Wednesday 26th April, 2017
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Onyema lauds NIPCO 60% acquisition stake in Mobil Oil

Onyema lauds NIPCO 60% acquisition stake in Mobil Oil

The Chief Executive Officer of the Nigerian Stock Exchange (NSE), Mr. Oscar Onyema on Monday lauded the NIPCO Plc 60 per cent acquisition stake in Mobil Oil Nigeria, promising effective strategic developmental partnership.
 
Onyema gave the assurance during a courtesy visit to NIPCO management in Apapa, Lagos.
 
NIPCO, an indigenous downstream company, had in October 2016, acquired 60 per cent stake in Mobil Oil Nigeria Plc.
 
According to Onyema, NIPCO’s 60 per cent acquisition stake in Mobil Nigeria Company is a great development for the industry.
 
“An industry that is expanding and impacting greatly on the growth of the oil and gas sector like NIPCO needs to be commended.
 
“It is a great deal for a Nigerian-owned Investment Company. So, it is a good development for the company. It also gives great potential for indigenous company to get global visibility.
 
“We are indeed impressed with NIPCO’s track record on safety. We are impressed with NIPCO’s strategic and post-acquisition of Mobil entity as you know that Mobil brand will run separately as an entity from the NIPCO brand”, he said.
 
Onyema, however, urged NIPCO management to reconsider enlisting the company on the exchange, adding that it would give it more credibility and attract more shareholders.
 
According to him, there are many benefits that are attached to a company listed on the NSE.
 
“We urge NIPCO to embrace the offer to be listed on the board”, he said.
 
In his remarks, Mr. Venkataraman Venkatapathy, NIPCO Managing Director, commended the NSE chief and management team for their visit to the company.
 
Venkatapathy said that the company was incorporated by members of the Independent Marketers Association of Nigeria (IPMAN) in 2001 as a Private Limited Liability Company.
 
He said, “The transition period will enable NIPCO to effectively manage a smooth and successful completion of the transaction.
 
“NIPCO considers this acquisition as an important synergy.
 
“It is part of our strategic moves to support NIPCO’s continuous growth and expansion of its Nigerian retail footprint.
 
“We are confident of adding tremendous value to Mobil and it will in turn add huge value to NIPCO”, he added.

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