emmanuelewumi:



Dangote Rice was slightly valued higher than NASCON. NASCON made a profit after tax of N5.5 billion in 2022

I suspected Alhaji would compensate himself through DRL. He didn't go through the route of issuing bonuses before the merger, he went straight to get a good ratio. Hopefully, DRL is a good venture.

yMcy56:

Looks more like this.

If you have 14 Sugar, you get additional 1 share of Rice. Lol.

LOL, are you going forward or backward? Sugar is the base, everything is converted back to sugar.

phoinix:


You are not understanding the mathematics. the sugar stocks are unaffected, then for every 1 share of rice, we add an additional 14 shares of sugar.

Oga you are not adding anything to Rice.They are treated as different entity. If sugar is not restructured yo will be having about 18 b OS of Dangote food.There is no bonusto any entity

emmanuelewumi:



All that can be concluded within 8 weeks. Dangote will use topnotch professional advisers for the nerger

Yes, very possible. He, most times, uses topnotch professionals. But 8weeks technical suspension is too long. Unless they want to preserve the price at this range, which should not favor a projected future high price of over N100. Given the current momentum, DSR price could still rise further.

Streetinvestor2:
Oga you are not adding anything to Rice.They are treated as different entity. If sugar is not restructured yo will be having about 18 b OS of Dangote food.There is no bonusto any entity

emmanuelewumi:
With these exchange ratio for Dangote Foods

Dangote Sugar will contribute 12.15 billion
NASCON will contribute 2.42 billion
Dangote Rice will contribute 2.78 billion


Total outstanding shares for Dangote Foods will be 17.35 billion


Compared to 18 billion by BUA Foods.

If you are patient you should be able to ride Dangote Foods till N150


We should expect technical suspension any moment from now

LOL, Pa Emma has already broken the whole thing down. Sugar is 12.15 billion as before. Then, you add 11 sugar for every 12 Nascon, a total of 2.42 billion units. You also add 14 sugar for 1 rice, a total of 2.78 billion units. Now that everything is in terms of sugar, you get a total of 17.35 billion units of sugar (Now DangFoods).

emmanuelewumi:



I no sabi your maths oooooo. They have told us that us that a total of 2.78 billion shares of Dangote Sugar shares will issued to Dangote Rice

I was answering madam mercy based on normal value of rice being #1 and that of sugar being 50kobo.So I dividend by two to make the normal value equally so sugar will now come to 7 instead of 14
.I know the OS has already determined to 2.7 billion. Just trying to see how rice could pull such weight against sugar
What was rice initially OS

emmanuelewumi:



How,


Please explain.


Restructuring ought to unlock more value for shareholders

I was actually thinking of how DSL will accommodate Nascon and DRL.

phoinix:
LOL, are you going forward or backward? Sugar is the base, everything is converted back to sugar.

Going forward Oga.
Abeg make una no mind my analysis paralysis o.
I already stated that it's my opinion and the way I interpreted the doc. I may be wrong.....

yMcy56:

Going forward Oga.
Abeg make una no mind my analysis paralysis o.
I already stated that it's my opinion and the way I interpreted the doc. I may be wrong.....

Don't worry yourself.
Alhaji is the Winner

He is sitting on more than 80% of Dangote Sugar.

OBAGADAFFI:


I was actually thinking of how DSL will accommodate Nascon and DRL.

Did you read the breakdown of the outstanding shares of Dangote Foods

emmanuelewumi:




How

See it as a bonus ( is the best way I can put it till the cat is finally let out of the bag , if there are no changes ), but one can arguably say it is not a bonus , technically , because the common denominator is DSR and the final answer is DangFoods.

So sorry, I don't want to say much.

phoinix:




LOL, Pa Emma has already broken the whole thing down. Sugar is 12.15 billion as before. Then, you add 11 sugar for every 12 Nascon, a total of 2.42 billion units. You also add 14 sugar for 1 rice, a total of 2.78 billion units. Now that everything is in terms of sugar, you get a total of 17.35 billion units of sugar (Now DangFoods).

Oga the word you need to use for rice and salt is not ADD .You use restructure or reconstruction..That is what happened to the two companies. The original OS for salt reduced and the original OS for rice increased to arrive at those figures you quoted up and that of sugar is undecided. That is how the presumed Os of Dangote food was gotten

Frangel:


Yes, very possible. He, most times, uses topnotch professionals. But 8weeks technical suspension is too long. Unless they want to preserve the price at this range, which should not favor a projected future high price of over N100. Given the current momentum, DSR price could still rise further.

Technical suspension won't be more than 2 weeks

customstreet:


I learnt that It would be concluded before the end of third quarter.

But I will advise you set December as your holding period

Similarly, I also learnt that Dangotesugar would be the coy that would metarmopised to DangoteFood where holder of Nascon would swap 11 of their shares for 10 of Dangotesugar and also holder of Rice would also swap their holding with Dangotesugar

This is not 100% confirmed but may be near the truth.

A big shout out to you @customstreet.
You are doing good.

customstreet:


I learnt that It would be concluded before the end of third quarter.

But I will advise you set December as your holding period

Similarly, I also learnt that Dangotesugar would be the coy that would metarmopised to DangoteFood where holder of Nascon would swap 11 of their shares for 10 of Dangotesugar and also holder of Rice would also swap their holding with Dangotesugar

This is not 100% confirmed but may be near the truth.

We need to give @customstreet his flowers . The brother was right on even with the ratio . More reason why people need to be more respectful to each other here so that you do not discourage them from posting information that may help your investment . Pa Ewumi seem to have broken it down but we await further confirmation of the final ratio . If you do not know what to do, do nothing . If you think you have gained enough already, there's nothing wrong in taking profits . I hope customstreet can gives more clarity . Greetings to everyone

emmanuelewumi:



Did you read the breakdown of the outstanding shares of Dangote Foods

Now I understand.
Thanks

Bros you dey inside my head?

pluto09:


A big shout out to you @customstreet.
You are doing good.

emmanuelewumi:




Technical suspension won't be more than 2 weeks

2weeks technical suspension would be adequate to transition Nascon and DRL shares to DSR shares, but this would be after getting all the required approvals (SEC, Court, EGM). May not likely be concluded in next month.

Streetinvestor2:
This is investment thread but the country did better under the military regime than this thing they call democracy .The democracy in nigeria is fraud. I was alive and old enough to make my judgement .The corruption and stealing since 99 no get part two.

Nobody should quote me pls

Why want not being quoted? This democracy has failed so far because it was actually an extension of the military rule which was defined by a deadly corruption. Why is the First Republic the only period in Nigeria's history about which nearly every Nigerian agrees there was good and purposeful governance, yet it was a period during which the military had absolutely no presence in government? You think it was a mere coincidence? Nigeria began to experience real misrule beginning from 1966 when the military struck. As for the period from 1999 till date, most of those who have ruled and held the most important offices in this democracy are products of the military establishment hence we are not genuinely yet into democracy.

emmanuelewumi:




If they list at N100, how will Dangote Sugar be N70.


Dangote Sugar is the new Dangote Foods. It is Dangote Sugar that metamorphosed to Dangote Foods

Look at it from my perspective. I didn't have salt or rice before, only sugar. If you agree that the old sugar OS is 70% of the new sugar (OS), then you must also agree that 1.43 of the old sugar is now equivalent to 1 new sugar after the "restructuring" (1/70% = 1.43). Using simple ratios, if 1 new sugar is 100 naira, then 1.43 old sugar is 70 naira. I hope you're not confused. So, in my old sugar terms (old OS), it is worth 70, which is above the 58 that it is now.

ALHAJI you don hammer ontop rice,abeg leave any reconstruction of sugar shares.And finally make you start the listing of Dangote food from #100 though my mind is telling it will start from #80.
Na beg I dey beg you.Hunger dey street nobi small. This kind opportunity na generational blessing and wealth creation

phoinix:


Look at it from my perspective. I didn't have salt or rice before, only sugar. If you agree that the old sugar OS is 70% of the new sugar (OS), then you must also agree that 1.43 of the old sugar is now equivalent to 1 new sugar after the "restructuring" (1/70% = 1.43). Using simple ratios, if 1 new sugar is 100 naira, then 1.43 old sugar is 70 naira. I hope you're not confused. So, in my old sugar terms (old OS), it is worth 70, which is above the 58 that it is now.

It is the same thing having 100% of a business valued at N10 million and having 10% of a business valued at N100 million

Streetinvestor2:
Oga the word you need to use for rice and salt is not ADD .You use restructure or reconstruction..That is what happened to the two companies. The original OS for salt reduced and the original OS for rice increased to arrive at those figures you quoted up and that of sugar is undecided. That is how the presumed Os of Dangote food was gotten

Ok, Sir.

emmanuelewumi:





It is the same thing having 100% of a business valued at N10 million and having 10% of a business valued at N100 million

Not the same thing. If I had 100,000 units of sugar before restructuring, my new sugar will be 69,900 units. My units will be diluted, but the listing price of 100 naira will boost the value of each stock above what it is right now.

customstreet:


I learnt that It would be concluded before the end of third quarter.

But I will advise you set December as your holding period

Similarly, I also learnt that Dangotesugar would be the coy that would metarmopised to DangoteFood where holder of Nascon would swap 11 of their shares for 10 of Dangotesugar and also holder of Rice would also swap their holding with Dangotesugar

This is not 100% confirmed but may be near the truth.

Boss just came to say thank you

phoinix:


Not the same thing. If I had 100,000 units of sugar before restructuring, my new sugar will be 69,900 units. My units will be diluted, but the listing price of 100 naira will boost the value of each stock above what it is right now.

If you had 100,000 of sugar it will remain same when it changes to Dangote food. No information yet on the share of Dangote sugar. The Os of sugar is 12billion plus .That is why I am being alhaji to let it remain. No information whether sugar will be restructured.It is only salt and rice that was restructure to give 5 billion plus .we are assuming sugar will retain old Os to arrive at 18b for dangote food

In summary, DSR will acquire NASCON & DRL, then change its name to DANGOTE FOODS.

Streetinvestor2:
If you had 100,000 of sugar it will remain same when it changes to Dangote food. No information yet on the share of Dangote sugar. The Os of sugar is 12billion plus .That is why I am being alhaji to let it remain. No information whether sugar will be restructured.It is only salt and rice that was restructure to give 5 billion plus .we are assuming sugar will retain old Os to arrive at 18b for dangote food

Ok, then the probability of it being listed at 100 naira is close to zero and around 70 naira or below will be a more realistic value. That's my opinion no need to counter it. Let's see how it unfolds.

ucheson2:
In summary, DSR will acquire NASCON & DRL, then change its name to DANGOTE FOODS.

Fixed for now, until officially stated otherwise!!!

phoinix:


Not the same thing. If I had 100,000 units of sugar before restructuring, my new sugar will be 69,900 units. My units will be diluted, but the listing price of 100 naira will boost the value of each stock above what it is right now.

Hmmm..
tend to agree with you somewhat.

since they officially called it a merger..

Integration of others will naturally dillute ones controlling share

Otherwise its outright buyout.
DSR buying out two other companies..

phoinix:


Not the same thing. If I had 100,000 units of sugar before restructuring, my new sugar will be 69,900 units. My units will be diluted, but the listing price of 100 naira will boost the value of each stock above what it is right now.

You will have the 100,000 units of Dangote Sugar. Dangote Sugar is the SI unit for the share exchange ratio.

It is NASCON that will have about 93,000 share for their 100,000.


Dangote Sugar has 12.15 billion shares whereas the enlarged company ie Dangote Foods will have about 17.5 billion shares.


Get a professional to explain the details of the nerger document to you