GBL To Delist From GSE

GHANA Breweries Limited (GBL) is to be de-listed from the official list of the Ghana Stock Exchange, with effect from April 22, this year.

This follows the approval of a request made by GBL, following the share offer made by Guinness Ghana Limited (GGL) and approved by the listing committee of the exchange.

The Head of ECOBANK Stock Brokers Limited, Mr Iddrisu Mahama, described the action as timely. "It is time to do so now,? he said.

A statement issued by the GSE said Guinness Ghana Breweries Limited (GGBL), the majority shareholder of GBL had indicated that it was prepared to offer cash of ?1,600 per share to every shareholder of GBL after the de-listing period.

GGL and GBL in December 2003, entered into a discussion which culminated in an offer being made by GGL for all the issued ordinary shares of GBL, totalling 334,223,105, at an offer price of ?1,600 per share.

Under the updated tender offer document, on completion of the tender offer (take over) GBL will become a subsidiary of GGL and GGL will change its name to Guinness Ghana Breweries Limited (GGBL).

GBL will also apply to de-list from the GSE official list. The take over was completed in November last after a protracted legal suit by a shareholder of GBL which was eventually settled out of court.

At the close of the offer, a total of 839 shareholders holding 99.58 per cent of total issued shares of GBL had tendered. GBL shares rendered for cash were ?71.26 million and those for new GGL shares were ?261.55 million.

Mr Iddrisu said the de-listing of the shares would give investors the opportunity to focus their attention on GGBL and observed that the first quarter results would impact positively on the price-earnings ratios of the company.

"Investors will now shift their focus on the new company and will look at its fundamentals in order to invest in the company," Mr Iddrisu said.