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Vitafoam rewards shareholders with N1.9bn dividend 



A leading manufacturer of rigid foams and other household materials, Vitafoam Nigeria PLC, has rewarded its shareholders with N1.9 billion dividend. following its stellar performance in 2021, despite the inclement operating environment.

The dividend, which translated into N1.50 per share was promptly approved by the shareholders at the company’s  hybrid 60th Annual General Meeting (AGM) at the weekend.

Addressing the shareholders  at the AGM, Vitafoam Chairman, Dr Bamidele Makanjuola explained that the company achieved strong performance through  flexible financing strategy and excellent customer service.

“This impressive performance was driven by improved operational efficiency, excellent customer service, a business friendly funding window and steadfast implementation of our strategic initiatives. During the financial year, the company facilitated programmes that enhanced the quality and aesthetics of our products, enlarged the customer base, boosted technology investments to spur retail sales, and strengthened our distribution channels.

“The success achieved was due to the implementation of a flexible financing strategy aided by the Bank of Industry loan, as well as cost maximisation through internal efficiency gains.

“Through the deployment of fresh initiatives to expand our business frontiers, we shall remain innovative and customer-focused while vigorously driving internal efficiencies in all our operations. By so doing, we aim to drive up shareholder value in the interest of all stakeholders,” Dr. Makanjuola said.

Shareholders commended the company’s brilliant performance. The leader of Independent Shareholders Association, Mr Adebayo Adeleke said the company had a bright future as all its subsidiaries have become profitable.

Corroborating him, the President, Noble Shareholders Solidarity Association, Mr Mathew Akindele stated that Vitafoam’s policy of attracting people of value to its board could be attributed to its exceptional performance.

The Group Managing Director and Chief Executive Officer, Mr Taiwo Adeniyi had in the past attributed the company’s consistent performance to its policy of putting its diverse customers at the centre of Research and Development. Adeniyi also explained that beyond foams, Vitafoam produces a range of building materials.

The company’s subsidiaries are Vitapur, Vitablom, Vitavisco, Vono, Vitaparts and Vitafoam SierraLeone.

“Notwithstanding the challenging business environment, it is gratifying to inform you that your company posted a brilliant performance in the year under review. The Group’s turnover improved from N23.4 billion in the 2020 financial year to N35.4 billion in 2021.

“Profit before tax grew from N5.64 billion to N7.34 billion while profit after tax also increased from N4.1 billion to N4.5 billion.

“Meanwhile, the turnover of our parent company, Vitafoam, increased from N21.5 billion in the 2020 financial year to N32 billion in 2021. Profit before tax rose from N4.9 billion in 2020 to N6.7 billion in 2021 while profit after tax grew N3.4 billion to N4.3 billion,” Makanjuola said.

capital market

IATF2023 records $43.8bn closed deals



The African Export-Import Bank has disclosed that the third Intra-African Trade Fair (IATF2023) held in Cairo from 9 to 15 November witnessed the conclusion of business deals and transactions valued at US$43.8 billion.

In the final tallies released in Cairo, the organisers of the continental event said that the amount represented the value of 426 deals concluded in 21 sectors covering 52 countries. At a press conference to announce the results, Executive Vice President (Intra-African Trade Bank) at Afreximbank, Mrs Kanayo Awani, also announced that 130 countries participated in the trade fair, which attracted 1,939 exhibitors and 28,282 participants who attended physically and through the IATF virtual platform.

One of the notable transactions included the Export Agriculture for Food Security Framework executed by several African countries (as Origin Countries) and ARISE Integrated Industrial Platforms, Arise IIP (as Anchor Investor) to which Afreximbank committed US$2 billion to boost production, processing, and intra-African trade in agricultural products and to provide African farmers and agribusinesses with opportunities to access larger markets across the continent.

Mrs Awani also said that the IATF had successfully established itself as the premier trade and investment event in Africa, with the unique capacity to increase intra-African trade and investment, especially in the context of implementing the African Continental Free Trade Area (AfCFTA) Agreement.

“Building on the successes of IATF2018 and IATF2021, I am proud to say that the buzz and energy generated by IATF2023 will be felt across Africa and beyond for many years to come. Together, we have explored new possibilities and opened new doors for a brighter future for our continent,” she added.

IATF2023 kicked off on 9 November and included an official opening ceremony, a Presidential Summit which was addressed by President Abdel Fattah Al Sisi of the Arab Republic of Egypt, a Trade and Investment Forum, the Creative Africa Nexus (CANEX), an African Auto Forum, AU Youth Entrepreneurship Programme, a Sub-Sovereigns Conference, a Diaspora Summit, an African Industrialization Week and an African Tourism Sustainability and Investment Forum. A series of side events were also held as part of the trade fair.

The next edition of the IATF will be hosted in 2025 by Algeria.

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capital market

Investors record positive gains, as NGXASI advance by 0.43%



Investors yesterday recorded positive gains on the Nigerian equities market following Monday’s losses.

According to data obtained from the Nigerian Exchange Limited (NGX) website, the NGX Market CAP recorded a gain of N165.99 billion in Naira terms.

The NGX All-Share Index (NGXASI) also advanced by 0.43 percent, closing at 71,250.17 basis points, compared to the previous day’s loss of 0.66 percent, which closed at 70,946.83 basis points. With the growth, the NGXASI now stands at 39.02 percent.

The total volume traded also advanced by 20.93 percent to close at N433.57 million, valued at N11.11 billion and traded in 7,016 deals.

The Gate Index closed flat at 183.36, while the Toni index advanced by 0.27 percent to close at 375.28 basis points.

At the close of trading, the market recorded 40 gainers, 15 losers, and 64 unchanged. NSLTECH topped the gainers list, while ABBEYBDS topped the list of losers.

UACN was the most traded stock by volume with N61.71 million, while NIDF was the most traded stock by value with N2.22 billion units traded.

UACN also had the highest volume contribution with 14.23 percent, while UBA and GTCO followed closely.

According to the value chart, NIDF is at the top with a 20.0 percent contribution. AIRTELAFRI and MTNN followed closely behind.

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capital market

SEC DG calls for multifaceted approach to enhance capital market growth



The Director-General, Securities and Exchange Commission (SEC), Mr. Lamido Yuguda has called for a multi-faceted approach to enhance the growth of Nigeria’s capital market.

The SEC DG made this known while addressing journalists at the 2023 conference of the Capital Market Correspondents Association of Nigeria (CAMCAN) held in Lagos at the weekend.

According to Yuguda who was represented by the Executive Commissioner Operations, SEC, Mr Dayo Obisan, “Effectively harnessing the capital market for national development entails a multi-faceted approach, these include deploying more infrastructure, fostering more public-private partnerships, establishing specialised entities like special purpose vehicles (SPVs), listing state-owned enterprises, issuing green bonds to support sustainable projects, and bolstering small and medium enterprises among others.”

According to him, the revised capital market master plan underscored SEC’s commitment to deepening and. repositioning the financial market as a key driver of sustainable economic growth.

“The master plan which represents collective aspirations of the capital market community is focused on driving initiatives geared towards growing and deepening the market with the ultimate goal of accelerating the emergence of our dear country in the top 20 economies by the year 2025,” Yuguda said.

The SEC DG added that synergy holds the potential of unleashing capital market prowess and paving the way for a prosperous future.

According to him, achieving the objective necessitates an increased utilisation of market mechanisms and instruments to raise funds and stimulate economic advancement.

He pointed out that the commission would continue to introduce new ideas and policies that would support the development and regulation of a capital market that is dynamic, fair, transparent, and efficient to contribute to the nation’s economic development, noting that investors protection plays a crucial role in the development and integrity of the capital market.

Also speaking at the event, the Deputy Director, SEC Lagos Zonal office, Mr John Briggs, urged the government to create infrastructure financing instruments that would facilitate easy servicing of obligations.

“We have encouraged a lot of infrastructure funds like sukuk, and green bonds and we are even talking about blue bonds to develop the market.”

“The capital market has created the conducive environment to ensure a transparent and dynamic market which would continue to attract investment,” he said.

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