In a notice sent to the Nigerian Stock Exchange (NSE) on Tuesday, Forte Oil announced the suspension of its book building process. Forte Oil has put a planned 20 billion naira ($64 million) share sale on hold, after it received regulatory approval for the offer, due to restructuring.
“The board has taken a strategic decision to put the offering on hold pending the conclusion of an ongoing corporate restructuring with respect to maximising emerging opportunities in the Nigerian energy sector,” it said in a statement.
It would be recalled that the shareholders of the company had earlier issued a mandate to raise fresh funds of up to N100 billion; out of which N9 billion has only been raised.
In August, Forte Oil said it was in talks with a major refinery to form a strategic partnership for local refining of petroleum products in Africa’s top oil exporter.