The Capital Markets Authority (CMA) on Thursday suspended dealing in oil marketer KenolKobil’s shares on the Nairobi bourse for 12 trading days following a conclusion of a takeover offer on Monday.
The freeze on trade will facilitate reconciliation of the shares which have been tendered for purchase by the French conglomerate Rubis Énergie SAS for a price of Sh23 per piece.
“The suspension from trading of the company’s shares will remain in force until March 11, 2019,” the Nairobi Securities Exchange (NSE) said in a note to investors.
“All shareholders, investors and the general public are asked to take note of the suspension.”
The multinational said it would proceed with the Sh35.6 billion buyout if it receives acceptances that will raise its aggregate ownership in Kenya’s second largest petroleum dealer as of December 2017 to 50 percent plus one share.
Rubis will need to raise its stake in KenolKobil to at least 75 percent to achieve its goal of de-listing the firm from the NSE.
The Competition Authority of Kenya (CAK) has approved the application by the French firm saying the intended buyout will not negatively affect the competition.