Mobil Oil Nigeria Plc; a Nigerian subsidiary of the petroleum company ExxonMobil and the second largest producer of crude oil, has announced the official change of name to (11 Plc) pronounced as Double One Plc which would take effect come August 11th. This name change came along with the successful acquisition of 60% equity of Mobil Oil Nigeria Plc by NIPCO Plc.
NIPCO Investments Limited; a wholly owned subsidiary of NIPCO Plc completed the acquisition from ExxonMobil Corporation in a deal worth $248 million (N90 billion). The deal executed on the Nigerian Stock Exchange (NSE) is one of the biggest transactions in the downstream sector in recent years.
The document following the change of name reads, “Dealing Members are hereby notified that Mobil Oil Nigeria Plc has changed its name to 11 Plc (pronounced as Double One Plc). This is a sequel to the resolution passed by the company’s shareholders at its Annual General Meeting (AGM) held on 24 May 2017. The Company has since obtained a new Certificate of Incorporation from the Corporate Affairs Commission (CAC) bearing the new name. The change of name will be implemented by The Nigerian Stock Exchange with effect from Friday 11 August 2017,”.
This acquisition has also triggered a mandatory tender offer (MTO) bid by NIPCO, for the minority shareholders in line with Section 131 of the Investment and Securities Act (ISA) and Rule 445 of SEC, which make it mandatory for any institution or person that acquires at least 30 per cent of a company to make an MTO to other minority shareholders. Under the terms of the MTO, NIPCO is expected to offer to buy the minority shares at the same price of N417.12 used under the ExxonMobil transaction.