CAP, Portland Paints merger takes effect

By Kayode Tokede

The scheme of merger between CAP PLC and Portland Paints and Products Nigeria Plc became effective on Thursday, July 1, 2021 following the approval of the scheme of merger at the respective court-ordered meetings of the two firms held on February 18, 2021.

The two firms in a notice at the Nigerian Exchange Limited said the Federal High Court of Nigeria, on Tuesday, June 29, 2021, granted an order sanctioning the Merger.

“Consequently, CAP PLC and Portland Paints will, from the Effective Date, legally operate as one entity under CAP PLC (being the surviving enlarged entity) and Portland Paints will be dissolved without being wound up,” the note said.

“The respective Boards of CAP PLC and Portland Paints strongly believe that the Merger, which provides a unique opportunity to change the Nigerian paints and coatings landscape, is value accretive to shareholders of both companies; and will drive growth and expansion within the Nigerian and African markets.”