Eaton Acquisitions increases shares in NEM Insurance to 9%

Nigeria’s investment company, Eaton Acquisitions Limited, has enlarged its shares in NEM Insurance to 9%, almost immediately after it announced the acquisition of 4% of the insurance company.

While the initial 130 million shares sold at ₦4 each, representing a premium of 40.35% against the closing share price of ₦2.85, the new shares were acquired at a lower value.

The latest acquisition has made Eaton the single largest shareholders and puts it within a distance of its target, but, Eaton is however still seeking to acquire 10% of the insurance company.

According to Eaton Acquisitions’ managing director, Olaleye Adeyinka,

“There is no better option in the market from the perspective of effective leadership, strategic opportunities and reforms for growth in the industry, broad sharing holding base that engenders good corporate governance, and a network of current and potential shareholders for enhanced business development, We can’t say much about the strategic vision of the company yet as it is in the purview of management and the board, but we have unalloyed confidence in both organs of the company’s governance.”

According to the investors, the increment in their stakes in the company because it offers tactical opportunities and growth.

“We intend to acquire more shares until we meet the mandate of our Board to acquire 10% of the company’s shares,” Olaleye added.