This adjustment was disclosed in the latest update submitted to the Nigerian Exchange Limited on Thursday.
The initial announcement of the buyback was made in September when PZ Cussons Nigeria revealed that its majority shareholder, PZ Cussons (Holdings) Limited, intended to acquire shares held by other shareholders.
Acting Company Secretary Olubukola Olonade-Agaga explained that the board, after careful consideration with advisers and an independent fairness opinion, decided to raise the offer price to N23 per share.
The statement also noted that the board believes the revised offer represents fair value for minority shareholders and recommended their approval.
The revised offer of N23 per share represents a 35% premium over the company’s share price of N17 on August 17, 2023, the last traded price before the offer date.
As of the market close on Thursday, PZ Cussons’ stocks were valued at N21.05 on the NGX.
The board emphasized the challenges the company faces in obtaining foreign currencies to settle trade debts and other obligations, highlighting its dependence on the PZ Cussons Group for financial support.
The buyback is intended to be executed under a Scheme of Arrangement in compliance with applicable rules and regulations.
Pending ‘No-objection’ from the Securities and Exchange Commission and a court order, the board has approved the convening of a general meeting for the company’s shareholders.
In the September notice, PZ Cussons stated that the transaction was deemed necessary by the PZ Cussons Group to simplify and strengthen operations in Nigeria, fostering a more agile and innovative business. PZ Cussons has been a presence in Nigeria since 1899.