Leading conglomerate in the confectionery sector of Nigerian economy, Flour Mills of Nigeria (FMN) has signed an agreement to acquire 71.69 per cent stake in Honeywell Group’s portfolio company, Honeywell Flour Mills Plc (HFMP).
The deal is worth N80 billion.
The two companies in a joint statement stated that the transaction aims to create a strong national champion for Nigeria to further enhance food security
According to the statement, Honeywell Group Limited had agreed to sell 71.69 per cent stake in Honeywell Flour Mills to Flour Mills of Nigeria Plc.
“For the proposed combination of FMN through its affiliates and Honeywell Flour Mills Plc. (HFMP), a portfolio company of HGL. At a total enterprise value of N80 billion, HGL will dispose of a 71.69per cent stake in HFMP to FMN.”
The proposed combination is however subject to approval from the appropriate authorities