SHAREHOLDERS of Namibia Breweries Limited (NBL) on Monday were 21,3% richer as the companys share price shot up, closing at N$42 per share. Those that wanted to sell were asking for N$51,99 per share.
The jump was from N$34,62 recorded for last week Friday, and was boosted by the announcement that Heineken NV was seeking to obtain full control of the company – buying out the Ohlthaver & List (O&L) Group, which has been the dominant shareholder.
These share price are as per the Namibia Stock Exchange daily reports from Monday.
How much Heineken is paying O&L remains to be disclosed, but the second part of the deal included NBL selling their 25% stake in Heineken SA (HSA) back to Heineken.
This deal alone was worth N$5,5 billion, which, if approved, would have NBL shareholders distributing that amount among themselves.
This would be done through a special dividend set at N$26,35, according to a circular issued to shareholders on Monday.
This dividend alone is much more than dividends have ever received since 2004.
The Namibians calculations indicate that a shareholder would have received N$13,61 per share for the period between 2004 and 2021.
Share prices shot up since demand for a piece of this dividend spiked on Monday alone.
Equity analysts believe there is nothing of concern that would not allow the deal to go through.
The transaction is still subject to regulatory approval.
Several questions have been raised about what the future holds for the O&L group upon selling its flagship brand, yet a new dawn is what the companys chairman, Sven Thieme, has promised.
In a video posted on the O&L groups social media, Thieme said the group did not have enough muscle power to allow NBL to expand, and handing it over to Heineken would be ideal.
Email: lazarus@namibian.com.na
Twitter: @Lasarus_A
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