Unilever Offloads Its Blue Band Butter To Sigma Bidco B.V

… Gets 50 kobo Dividend For 2017 Full Year

 Unilever Nigeria Plc Chairman His Majesty Nnaemekaa Achebe
Shareholders of Unilever Nigeria Plc on Thursday May 10, 2018 gave the board of directors’ approval for the proposed sale of the company’s spreads, Blue Band margarine business and all assets attached or deployed in connection to the business to Sigma Bidco B.V, an entity incorporated by KKR & Co LP.

Unilever Nigeria board of directors and shareholders reached an agreement at the company 93 Annual General Meeting (AGM) in Lagos. The decision to dispose Blue Band margarine business which is coming from Unilever Nigeria parent company in United Kingdom is still subject to regulatory approval.

Reacting to some shareholders concerns over the proposed sale of Blue Band Margarine and if Unilever Nigeria will not contemplate delisting from the floor of Nigerian Stock Exchange (NSE). Unilever Nigeria Chairman His Majesty Nnaemekaa Achebe assured that the company remains confident about the future of the company in the long term in Nigeria.

In his words “As we continue to focus on the right initiatives to delight our consumers, drive the penetration of our brands into all market segments and build strong brand equity, we trust that these efforts will continue to yield positive results to the benefit of all stakeholders.” however the company performance for 2017 showed sustained growth in the context of gradual improved economic conditions.

The result showed 30 percent increase in turnover from N69.7 billion in 2016 to N90.7 billion in 2017. Profit after tax increased significantly by 143 percent to N7.45 billion in 2017 from N3.07 billion that was reported same period in 2016. Operating profit improved significantly by 123percent to close at 12.9billion Naira from the 5.8billion Naira in 2016. The company is principally involved in the manufacture and marketing of foods and food ingredients and home and personal care products. It has manufacturing site in Oregun Lagos state and Agbara Ogun state.

Chairman stated that “In line with the dividend policy of Unilever Nigeria plc is to continue to retain earnings in the business to fund working capital and capital expenditure requirements.  The board favours the concept of shared prosperity and responsibility to ensure the company continues as a going concern. Therefore, the board subject to your approval proposed N2872502708.00 (two billion, eight hundred and seventy-two million, five hundred and two thousand, seven hundred and eighty Naira) translated to 50kobo gross per share as the dividend pay out to the members of Unilever Nigeria Plc in respect of the year ended December31, 2017.”

According to the Board,  the Company 2017 audited financial statement for the period ended December 31, in which a dividend of 50 kobo was approved by the shareholders. Payment date is Friday May 11, 2018, to shareholders who are on the company’s register of members at the close of business on Friday April 13, 2018.

 

 

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