Oando Gets Shareholders’ Nod to Raise N500bn, Restructure $300m Debt

Oando, a Nigerian energy group listed in Lagos and Johannesburg, has received the green light from its shareholders to raise additional capital of N500 billion and restructure $300 million debt.

The company announced this on Tuesday in a notice regarding the resolutions passed at its 46th annual general meeting on Monday.

It said the additional capital could be raised in local or foreign currency in the Nigerian and/or international capital markets through the issuance of up to 10 billion ordinary shares, either as a standalone issue or by the establishment of capital raising programmes, whether by way of public offerings, private placements, debt to equity conversions, rights issues and/or other transaction modes.

Shareholders also authorised the board of directors to enter into capital restructuring agreements with key stakeholders and lenders and convert up to $300 million out of the company’s existing reserves-based lending debt into equity.

The board got shareholders’ approval “to establish a multi-instrument issuance programme in an amount up to $1.5 billion or its naira equivalent and to proceed with subsequent issuances of bonds, certificates, instruments and/or other securities under the programme, at such time and on such terms and conditions to be determined by the directors”.