Honeywell assures stakeholders of validity of transaction with Flourmills of Nigeria

Honeywell Flour has assured its stakeholders that the recent announcement of Flour Mills of Nigeria

Plc’s acquisition of a majority stake in Honeywell on Monday 22 November 2021, was made in compliance with all rules and regulations.

In a statement signed by the Company Secretary, Yewande Giwa, Honeywell stated thus:

“This further assurance has become necessary in view of the publication captioned ‘Ecobank warns against acquisition of Honeywell Flour Mills, alleges company facing winding up proceeding’

It is pertinent to set the record straight that there is no winding up petition currently pending or live against Honeywell Flour Mills Plc in any court in Nigeria. There is no pending court order restraining trading in the shares of Honeywell or inhibiting Honeywell or its owners from dealing in its assets. Honeywell assures its investors, regulators and stakeholders that in all of its engagement with Flour Mills of Nigeria, it received independent legal advice and assert that the transaction is not in breach of any subsisting Order of Court. The issue as to whether Honeywell is indebted to Ecobank is still before the Courts and the final decision remain the exclusive preserve of the Courts. It is also important to state that the Court of Appeal judgement being referred to in the reports did not declare Honeywell to be indebted to Ecobank.

The assertions lack merit, were written in bad faith and are deliberate attempt to undermine a transaction that will result in substantial benefit to the Nigerian Economy and entrench the collaboration of two publicly quoted companies. As a responsible corporate citizen, we have entered the transaction with Flour Mills of Nigeria having taking all legal issues into consideration.

All stakeholders are hereby assured that the management of Honeywell will continue to act in the best interest of all concerned and work diligently to preserve value for all its shareholders”.

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