▪︎Thomas Etuh
Thomas Etuh’s Tak Agro and Theophilus Danjuma’s TY Holdings, have acquired Notore Chemical Industries Plc in Onne, Rivers State, for $150 million.
“We put $150 million into an escrow account. Being a publicly quoted company, we were made to go through a bid process and won the bid,” Etuh told BusinessDay.
“I am excited about Notore, which is a major source of raw material.
Second, Notore’s product is exportable and, third, we have our power plant and also a jetty from where we can export from day one. In addition, the place is a free trade zone.
“The potential we see in Notore is huge,” said Etuh.
BusinessDay reports that Tak Agro is a key player in Nigeria’s fertiliser industry.
The deal is expected to have a positive impact on the country’s fertiliser industry as it will provide the much-needed capital to revamp Notore’s entire complicated process plant while returning profits to shareholders.
Notore Chemical Industries recorded a group loss after tax of N34.6 billion in the first quarter (Q1) of 2024, from N7.9 billion loss after tax declared in the corresponding period of 2023.
Its revenue for the period declined by 94.5 percent to N224.9 million in Q1 of 2024, from N4.1 billion in the corresponding period of 2023.
The deal was structured as a special placement by Kwararafa Africa Limited, a privately-held special purpose vehicle, for 60 percent and management control of the company.
Since the acquisition, Notore Chemical Industries has undergone significant management changes, evidenced by the resignation of seven non-executive directors and the group deputy managing director, as of May 31, 2024.
In June, Etuh was appointed Notore’s new board chairman.
Danjuma Etuh was appointed as deputy managing director, alongside six new non-executive directors to its board.