Flour Mills of Nigeria (FMN) hosted its 64th Annual General Meeting (AGM) in the Balmoral Convention Centre, Federal Palace Hotel, Lagos, on November 14, 2024, at around 12:30 PM.
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This particular AGM was very significant because, just prior to the AGM, the Federal High Court in Lagos ordered the Leading Food and Agro-Allied Group to hold a Court Ordered Meeting (COM) in order to approve the resolution requiring the majority shareholders to buy out minority interests.
This agreement between FMN and its holders pertains to its fully paid common stock. After an established order of action, what began as a standard court-ordered conference progressively evolved into a deliberative meeting where minority shareholders requested a higher purchase price than the original suggested offer.
The stockholders’ requests were stated with awareness and shrewd negotiation skills, making the interaction intriguing. The idea that the business would leave Nigeria if they received the votes they requested at the meeting was one of the most obvious misconceptions.
This false narrative made the negotiations passionate, intimate, and at one point, even frightening. The meeting then took an unexpected turn when Mr. Paul Gbededo, the chairman, prudently asked Excelsior Shipping Company’s majority owners to address the issues brought up by the minority shareholders who had attended the meeting. In a dynamic and emotionally charged speech, Mr. John G. Coumantaros, the Chairman of the FMN Board of Directors, addressed the shareholders from a position of authority and paternal instincts.
He started by taking them back to the early days of the company’s founder, his late father, Mr. George S. Coumantaros. He arrived in Nigeria in the 1960s and found that the can-do and ambitious lifestyle of the Nigerian people matched his own. He decided to stay and started Flour Mills of Nigeria, which was then just a flour milling company.
FMN expanded to a Group with more than 22 companies by nimble commercial acumen, dedication to the development of the economy and its citizens, and the unwavering loyalty of its owners. “This company was founded by my late father, Mr. George S. Coumantaros, who was passionate about and had a unique affinity for the Nigerian spirit, which well matched his gregarious and can-do attitude.
This desire is what motivates me now to make sure that we keep growing and expanding this business that has been left for us, not only as an establishment and organization that will feed the country, create jobs, and improve the lives of our people. During his impassioned speech to the stockholders, Mr. Coumantaros said. His words had a calming effect on the shareholders, much like cold water on a roaring fire.
The audience, which had previously been emotionally and frighteningly motivated, suddenly understood that he was on their side and that, like his father, he was here to stay and contribute significantly to the expansion of the national economy. On this note, he concluded his address.
We will raise the value each share to N86 in appreciation of your loyalty, and to restate, FMN will not abandon Nigeria. Nigeria is positioned as the hub of excellence as we increase investment in our various verticals and as the headquarters of our pan-African growth story, thus FMN and Nigeria are intimately linked. Mr. John Coumantaros’s stirring speech won the business 98.67% of the vote from minority shareholders at the N86 purchase price per share.
An unexpected and admirable milestone, it also became evident to me as an observer during the meeting that the Group’s purpose has always been patriotic rather than solely profit-driven. In many respects, FMN continues to be an essential component of Nigeria, particularly given the Group’s similarities to Nigeria, including its shared age of 64, adoption of the green and white color codes, and unshakable dedication to achieving food security in Nigeria.
Over the next four years, FMN is launching a bold $1 billion investment plan to increase its footprint and influence throughout Africa. This is expected to open up new opportunities and generate value for the firm, its workers, and African economies. with addition to Nigeria, FMN intends to take use of the chances provided by the African Continental Free Trade Agreement (AfCFTA) to increase its presence throughout the continent, beginning with West Africa.
Additionally, it is anticipated that FMN’s export goals will enhance Nigeria’s foreign exchange (FX) flows and increase its export potential. It is prudent to not only wish them luck in their pursuit of Pan-African diversification, but also to assist them in this endeavor, as it is now clear that Flour Mills of Nigeria is our own, made in Nigeria, and for Nigerians. This will also place Nigeria on the correct path for continental business leadership.
