Preline Acquires 60.98% Stake In Eterna, Shares Close at N8.00 Per Share

Kayode Tokede

Preline Limited, an investment vehicle of RainOil Limited acquired 60.98per cent stake in Eterna Plc in a deal consummated on the Nigerian Exchange Limited (NGX).

According to the information released on the floor of the NGX, the transaction involved the crossing of a total of 794,969,774 shares of Eterna Plc in an off-market trade at N13.50 per share. The transaction was a negotiated cross deal by Cordros Securities Limited, acting for the Buyer

Eterna Plc had earlier informed the exchange and the market that some of the company’s substantial shareholders executed a Sale and Purchase Agreement (SPA) that enables Preline Limited acquire 794,969,774 shares of Eterna Plc representing 60.98per cent in the Company and the required approvals were being obtained from the regulators.

The acquisition will allow RainOil Limited to further scale up its business and increase its footprints across Nigeria; confirming its position as a formidable indigenous player in the downstream oil and gas sector.

Investigation revealed that Cordros Capital Limited acted as Financial Advisers to the transaction while Cordros Securities Limited acted as the Designated Stockbroker to Preline Limited.

However, Etern in its nine months unaudited result and accounts reported N566.9million profit before tax against N407.18million in nine months ended September 30, 2021.

The petroleum marketing company show its profit for the period closing at N415.99million in nine months of 2021 from N193.57million reported in nine months of 2020.

The company’s share on the NGX closed last week at N8.00 per share.