Nigeria terminates ALSCON sale to BFIG

Photo: businessnews.com.ng

The BPE announced the decision of the Federal Government on Tuesday.

The Federal Government has cancelled the sale of the Aluminum Smelter Company of Nigeria, ALSCON, to BFIGroup Corporation.

The government’s decision was announced by the Bureau of Public Enterprises, BPE, on Tuesday. The BPE announced the directive of the National Council on Privatisation, NCP, to terminate the offer to BFI Group Corporation for the purchase of 77.5 per cent of ALSCON.

The BPE in a statement by its Head, Public Communications, Chigbo Anichebe, said the decision followed BFIG’s inability to pay the agreed 10 per cent of the offer price within 15 working days of the execution of the Share/Sales Purchase Agreement, SPA, as directed by the Supreme Court of Nigeria.

But, the BFIG Chairman, Reuben Jaja, told PREMIUM TIMES that the action of the NCP amounts to a violation of the July 6, 2012 order of the Supreme Court, which granted perpetual injunction restraining any act by any agency of government against the contract until all the issues that resulted in the crisis are resolved.

“BFIG is already back in Supreme Court to draw its attention to the consistent refusal of BPE and other stakeholders to abide by its order for specific performance to ensure the amicable resolution of the issues related to the bid for ALSCON.

“We will vigorously contest the action. We had played our part as directed by the Supreme Court, but till date all parties are yet to meet to discuss the issues in the Share Purchase Agreement, while no effort has been made to retrieve the plant from UC RUSAL,” Mr. Jaja said.


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  • Philemon A.

    After over twenty years on the privatisation process, we still can’t get anything right . We continue to go back and forth while the country slides into economic limbo.