Glaxo Consumer Nigeria Plc shareholders approve N17.42 per unit for buyback amid exit plans

In the midst of Glaxo Consumer Nigeria Plc’s exit strategy, minority shareholders have given their approval for the pharmaceutical firm’s shares to be acquired at N17.42 per unit, marking the final step in its delisting from the Nigerian Exchange Limited. The company communicated this decision in a corporate notice to NGX on Friday.

During a court-ordered meeting related to the Scheme of Arrangement, shareholders endorsed the share buyback rate and other resolutions. The notice indicated that, excluding Setfirst Limited and SmithKline Beecham Limited, who opted not to receive their initial cash distribution, shareholders would be paid N17.42 per share within ten business days of the effective date.

In August of this year, Glaxo Consumer Nigeria Plc revealed its intention to exit Nigeria after a presence of 51 years. The company’s board concluded that discontinuing operations was the only viable option.

The planned exit has raised concerns among financial experts about potential job losses and its impact on the country. However, the Director-General of the Securities and Exchange Commission, Lamido Yuguda, reassured that the companies exiting have less than a 2 per cent share in the capital market, alleviating concerns about broader market repercussions.