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GTCO targets $750m in capital raising programme

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…Approve N94.179bn dividend for 2023

By Seun Ibiyemi

Shareholders of Guaranty Trust Holding Company (GTCO) Plc on Thursday at the third Annual General Meeting approved the company’s plan to establish a capital raising programme of $750 million either through public offerings, private placements, rights issues and/or other transaction modes.

Also, the shareholders endorsed the management’s N94.179 billion dividend payouts for the year ended December 31, 2023, comprising of N2.70 per share final dividend and 50 kobo interim dividend paid last year, making a total dividend paid for the 2023 financial year to N3.20 per share.

Speaking at the meeting, Chairman of the company, Mr. Hezekiah Sola Oyinlola, said, “After three years of reorganising and fitting all the business verticals into a holding company structure, we successfully made the first wave of progress in our drive to broaden and diversify our revenue streams and solidify our standing as a leading financial services provider in Africa.”

Oyinlola noted that “in 2023 the Group’s Balance sheet remained well structured and distributed with loans and advances accounting for 25.4 per cent in full year 2023, investment securities at 25.3 percent in 2023 and placement 16.1 percent in 2023. The Group grew its total Assets by 51.3 percent to N9.8 trillion in 2023 due to increases posted on key asset lines including investment securities, cash & bank balances, loans and advances, and restricted deposits.”

He added that “beyond the bottom-line, we understand that building an enduring institution is also about the underlying drive to make a sustainable impact in the communities we serve and operate in.

“Through strategic initiatives and partnerships, we strive to address pressing social and economic challenges, enriching lives and fostering better outcomes for people and businesses across Africa.”

The Group CEO of GTCO, Segun Agbaje stated that in spite of the varying challenges in the operating environment and headwinds that weighed on growth in 2023, the Group delivered a strong performance posting a PBT of N609.3 billion representing a growth of 184.5 percent from N214.2 billion achieved in full year 2022.

According to him, this result was on the back of impressive growth in gross earnings, increasing by 120 percent to N1.186 trillion in the year under review, underpinned by the growth on funded and non-funded income lines.

He added that “our Nigerian Banking operation accounts for 77.5 percent of the Group’s profitability, West Africa constitutes 17.5 percent, East Africa contributes 2.2 percent, UK 1.9 percent, and Non-Banking Entities make up 0.9 percent.”

Responding to questions at the end of the meeting, Agbaje said the board and management of the company is happy at the performance of the company in 2023 financial year and promised that the company will do better in 2024 to continue with the tradition of upward trajectory already in place in the company over the years.

He said, “I think for us, it is a good result. We looked at the volatility in the environment and we balanced profitability with some conservatism. We are happy at how we ended 2023. For us, we have a tradition of increasing dividend, every year, so I can say categorically that in 2024, dividends will be up. Already, profit is up in the First Quarter of 2024, we have posted N509.3 billion, I think this is an indication that we will have bigger dividend in 2024.

 ”If look now, from outside Nigeria, we recorded 25 percent to 30 percent of the profit. We have also diversified geographically. We also have three new businesses which we started which are our PFA, HabariPay and our asset management company. They are already at 1 percent of Group profit in one and a half years. I think our diversification away, both banking and geographically, is going on well.

“The next thing is to work hard and hopefully with the support of Nigerians we will raise the money.”

Shareholders commended the company’s 2023 performance. The National Coordinator of Progressive Shareholders Association, Okezie Boniface, said that the performance was excellent, with growth in its earnings per share of N19.70 and the company paying N3.20 per share, saying that the group’s diversification is paying off.

On the Capital raising, Okezie anticipated a successful exercise for the company due to their good track record of paying dividends.

Also, the National Coordinator of Independent Shareholders Association of Nigeria (ISAN), Moses Ibrude noted that the company performance in the year under review was impressive, considering the situation of the country.

He said GTCO is at the forefront of good corporate governance, appealing to GTCO to continue to run the business well in order to deliver good returns to the shareholders.

On the recapitalisation, Ibrude urged the minority shareholders to take up their rights in supporting the company growth.

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Minimum wage: FG, Organised Labour to meet today

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…As NLC tells committee to perish offer below N615,000

The Federal Government and the Organised Labour have been scheduled to meet today to resume negotiations on the new minimum wage.

Recall that the Organised Labour comprising the Nigeria Labour Congress (NLC) and the Trade Union Congress of Nigeria (TUC) pulled out of the negotiation meeting last week Wednesday when the government offered N48,000 as the new minimum wage.

However, Chairman of the Tripartite Committee on the National Minimum wage, Alhaji Bukar Goni in a letter to the organised labour for a meeting tomorrow indicated interest that the government will shift ground and asked the organised labour to also shift ground.

The letter appealed to the labour leaders to speak to their members and attend the reconvened meeting next Tuesday.

The organised labour comprising the Nigeria Labour Congress (NLC) and the Trade Union Congress (TUC) have proposed a new minimum wage of N615,000, which is way higher than the N48,000 proposal by the government.

The organised private sector, on the other hand, proposed an initial offer of N54,000. After dumping the talks, the labour leaders addressed a press conference where they expressed their anger over the Federal Government’s offer.

They blamed the government and the private sector for the breakdown in negotiation.

The Federal Government had failed to present a nationally acceptable minimum wage to Nigerians before the May 1 Labour Day.

The situation has forced labour to be at loggerheads with the government. In the wake of the tussle, the NLC President Joe Ajaero insisted on the N615,000 minimum wage, arguing that the amount was arrived at after an analysis of the economic situation worsened by the hike in the cost of living and the needs of an average Nigerian family of six.

Ajaero and labour leaders have given the Federal Government a May 31 deadline to meet their demands.

Reacting, the Nigeria Labour Congress has told the committee to perish making an offer below N615,000.

Defending the proposed wage, the NLC Head of Information and Public Affairs, Benson Upah, said, “Well, it will not be fair and these are the reasons. The first reason is that when we demanded for N615,000, we broke that down. In fact, we used the barest minimum.”

“For instance we put accommodation for N40,000, we also use for feeding N500, tell me where you are going to get food for N500 with a family of six. As I said, we used barest estimate but beyond that, government hiked electricity tariff by two hundred and fifty percent after we made our demand and that has introduced new cost and expenses. So if government is serious, it should not be thinking about a hundred thousand naira.”

The NLC spokesman further added that the NLC will honour the invitation but he advised the government to be serious.

He said, “Our expectations are that the government should be serious this time around. We expect them to take more seriously the issue of wages of workers.”

On January 30, Vice President Kashim Shettima inaugurated the 37-member tripartite committee to come up with a new minimum wage.

With its membership cutting across federal, and state governments, the private sector, and organised labour, the panel is to recommend a new national minimum wage for the country.

During the committee’s inauguration, the Vice President urged the members to “speedily” arrive at a resolution and submit their reports early.

“This timely submission is crucial to ensure the emergence of a new minimum wage,” Shettima said.

The 37-man committee is chaired by the former Head of the Civil Service of the Federation, Goni Aji.

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GBB unveils 24hr service desk to address consumer complaints

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Galaxy Backbone Limited has unveiled a 24hr Service desk to address consumer complaints.

This initiative was announced last week and is set to revolutionise the customer service experience of Galaxy Backbone clients.

This new development will significantly enhance customer service experience with Stakeholders, Customers and Prospectivecustomers’ across the public and private sector.

According to the company, “This development is a direct response to the’ evolving needs of our growing customer base and our ongoing commitment to constantly improve our services and ensure that our customers have access to support whenever they need it.”

Galaxy Backbone Limited is an Information and Communications Technology Services provider, wholly owned by the Federal Government of Nigeria. Galaxy Backbone continues to operate, improve and upgrade its common services platform to meet international standards. The agency offers cloud services, telepresence services, Internet connectivity services, data hosting in its Tier IV data centre, amongst a host of others.

Nigeria has indeed begun to take digitalisation as a priority having made giant strides and bold steps to enhance digital transformation with Galaxy Backbone (GBB) Limited leading the forefront as the Backbone of Nigeria’s digital transformation.

As an organisation that prides itself in the delivery of world class services, GBB consistently presents itself to the principles and scrutiny of the International Standards Organisation (ISO) as a way to ensure Customer service is paramount in its entire operations. The organisation recertifies itself every year as an ISO 20000 organisation ensuring its Service Management System (SMS) is always up to date.

The company has dedicated customer care lines for Federal Ministries, Departments Government-wide IP & Agencies (83070, 83072, 83046). The customer service team can also be reached via the following mediums: WhatsApp/GSM Call: 08073990518; Email: [email protected]; Galaxy Backbone service Desk: 02094605333, 02094621500.

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NAFDAC cracks down on counterfeit cosmetics, shuts three shops in Lagos

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By Sodiq Adelakun

In a bid to protect consumers from potential harm, the National Agency for Food and Drug Administration and Control (NAFDAC) has shut down three cosmetics shops and raided others in Lagos State for selling unregistered “Dr. Teal’s” brand cosmetics.

This was contained in a post on its X (formerly Twitter) handle on Saturday.

The agency took this action following a complaint from the trademark holder, who alleged that the products being sold were potential counterfeits.

The agency’s raid on the shops resulted in the seizure of large quantities of unregistered cosmetics, which are suspected to be counterfeit. The owners of the shops have been warned and may face further sanctions if they continue to sell unregistered products.

The statement partly read, “NAFDAC has shut down three cosmetics shops and raided others, targeting the sale of unregistered ‘Dr. Teal’s’ brand cosmetics. This action follows a complaint from the trademark holder regarding potential counterfeit products.

“The enforcement operation took place at the Lagos International Trade Fair Complex, Egbeda, and Ikeja areas.

“Two suspected shops along the Excellent Line at the Trade Fair Complex were targeted, resulting in sealed shops and invitation letters issued to attendants.”

Also, there was a raid on Okas Global Link Limited yielding over 200 cartons of various Dr. Teal’s products and other unregistered cosmetics.

The agency suspects these products to be the source of distribution for the counterfeit items. Additionally, Cubana Stores at Phil Hallmark Plaza was sealed for selling unregistered Dr. Teal’s brand moisturising body and bath products.

According to NAFDAC regulations, shop owners found guilty of selling unregistered products face fines of up to N5 million. As part of ongoing investigations, shop owners are being questioned to determine their involvement in the sale of counterfeit cosmetics.

The agency emphasised the significant health risks associated with using fake cosmetics, which can contain harmful substances that can cause serious harm to consumers.

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