Nestlé has acquired more equity stake valued at around NGN 747.54 million ($1.94 million approx.) in its majority-owned Nestlé Nigeria subsidiary, according to a report by The Nation.
The Nigerian newspaper said that an insider transaction report on the deal indicated that Nestlé acquired 636,384 ordinary shares of 50 kobo each at NGN 1,174.67 per share.
The deal reportedly increased the Swiss food giant’s majority shareholding in its subsidiary by 0.08%.
Sub-Saharan Africa recorded double-digit organic growth in Nestlé’s H1 2020 results following high single-digit organic growth in FY19.
When asked to comment on this latest transaction, Nestlé said: “We do not have further information to share.”
The Swiss multinational recently partnered with the IDH Sustainable Trade Initiative, as part of IDH’s Grown Sustainably in Africa (GSA) programme, to boost local sourcing in West and Central Africa.
Nestlé says that the three-year collaboration aims to support 25,000 farmers and 50 small and medium enterprises, as well as open up new markets for these communities in Cote d’Ivoire, Ghana and Nigeria, increasing employment and food security.