The Board of Red Star Express Plc, today informed the Nigerian Stock Exchange and the investing public about the company’s commencement of operation in neighbouring Benin Republic.
A statement signed by the company’s Secretary, Ms Frances Ndidi Akpomuka, disclosed that Red Star’ newly-opened office in Benin Republic will advance its business of picking up and delivering sensitive packages. The Benin operation will be known as Red Star Express Benin.
Meanwhile, the statement further disclosed that Red Star Express Plc recently signed major deals with two global courier companies -FedEx and TNT – to become their licensee in Benin Republic. This deal will authorise the company to handle all of FedEx’s and TNT’s package deliveries in the country.
Parts of the statement read thus:
“Red Star Benin has been appointed licensee of FedEx and TNT in Benin and will handle FedEx and TNT inbound and outbound packages in Benin including but not limited to pickups, deliveries and customs clearance of courier materials and bulky freight packages. Packages in and out of Benin Republic will flow into FedEx and TNT global covering over 220 countries.”
The expansion had been long-awaited
Red Star Express Plc has recently been positioning to expand its operation. As we reported, shareholders last month approved the plan to transit Red Star to a holding company. They also approved a capital raise, which the Chairman, Alhaji Mohammed Koguna, explained was necessary in order to take advantage of the emerging business opportunities.
It is expected that the move will help improve the company’s growth
The company has had a consistent increase in revenue over the last few years but has struggled with its bottom line. Revenue increased from N6.4 billion in 2014 to N8.4 billion in 2017.
Profit before tax rose from N403 million in 2014, dipped to N572 million in 2016, peaked at N653 million in 2017 and then fell to N610 million in 2018.
Profit after tax, however, increased from N403 million in 2014, peaked at N426 million in 2017 and then dropped to N347 million in 2018.
Redstar Express Plc is a Nigerian logistics company which was incorporated on the 12th of October, 1992. It became a quoted company on the 9th of July 2007.
The company’s operation is grouped into three subsidiaries namely Red Star Freight Limited, Red Star Logistics Limited and Red Star Support Services Limited. Together, these companies comprise a group that engages in courier services, mail management services, freight services, logistics, warehousing and haulage.
The company’s stock is currently trading at N4.60.
HealthPlus: More facts emerge as Bukky George reveals she owns 48.9%
HealthPlus insists its founder, Bukky George owns a majority share of HealthPlus Africa Holdings.
HealthPlus says that its founder and former CEO, Mrs. Bukky George, owns 48.9% of HealthPlus Africa Holdings and that she is the only Nigerian registered Pharmacist shareholder and director in the company.
This was revealed in a statement by HealthPlus on Tuesday, in a bid to educate the public on the squabbles going on between it and Alta Semper Capital over the removal of George as CEO, and the appointment of Chidi Okoro as Chief Transformation Officer.
Nairametrics had reported last week that HealthPlus Limited appointed Okoro as Chief Transformation Officer. According to the statement earlier released by the company, Okoro’s mission is to optimize day-to-day management and elevate the business to novel scale and profitability, while the founder of the Company, George continues to be a director and a shareholder.
George however, issued a counter press release, denying that she had been removed as MD/CEO. According to her, the press release was not authorized by the company and was therefore false.
Alta Semper, in a follow-up press release, alleged that the decision to remove Mrs. Bukky George “was made in full compliance with Nigerian laws, and follows a long and drawn-out process of engagement,” through which the Board sought to address multiple issues concerning the way the company was being managed.
Health Plus also reported Alta Semper directors to the police last week, as observed in a document seen by Nairametrics.
In today’s statement, HealthPlus said that it had partnered with Alta Semper Capital LLC UK in 2018 to inject fresh capital to grow the business.
“The investment in HealthPlus was to enable the company to capture the pent up demand for high quality yet affordable medicines … expand the company’s footprint across Nigeria, establish a distribution centre, develop B2B channels and e-commerce.
“Alta Semper undertook to commit $18 million into HealthPlus whilst retaining Mrs. Bukky Geroge as CEO,” the statement partly read.
HealthPlus says that Mrs. George, at the time of the investment, transferred 95% ownership of the business to a new entity called HealthPlus Africa Holdings Limited, incorporated in Mauritius, whilst retaining 5% equity to her name.
“HealthPlus Africa Holdings is owned by Mrs. Bukky George (46.2%) and Idi Holdings ( 53.8%), Idi Holdings is Alta Semper’s investment vehicle”
“In essence, Mrs. Bukky George owns (directly and indirectly) 48.9% of HealthPlus and is the only Nigerian registered Pharmacist shareholder and director in the company.”
HealthPlus also said that Alta Semper’s initial $10 million investment achieved several initiatives in its business plan.
“However, it soon appeared that they (Alta Semper) were unable to come up with the balance of the equity investment.”
It argued that in May 2020, after 15 months of delayed funding, unmet expectations and dwindling inventory, “Mrs Bukky George instituted legal action at the Lagos Division of the Federal high Court [in suit No: FHC/L/CS/609/2020] seeking relief aimed at stopping Alta Semper from running and managing the company.”
HealthPlus says after Alta Semper was served the court process, they did not file any defense but appealed for dispute mediation.
It was added in the statement that the mediation was truncated after 3 meetings within a period of 3 months, “Their intransigence frustrated Mrs. George’s other nominee for director and Chairman into resigning from the board”
HealthPlus’ statement cited that the board, now with just 3 directors, had not met in six months and that the last time Mrs. George heard from Alta Semper was when they wrote last week stating her termination as CEO, “which in fact they had no authority or power to do so.”
HealthPlus says Mrs. Bukky George remains the founder and CEO, and continues to run the company.
CBN launches framework for advancing women’s financial inclusion in Nigeria
The CBN in collaboration with EFInA has launched a framework to advance women’s financial inclusion.
The Central Bank of Nigeria on September 29, 2020, virtually launched the framework of advancing women’s financial inclusion. This was disclosed in an online event tagged “Access to Finance Framework for Women” and anchored by Dr Paul Olukpe.
The framework was conceptualized by the Financial Inclusion Special Intervention Working group and developed by the CBN in collaboration with EFInA and Women’s World Banking with input from over 50 stakeholder institutions.
The overarching vision of the framework is for Nigeria to be globally recognized, with an inclusive financial sector that has closed the gender gap by 2024. The framework further itemizes 8 strategic imperatives for driving improved access to finance for women in Nigeria.
In the online event monitored by Nairametrics, the Deputy Governor, Financial System Stability of the Central Bank of Nigeria, Mrs. Aisha Ahmad justified the new initiative by citing EFInA’s last report on financial inclusion in 2018 as a yardstick.
Recall that EFInA 2018 Financial Inclusion report indicated gender imbalance and a clear need to attend to the issue of growing female financial exclusion. For example, the report stated that 40.9% of females were financially excluded as against 32.5% of males. Mrs. Ahmad remarked that perhaps, the figures might even be wider if unattended to especially in this period of crisis.
Mrs. Ahmad urged financial institutions to address structural issues limiting women’s access to finance by understanding and developing products that are specifically tailored to address such issues.
Why this matters
Empirical studies have shown that supporting a stronger role or empowering women is a key enabler in reducing poverty, stimulating economic growth and ensuring sustainable development. Citing ‘’The Power Parity Report by McKinsey’’, the Director of development finance department of CBN, Mr Yusuf Philip Yila, stated that the economic consequences of pursuing gender equality include a potential addition of $28trillion to global annual GDP by 2025.
This framework is a big boost to achieving SDG’s goal of gender equality and Nigeria’s financial inclusion targets simultaneously.
HealthPlus crisis: Alta Semper directors reported to Police for trespassing
HealthPlus has made a formal complaint to the Police following its ensuing battle with Alta Semper.
Nigerian Pharmacy Chain, HealthPlus Ltd which is in a battle for control with private equity firm Alta Semper Capital took a new twist as Health plus reported Alta Semper directors to the police last week, as observed in a document seen by Nairametrics.
In a letter sent to the Assistant Inspector General of Police on the 25th of September, HealthPlus stated, “We had the presence of unknown persons around our head office locations.”
The locations stated were 4 HealthPlus branches in Lekki, Lagos.
HealthPlus stated further, “We are aware that there are unauthorized and illegal plans by certain persons to take over our company premises to steal sensitive company property and assets, and ultimately take over operations of the company”
The 4 persons mentioned by HealthPlus are; Zachary Fond and Ivan Genadiev (both Alta Semper Directors), Ernest Eguasa, CFO of company and an unidentified middle-aged white man.
Explore the Nairametrics Research Website for Economic and Financial Data
Niarametrics reported last week that HealthPlus Limited appointed Chidi Okoro as Chief Transformation Officer.
However, the announcement set off a chain of allegations and counter-accusations, including online media mudslinging with both sides trying to court public sympathy for who is in control of the company.