International Breweries Makes Important Announcement After Reporting N59bn Loss
- International Breweries is set to make an important decision regarding its continued operations in the country
- In a notice of extraordinary general meeting, it is seeking approval of a $379.9 million shareholder loan and debt-to-equity conversion
- This came after the company reported a loss amounting to N59 billion for the year 2023 compared to N22 billion in the previous year
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Legit.ng journalist Zainab Iwayemi has over three years of experience covering the Economy, Technology, and Capital Market.
International Breweries Plc is requesting approval of a $379.9 million shareholder loan and debt-to-equity conversion.
Source: UGC
This was stated in a notice of extraordinary general meeting on the Nigerian exchange.
According to the announcement, International Breweries Plc planned to repay a loan from Citibank Abu Dhabi and received approval for a $379.9 million shareholder loan from AB InBev Nigeria Holdings BV.
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It stated:
“That the loan of US$379.9 million granted to International Breweries Plc by AB InBev Nigeria Holdings BV (‘the Shareholder Loan”) in respect of the repayment of the loan obtained by the Company from Citibank Abu Dhabi be and is hereby approved by the terms and conditions presented by the Board of Directors.
“Subject to compliance with the applicable regulatory requirements, the Directors be and are authorised to apply any convertible loan, shareholder loan, or any other loan amount/facility due to any person from the Company as may be agreed between the person and the Company towards payment for any shares subscribed for in the Rights Issue that has been approved by the shareholders of the Company."
Finanacial loss in 2023
The financial report by the company highlighted how International Breweries reported N59 billion for the year 2023. The amount showed a more significant loss compared to the record of N22 billion loss.
This came despite an increase in revenue by the company from N218 billion in the previous year to N264 last year.
Guinness announces price increase
Legit.ng reported that Guinness Nigeria Plc announced implementing new prices across significant product lines.
This followed a similar announcement by Nigerian Breweries Plc to effect another increase in the price of its products in an announcement by the company to customers.
It explained that the upward review became necessary considering the continued rising output witnessed in the country.
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Source: Legit.ng
