LONDON: UIL Limited has announced plans to merge the Zeta Resources Limited (“Zeta”) investment platform into its operations.
This follows a sale and purchase agreement with General Provincial Life Pension Fund Limited (“GPLPF”) to acquire all 187,572,396 ordinary shares in Zeta held by GPLPF. This acquisition will result in UIL owning 95.03% of Zeta’s share capital.
UIL has also initiated a compulsory acquisition process to obtain the remaining Zeta shares it does not currently own, in accordance with section 103 of the Companies Act 1981 of Bermuda. Given that GPLPF holds 65.5% of UIL’s ordinary shares, it is considered a related party under DTR 7.3 regulations.
The transaction values GPLPF’s Zeta shares at £28.7 million, based on Zeta’s net asset value per share as of October 8, 2024. The consideration will be met through the transfer of UIL’s investment in Allectus Capital Limited, valued at £12.8 million, and the issuance of 9,504,199 new UIL ordinary shares at £1.6655 each. This valuation ensures no pro-forma dilution in UIL’s net asset value per share.
Starting October 11, 2024, UIL will report its daily net asset value, valuing its investment in Zeta at its underlying net asset value per share.