FMN Transfers Assets in Division to Subsidiary
Nigerian agribusiness company, Flour Mills of Nigeria Plc has transferred its assets in one of its divisions Golden Penny Fertiliser to its wholly owned agro-allied company, Golden Fertiliser Company.
The firm in a statement made available to the Nigerian Stock Exchange (NSE) on Thursday said that the transfer of assets was done in a scheme of arrangement, which it filed with the Securities and Exchange Commission (SEC).
It described the move as a well-thought-out and ongoing restructuring process within the group, saying the process was expected to improve synergy, increase efficiency and ultimately position the company for greater operational and financial flexibility to ensure continued business growth.
The statement read in part, “Upon approval by SEC and on completion of the restructuring process, Golden Fertiliser Company Limited will serve as a holding company for all FMN Group’s agro-allied businesses.
“The proposed restructuring will be affected through a Scheme of Arrangement under part XII of the Investment and Securities Act No 29 of 2007 and Section 539 of the Companies and Allied Matters Act of 2004.”
It said further details would be communicated in due course and when the need arose.