Two months after Theophilus Danjuma acquired BOC Gases Nigeria Plc, the manufacturer of industrial and medical gases has changed its company name amid a loss of N478.68 million.
The name BOC Gases Nigeria reflected the brand of the former parent company, BOC Holdings UK (a member of the Linde Group), which announced the sale of the firm to TY Danjuma on August 17.
Conquest News gathered that the deal increased Danjuma’s stake in BOC Gases Nigeria to 72 percent, rising from the initial 12 percent he held prior to August share trade.
This gave the billionaire majority control, hence, the decision to restructure and change BOC Gases’ name to reflect Danjuma’s control of the firm.
In a statement seen by this news platform, BOC Gases Nigeria will now be known as Industrial and Medical Gases Nigeria Plc, “This is to notify Nigerian Exchange Limited, our shareholders and the investing public that BOC Gases Nigeria Plc (the Company) has changed its name to INDUSTRIAL AND MEDICAL GASES NIGERIA PLC.” the note reads.
The medical gases manufacturer, controlled by TY Holdings Limited, also changed the Company’s logo and trademark, “The Company has obtained a new certificate of incorporation from the Corporate Affairs Commission.”
Investors at BOC Gases Nigeria lose millions of naira
Following the acquisition of BOC Gases Nigeria by Danjuma, stock value climbed 26.6 percent between August 17 to October 7, pushing total investment in Industrial and Medical Gases Nigeria Plc to N4.84 billion.
However, the price bubble burst a day after, as investors engaged in sell off for profit-taking after share value rose from N9.20 kobo, two days after the deal was disclosed, to N11.65kobo – the sell off knocked down the stock price to N10.5kobo on October 8, and has traded flat since.
This caused stakeholders at Industrial and Medical Gases Nigeria to lose N478.68 million out of their total investment in the firm, which depreciated to N4.37 billion from N4.84 billion, Ripples Nigeria analysis showed.
Danjuma, who holds a total of 298,234,891 shares in the company, lost N342.97 million to the sell off (out of the total loss of N478.68 million) as his networth in the firm dwindled to N3.13 billion, from N3.47 billion.