CEC Africa Investment Limited and KANN utility company have agreed to settle out of court the takeover of Abuja Electricity Distribution Company (AEDC).
Both companies had instituted a suit against the Attorney General of the Federation (AGF) and Central Bank of Nigeria (CBN) over a directive for the company’s takeover. They sought an order of the court restraining the AGF and others from interfering with the operations of AEDC.
However, at the resumed hearing on Wednesday, the plaintiffs informed the court that the parties have agreed to settle between themselves out of court.
When the matter was called up, counsel to the plaintiffs, Etigwe Uwa, SAN, told the court that his clients were already taking steps to resolve the matter out of court.
Counsels to the defendants were all happy with the development and they all described the move as a welcome development.
Justice Ekwo then made an order granting the parties leave to settle out of court. He then adjourned the matter until April 25 for a report on the out-of-court settlement.
The court had ordered parties to maintain status quo pending the hearing of the motion on notice over the alleged takeover of AEDC.
The order was made following an ex-parte motion moved by counsel to CEC Africa investment Limited and KANN Utility Company seeking an order of the court restraining the AGF and others from interfering with the operations of AEDC.
The suit was filed before the federal high court on December 8, 2021.
The plaintiffs also sought an order, restraining the AGF, CBN, BPE and ministry of finance (1st-4th defendants) from taking any steps which may transfer, forfeit, reduce, takeover, foreclose or dilute 60 percent shareholding of the 2nd plaintiff (KANN) in AEDC.
They prayed the court that pending the hearing and determination of the matter; the 2nd plaintiff should have the ability to exercise its full rights over the shares.
Also joined as defendants in the suit include the Bureau of Public Enterprise (BPE), Ministry of Finance, AEDC, United Bank for Africa (UBA) and United Capital Trustees Limited.
