Union Dicon Salt Plc says it has held a completion board meeting with regards to the company’s plan to sell 41 million ordinary shares to CBO Capital Partners via special placement.

The company said in the statement, made available to our correspondent on Thursday, that the meeting was held following the receipt of regulatory approvals from the Securities and Exchange Commission.

At the meeting, which was held on Wednesday, the company said all the offer documents to be issued in connection with the special placement were signed by the directors and the respective professional parties to the placement.

The management of CBO Capital, which is the core investor in Union Dicon, had at its Annual General Meeting in Lagos on Tuesday unveiled its expansion plans and growth strategy to the shareholders.

The Chairman, Union Dicon, Gen. Theophilus Danjuma (Retd), also spoke about the planned restructuring of the company at the AGM, expressing the optimism that the move would lead to improvements in the company’s operations sooner than later.

He said, “Following a strategic review, and in recognition of changes in the operating environment, the company is embarking on major diversification, by investing in the agricultural and industrial goods sector of the economy; we are committed to the continuous review and improvement of the company’s strategy and operations.

“This is also why both Chuka Mordi and Bex Nwawudu (directors at CBO Capital) have been ratified by the board as Directors, with Chuka Mordi being appointed Managing Director of Union Dicon Salt. With these changes, I am confident that our company will experience a significant improvement in activities before the end of the next financial year.”

For his part, Managing Director, Union Dicon Salt, Chuka Mordi, said a lot of work had already been done to restructure and reposition the company.

He said, “As one of the most iconic and recognised brands in Nigeria, Union Dicon Salt is set to branch out and diversify into agriculture and the manufacture of other agro-allied products.

“Significant amount of work has been put in place to achieve this mandate, with the necessary transactional approvals obtained from SEC, Nigerian Stock Exchange and other regulating institutions. We are moving ahead rapidly to ensure the company’s growth.

“With our dedicated management team and group of experts, we intend to transform Union Dicon Salt into a world class Agribusiness and food processing company that meets the economic, business and food needs of the Nigerian people.”

The company’s Memorandum and Articles of Association was amended at the AGM, to accommodate the diversification and expansion plans.

Established in 1984, Union Dicon Salt Plc operates in the Nigerian consumer goods sector, while CBO Capital is a leading Investment and project development firm based in Lagos.

It was established with the aim of servicing and supporting business growth in Africa. Its asset management subsidiary, CBO Investment Management is currently raising a $150m Private Equity Fund, for investment across the West African region.

Punch