C&I assures shareholders of dividend payment
…targets Ghana Exchange
C&I leasing Nigeria Plc has assured shareholders that it would sustain dividend payment, even though it skipped paying dividend for one year. The firm said it did so in the overall interest of all stakeholders.
The company gave the assurance on Monday, on the floor of the Nigerian Stock Exchange (NSE) during the presentation of its facts behind the figures. It said that it is currently working on raising fresh capital and listing its subsidiary company on the Ghana Stock Exchange.
C&I Leasing is Nigeria’s largest leasing company and the only leasing company quoted on the NSE. Its operations include marine, health, power, outsourcing, fleet management amongst others.
The current assets of the company, he said, grew to N13,717 million at the end of second quarter 2017 in June 30, from N13,492m posted in Q2 2016.
C & I Leasing Plc, listed on the NSE, is the foremost brand for leases and other ancillary services in Nigeria. With staff strength of over 4,000 people and operational offices in key locations in Nigeria and Leaseafric Ghana, the company takes pride in its track record of exceptional and quality service delivery.
Vice Chairman of the company, Mr. Emeka Ndu, in his presentation and answer to questions, said that C&I Leasing Plc has sustained a growth trajectory that could only offer better returns to all stakeholders.
Ndu said that the future remains bright and promising for the company and shareholders “the economic outlook remains positive. We plan to sustain our current upward trajectory and double our earnings over the next 2-3 years”
He said that the target growth would be achieved by efficient execution of its long- term contracts in the marine subsector of the oil and gas industry and other industries being supported.
He explained that the inability of the company to pay dividend for 2016 was strategic, hence it ploughed back its earnings to consolidating operations and enhancing the financial leverage of the diversified organization.
If you look at our capital structure, we have about $12 to $13m in convertible notes issued to Abrage, our sister company, we looked at should we pay dividend or should we purchase some of that notes so that we reduce the dilutive effect of those note on all shareholders?
He said that at the company’s last AGM, the board secured approval from shareholders to purchase the notes and currently it 35 per cent of the notes have been redeemed.
He said that in 2017, the company is a projecting turnover of N24b and N26.3b in 2018, while in 2019 and 2020 the company projects N30.2b and N36.3b turnovers respectively.
Mr. Oscar Onyema, CEO, Nigerian Stock Exchange (NSE) earlier in his address, lauded C&I leasing for coming to the exchange to present its facts behind the figures and for being a pace setter in Nigeria’s leasing business.
He enjoined other companies to ensure delivery of timely information to the market, as this would equip investors to make informed investment decision.
