Shareholders of Redstar Express Plc have approved the company’s bid to raise fresh capital to expnd its operations. The shareholders gave the approval at the recently held Annual General Meeting (AGM). Shareholders also approved the company’s plan to switch its operating structure from group to holding company, as well as payment of 40 kobo as dividend.
Reasons behind the capital raise
Chairman of the company, Alhaji Mohammed Koguna stated the company was raising capital in order to take advantage of the emerging business opportunities.
Redstar Express Plc commenced operations on the 12th of October 1992 , and became a public company on the 9th of July 2007. and was listed on the NSE in November 2007. Red Star Express Group includes three subsidiaries – Red Star Freight Limited, Red Star Logistics Limited and Red Star Support Services Limited. The group engages in courier services, mail management services, freight services, logistics, warehousing and haulage.
Redstar Express shares are currently trading at N4.81 in today’s trading session on the Nigerian Stock Exchange (NSE). Year to date, Redstar shares are up 7.81%. Q1 2017 results for the company show turnover increased from N1.5 billion in 2016 to N2.0 billion in 2017. Profit before tax also increased from N159 million in 2016 to N176 million.