonMobil’s interest in Mobil Producing Nigeria Unlimited.

Meanwhile, Seplat shares were up almost 13% on London Stock Exchange, and Exxon gained marginally on Monday’s close. On Monday, the company said it has received consent from the president of Nigeria for the acquisition of the company. 

The company said that President Muhammadu Buhari has approved that Ministerial Consent be granted to Seplat Energy Offshore Ltd. s–a Seplat Energy subsidiary– cash acquisition. On Feb. 25, Seplat Energy agreed to acquire the entire share capital of Mobil Producing Nigeria Unlimited for $1.28 billion plus up to $300 million contingent consideration.

It said the transformational transaction will create one of the largest independent energy companies on both the Nigerian and London Stock Exchanges, and bolster Seplat Energy’s ability to drive increased growth, profitability and overall stakeholder prosperity.

The approval is given by His Excellency, President Muhammadu Buhari in his capacity as the Honourable Minister of Petroleum Resources, with the granting of Ministerial Consent pursuant to the powers of the Minister under Paragraphs 14-16 of the First Schedule of the Petroleum Act, 1969.

The President further directed that the minister of state for petroleum resources should ensure that the ExxonMobil/Seplat Energy operating entity carries out operatorship of all the OMLs in the related shallow water assets to optimise production. READ:ExxonMobil to Sell Interest in Mobil Producing Nigeria

some_text

President’s directive is to support Nigeria’s OPEC quota in the short term as well as ensure accelerated development and monetisation of the gas resources in the assets for the Nigerian economy. #Seplat Shares Gain 13% on LSE, Flat in Nigeria after Mobil Deal Clears

Previous articleBonds, T-Bills Prices Drop on Sell Pressures, Naira Hits N431
Next articleChina Intensifies Crackdown on Cryptocurrency
MarketForces Africa, a Financial News Media Platform for Strategic Opinions about Economic Policies, Strategy & Corporate Analysis from today's Leading Professionals, Equity Analysts, Research Experts, Industrialists and, Entrepreneurs on the Risk and Opportunities Surrounding Industry Shaping Businesses and Ideas.