NAIROBI, Kenya, May 20 – Centum Investment Company Limited has finally raised its stake in Longhorn Publishers to 60 percent from 31.25 percent following the just concluded rights issue.
Centum which held 45.7 million shares previously, now has 118.3 million new shares being acquired during the rights issue.
“Pursuant to regulations 4(3) of the Capital Markets,, Centum Investments Company Limited hereby announces to the public that following the recently concluded Rights Issue by Longhorn Publishers, and with approval of the Competition Authority of Kenya, Centum has acquired effective control over Longhorn by acquiring 118,314, 853 new shares in Longhorn,” Centum said in statement through the Nairobi Securities Exchange (NSE) on Friday.
The investment company says it has no intention to take-over the company and requisite approvals and waivers from the Capital Markets Authority and Competition Authority have been sought and received.
“Centum does not intend to make a take-over offer for Longhorn and has applied to the Capital Markets Authority for an extension in accordance with regulations 4(3) of the take-over regulations from complying with the requirement to make a take-over offer,” Centum maintained.
Centum was already providing working capital to Longhorn through Nabo Capital of Sh100 million and the new monies will be used for product diversification and development of digital materials, being the immediate strategic objectives.
The second phase of strategic objectives will include local and geographical expansion.