Unilever Group, the parent company of Unilever Nigeria Plc, has disclosed its intention to divest its spreads business as part of a strategic review aimed at accelerating sustainable shareholder value creation.
Unilever Nigeria yesterday confirmed the plan to sell the spreads business but added that the announcement has no immediate effect on the activities of the Nigerian subsidiary. Unilever Nigeria’s share price remained unchanged at N33.15 per share at the Nigerian Stock Exchange (NSE).
Chairman, Marjin Dekkers, said the proposed sale of the spreads business and other restructurings were fully supported by the board of directors adding that the divestment was part of a global restructuring of its businesses.
According to him, the review that the board of directors of the Unilever Group has undertaken has been detailed and comprehensive and it has confirmed that the group’s model of long-term shareholder value creation has been successful and remains as valid as ever.
Chief executive of Unilever, Paul Polman, comfirmed that the group has decided that the sale of the spreads business would lead to accelerated development of its portfolio.
“After a long history in Unilever, we have decided that the future of the spreads business now lies outside the Group,” Polman said.
Unilever UK’s total shareholdings in Unilever Nigeria only increased by 8.49 per cent from 50.04 per cent to 58.53 per cent after the conclusion of acquisition bid.
According to the avaliable records, Nigerian shareholders had about a total of N43 billion worhts of share-acquisition bid by Unilever Overseas Holdings. Uncomfrimed report, as it was reported saying “Unilever UK had resorted to mopping up the shares of Unilever Nigeria through the Nigerian Stock Exchange (NSE)” if it so then United Kingdom is aiming at acquiring a quarter of Unilever Nigeria’s shares to increase the multinational’s majority equity stake in the Nigerian subsidiary to 75 per cent.