11 Plc, formerly known as Mobil Oil Nigeria Plc, is set to expand its franchise as it announced plans to acquire Lagos Continental Hotel through its subsidiary company.
This was made known in a disclosure made available to the Nigerian Stock Exchange after finalising discussion on the property with the Asset Management Company of Nigeria (AMCON).
According to the statement, the hotel asset would boost the company’s revenue against the fuel margins, which it said had remained stagnant in the market for several years.
“Fuel margins in the industry have remained stagnant for several years in the highly competitive and regulated industry,” the disclosure said. “We anticipate that this asset will contribute positively to earnings and underlines the faith of its stakeholders in the future of the Nigerian economy.”
On Monday, 11 Plc said the acquisition of Lagos Continental Hotel is in line with its diversification plans, adding that it already “owns several prime properties in its real estate portfolio rented to blue-chip tenants.”
To allay the fears of staff of the hotel over possible mass retrenchment, the company assured the employees of the hotel that they would be treated with the utmost dignity and respect during the transition and sought their cooperation to make the takeover a smooth one.
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