Acorn Petroleum Plc plans to raise about N2.25 billion through a private placement, The Nation has learnt.
Shareholders of Acorn Petroleum are expected to meet in early August to approve resolutions empowering the board to seek new equity capital from private investors.
According to the proposal, the company plans to raise additional equity capital through issuance of up to 1.56 billion ordinary shares of 50 kobo each at the price of N1.44k per share.
The shares would be issued from the company’s unissued share capital by way of a private placement to identified investors at a date and upon such terms and conditions to be determined by the directors and in compliance with all applicable laws and regulations.
Shareholders are expected to mandate the board to do all such things and exercise all such powers as may be necessary or incidental for achieving the private placement.
The shareholders, in general meeting, are also expected to amend the company’s articles of Association by deleting the existing Article 27 and replacing it with a new Article 27 which stipulates that :the directors may from time to time appoint one or more of their body or from any other source to the office of managing director and executive director for such period and on such terms as they think fit and subject to the term of any agreement entered into in any particular case , may revoke such appointment.
Also, any director so appointed as managing director shall not whilst holding that office be subject to retirement by rotation or be taken into account in terminating the rotation of retirement of directors, but if his appointment is terminated for any reason or cause, he automatically cease to be director.
Acorn Petroleum is listed on the NASD Plc, the over-the-counter market for trading in unlisted public limited liability company.
Established in 1981, Acorn Petroleum’s business includes trading in refined petroleum products in Nigeria and beyond, distribution of refined products through a chain of Acorn-branded retail outlets, aviation fueling business and storage and terminal operations.
The company plans to be a leader in the energy sector by delivering innovative solutions with integrity to stakeholders, through dynamic processes and motivated people.
“We are an organisation with an eye on the future. Our mastery of the environment, passion of our people, the soundness of our processes and the fairness of our practices work together to stay competitive and deliver superior value to our stakeholders,” the company stated in its mission statement.