Nestle S.A has been busy infusing capital into Nestle Nigeria since the first week of March 2021, and the Switzerland-based company is not ready to stop the roll out of funds into the Nigerian subsidiary.
In its recent investment round, Nestle S.A inserted N500 million into the Nigerian branch, after acquiring 400,000 shares of the Nigerian food and beverage company on Tuesday, March 16, 2021.
The foreign company purchased the shares at N1,375 per share. On Tuesday, 448,080 shares of the Nigerian branch were purchased on the trading floor, but majority of the shares, 400,000 was bought by the company
The recent acquisition and investment by The company followed three other investment round in the first and second week of March. The company invested N3.7 billion during that period.
The company, which is the major shareholder of the Nigerian subsidiary, had initially invested N2.92 billion after acquiring 2.16 million shares within two days, March 2 and 3.
Then in the second week, March 12, the company made another round of investment worth N773.79 million following the acquisition of 562,796 shares. In total, over N4 billion has been invested in Nestle Nigeria by its majority shareholder.
The company holds 66.50 percent shares of the Nigerian branch, Stanbic IBTC Nominees Limited account for 6.28 percent, as of December 31, 2020, but no other shareholder holds above 5 percent.