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Company Profile: Is First Aluminium still “the first”?

One company is credited for pioneering the aluminium roofing sheet movement in Nigeria, and it is aptly named First Aluminium Nigeria Plc.



First Aluminium Nigeria Plc

Gone are those days when new buildings were roofed with corrugated metal sheets. A quick survey by Nairametrics confirmed that across Lagos and elsewhere, homeowners and estate developers now prefer aluminium roofing sheets which are not only durable, but also aesthetically valuable. One company is credited for pioneering the aluminium roofing sheet movement in the country, and it is aptly named First Aluminium Nigeria Plc. This little-known, and small-cap industrial goods maker is the focus of our corporate overview today. Get to know everything there is to know about it.

About First Aluminium Nigeria Plc

First Aluminium was incorporated on August 20th,1960, and listed on the Nigerian Stock Exchange in May, 1992. The company specialises in the manufacturing and marketing of various kinds of aluminium products such as roofing sheets, coils, and laminates. It also produces packaging materials for the healthcare, cosmetics and engineering industries.

The ccompany’s entry into the Nigerian market began with the construction of its rolling mills located in Port Harcourt, Rivers State. Being one of the foremost companies to delve into the production of aluminium in Nigeria, First Aluminium Nigeria Plc has been able to master the industry over the years, even as it continues to diversifies its business in a bid to maintain market dominance.

As mentioned earlier, aluminium roofing is one of the key areas where the company has bragging rights. After all, it pioneered it. The company has its operations across the country, with its headquarters situated in Ikea, Lagos.

First Aluminium’s target market

As a major producer of aluminium products, the company has a large target market which cuts across various sectors of the economy. For one, it targets homeowners and estate developers/construction companies, offering its aluminium building roofing sheets. It also targets manufacturing companies, particularly those in the healthcare and cosmetics sub-sectors, with its flexible aluminium packaging containers. These companies make use of the collapsible aluminium containers for the packaging of their products.

Who are the company’s competitors?

As you may well know, hardly does any company operate without a competitor. This is the case with First Aluminium Nigeria Plc, whose main competitor is Tower Aluminium Plc and its many subsidiaries, including the NSE-listed Aluminium Extrusion Industries Plc. Tower Aluminium Plc claims to be “the single largest vertically integrated aluminium downstream producer,” a claim that is backed by its long history, corporate strength, wide product range and financial performance over the years.

Much like First Aluminium Nigeria Plc, Tower Aluminium Plc and its subsidiaries are involved in the production and distribution of such aluminium products as coloured coils, rolled products, extrusion materials, flexible packaging materials, aluminium roofing sheets, etc.

Other competitors are Sparkle Aluminium Company, Ola Aluminium Company, and Mathelise Aluminium Limited.


A brief profile of the CEO of First Aluminium Nigeria Plc

Igbinakenzua Eboigbe Elias
Mr Elias is the Chief Executive Officer (CEO) of First Aluminium Nigeria Plc, a position he recently assumed. Prior to this current position, he held a directorial position at Access Bank Plc, overseeing corporate and investment banking. He previously held the same position between 2005 and 2013 at Zenith Bank Plc. He had also had a stint at PricewaterhouseCoopers (PwC), where he worked from 1988 to 1992.
As an accomplished Banker/Accountant, Elias has over 27 years of professional experience. He became a chartered account in 1992, and is also a member of various other organisations including the Chartered Institute of Taxation, Chartered Institute of Bankers of Nigeria, Institute of Directors of Nigeria, etc.

Elias graduated from the University of Benin with a B.Sc. in Accounting. He studied at the Enugu State University for a Master’s degree in Business Administration (MBA) with specialisation in Banking & Finance. He got another M.Sc., this time in Corporate Finance from University of Liverpool. He is also affiliated with the prestigious Harvard Business School, Wharton Business School, and Insead Business School.

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Other top management executives of the company are:
• Mr Callistus Udalor (Deputy Managing Director)
• Mr Stuart James Senior (Divisional Manager) and
• Mr Cletus Obinna Iwunwa (Group Finance Controller), etc.

An overview of the company’s recent financial performance

First Aluminium Nigeria Plc is yet to release its full-year 2018 financial result. But the company’s unaudited financial disclosure for the period ended September 30th, 2018 shows it recorded a total turnover of N5.3 billion, with a profit after tax of N52.8 million. In 2017, it recorded a turnover of N9.3 billion, with a profit after tax of N209.9 million.

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It is interesting to note that First Aluminum is valued at about ₦801 million, a massive 86% discount to its net book value. The company currently has a net asset of about ₦5 billion compared to its market value of ₦801 million. The relatively cheap valuation is attributed to its low trading volume, as demand and supply for the stock is non-existent.

The shareholders are obviously under no pressure to allow the market price increase appropriately, seeing that they own most of the shares.

The company’s ownership structure is such that Alucon Holdings SA holds 1,592,846,712 shares, representing 75% (majority) shareholding by Alucon, which itself is a subsidiary of Inlak Group. The remaining 25% of First Aluminium’s shares is owned by the company’s directors and the investing public.

This company should perhaps consider going private as it is of no value continuing to exist as a listed company on the Nigerian Stock Exchange.

Plans for the future

First Aluminium Nigeria Plc plans to continue leading the aluminium market in Nigeria. To do that, it is working towards further diversifying its products base, and possibly expanding into the export market. Just as it was stated in the company’s 2017 financial report, “the company continues to encourage the usage of aluminium rolled products in the country and plans to diversify its products base, including expansion into export markets. On the packaging front, we will consider further investment in technology. The company will explore new opportunities to increase its market share.”

However, the company might voluntarily delist from the NSE

In September 2018 when First Aluminium Nigeria Plc held its annual general meeting, the company’s board brought up the issue of voluntarily deviating which was met with instant disapproval from minority shareholders. This is despite explanation by the company’S Vice Chairman, Mr Tosa Ogbomo, who said that the company had considered the move in order to enable pursue other means of raising funds for capital.

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In the meantime, it is not yet clear when the First Aluminium Nigeria Plc would actually delist. But the possibility of that happening this year abounds.


Emmanuel is a professional writer and business journalist, with interests covering Banking & Finance, Mergers and Acquisitions, Corporate Profiles, Brand Communication, Fintech, and MSMEs.He initially joined Nairametrics as an all-round Business Analyst, but later began focusing on and covering the financial services sector. He has also held various leadership roles, including Senior Editor, QAQC Lead, and Deputy Managing Editor.Emmanuel holds an M.Sc in International Relations from the University of Ibadan, graduating with Distinction. He also graduated with a Second Class Honours (Upper Division) from the Department of Philosophy & Logic, University of Ibadan.If you have a scoop for him, you may contact him via his email- [email protected] You may also contact him through various social media platforms, preferably LinkedIn and Twitter.

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    Business Half Hour

    Cloud services are your safest bet against data and intellectual breaches – Adejumo, Cloudflex founder

    The rule of keeping data within the country of origin allows Cloudflex to collaborate rather than compete with international players.



    The Twitter community went up in flames last year when the official accounts of notable personalities like Donald Trump, Elon Musk, Jeff Bezos, Bill Gates, and Barack Obama were hacked by individuals who managed to rip some followers of their cryptocurrency. Those accounts were suspended for some days pending investigations but what this did was to alert the world to the need for heightened cybersecurity in countries.

    In Nigeria, particularly, where cybercrime has been on the increase in the last couple of years, cybersecurity is a touchy topic; especially since global laws expect that customer data should not be stored outside the company of origin and most of the cloud services companies are international. There is, however, a local cloud company providing cloud services for Nigerians in Nigeria.

    Cloudflex was founded in 2016 and has focused on providing cloud support infrastructure and services for companies away from the company premises. Founder and CEO of Cloudflex, Remi Adejumo was a guest on Nairametrics Business Half Hour recently, where he explained that the company was created to provide tailored solutions for clients in the Nigerian space.

    Having worked almost three decades in several institutions, the last of which was EcoBank Nigeria Plc where he was in charge of IT Infrastructure, Adejumo saw the opportunity to create a Nigerian-built cyber-security solution, “that is fully Nigerian and run by Nigerians.”

    “This is not a service where one size fits all. We have our peculiarities as a market and we are designed to serve the Nigerian market. If you want to get a foreign cloud service, you could wait 6 to 8 weeks, but if you want to get one from Cloudflex, you could have it in 24 hours.” Adejumo explained.

    When companies were making several adjustments to fully activate the remote-working policy at the peak of the coronavirus pandemic lockdown, the importance of cloud services became more obvious. Companies needed a round-the-clock server from where the staff could access data from their homes and still work seamlessly.

    The rule of keeping data within the country of origin allows Cloudflex to collaborate rather than compete with international players like Microsoft Azure and Amazon’s AWS, and use one another’s platforms.

    There are a lot of security concerns about cloud services which some people think is not safe enough, but cloud-service providers would still insist that they are the safest option.


    “The cloud platform is far safer than your own private server because your private server is on your premises and everyone knows where it is. From experience, 70% of breaches are done by the staff of your own organisation, and having a third party manage your own platform, means that you and your staff don’t know where it is. There is a protocol in giving access from the service provider, so security is higher. The data breach is not just financial, it is also intellectual. You can secure a building as much as you want, but as long as there is a door, somebody can still go in. That is the limit to your physical server in your office premises,” Adejumo explained.

    There are also advancements in predictive learning, analysis, and reactive security, that allows the cloud systems to detect and flag activities outside the patterns until it is confirmed and validated.

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    Like most other startups in the tech space, funding remains a challenge. Adejumo recounts that the company started off solely on his savings and proceeds from the sales of some assets. Nigerian investors appear to still be sceptical of the tech startups and the result of this is that a lot of investment in the tech space comes from outside the country.

    Cloud services will play a major role in the future of cybersecurity and Cloudflex is poised to take a space in that scene. According to Adejumo, the company is in the process of securing funds for expansion, although crowdfunding is not one of the options being considered.

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    Company Profile

    Interswitch: The story of one of Africa’s earliest unicorn companies

    Interswitch has come a long way, pioneering the Nigerian digital payments system.



    Interswitch expands operations, acquires majority stake in eClat Healthcare 

    One can hardly switch from the years of carrying large volumes of cash around to the years of using a card for financial transactions in Nigeria, without mentioning Interswitch.

    Like the name suggests, the company uses a ‘switching’ infrastructure to connect the different banks in Nigeria and provides the technology now used for ATM cards. From a time when the company had only 3 banks on its network, Interswitch has grown in the last 19 years and now has 11,000 ATMs across different banks on its network.

    How the journey started

    A young graduate working in Telnet, Mitchell Elegbe was worried by the several inconveniences Nigerians had to go through to carry out financial transactions. From making long and stressful journeys to the banks, waiting in long queues, missing transaction deadlines, and increased loss of cash to criminals, that was certainly not the easiest of times to be an adult. Some opted for bank drafts to avoid carrying cash to travel, and I remember accompanying my mother to the bank a couple of time to buy a bank draft to pay my school fees.

    READ: Interswitch to launch multi-currency prepaid card with Kenya’s credit bank

    Many people had to join long queues at the banks on Friday evening to withdraw enough cash for the weekend, and this naturally meant that weekends became work hours for criminals. The most frustrating part of it was that the bank branches did not have any software connecting them, so customers had to continue withdrawing money from the exact branch they opened the account, even when they needed to make long business trips. Even the highway became a playfield for robbers.

    The young Elegbe who had only worked two years after his National Youth Service Corps, came up with the Switch idea, but the plans did not materialise as many traditional players were not interested in buying the switch software.

    Not deterred by this little glitch, Elegbe went ahead to establish Interswitch, an organisation which would use the Switch software to address the problem. This time, he got the support of Accenture, and also got buy-in from some banks to raise a part of the start-up capital. Getting a Chief Executive to head the company was the next hurdle to be crossed, as Elegbe recalls that most of the capable hands then available were expatriates “who expected to earn more than the company’s capital”.

    READ: DEAL: Visa to acquire 20% stake in Interswitch, valuing it at $1 billion


    In search of cheap labour, he had to take up the task even though he had very little experience thus resigning his job at Telnet. The shareholders and the sponsoring company (TELNET) had their concerns at first, but they gave Insterswitch a shot and under Elegbe’s leadership, the company pushed through the uncertain years to become what it is now. Eight years later after starting Interswitch, the company was valued to be worth N26 billion (over $170 million), giving massive returns to early private equity holders.  The company’s network grew steadily from 7 banks to 13, and then an ATM consortium and Globacom, a mobile telecommunications provider, up till this point when it has almost all Nigerian banks and 11,000 ATMs on its network.

    Though Elegbe had no shares at the outset, his impressive performance earned him and his team some equity in the company in the coming years.

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    “So you have somebody who invested N10 million in this business going away with N2.6 billion after eight years. That to me was real value,” Elegbe said. When you help solve big problems, Mitchell says, you’re bound to be well rewarded.

    Mitchell Elegbe is now the Group MD & CEO, Akeem Lawal is Divisional CEO, Switching & Processing Group while Mike Ogbalu is CEO, Verve International.

    In 2019, Visa bought a fifth of Interswitch at a valuation of $1billion, making Interswtich Africa’s first fintech unicorn.

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    Interswitch is the owner of Verve, an international debit card and Nigeria’s most used payment card which is said to account for over 70% of the 25 million cards in circulation in the country. The company also owns Quickteller, an online payments platform; Retailpay, a mobile business management platform; Interswitch S&P, the first Nigerian in-country interbank transaction switching and third party processing for all card brands; and Smartgov, an identity management and e-payment infrastructure for state governments. Interswitch now serves almost all the state government of Nigeria, and is present in several other African countries including Kenya and Uganda.

    Just last month, the group announced the launch of Quickteller Business – a new comprehensive corporate solution focused on empowering businesses of all sizes, to facilitate payments and manage transactions from anywhere in the world– through one, simple integrated platform. The platform added to its launch offer, a three-month zero transaction fee incentive for SMEs that sign up immediately.

    Buy-ins, acquisitions and buy-outs

    Interswitch has had several achievements over the years, and some more distinct than others. Two-third of the company was sold to a consortium led by Helios Investment Partners in 2010, and barely a year after, Interswitch took a 60% stake in Bankom in Uganda.

    In 2013 the payment processing company entered into an agreement with Discover Financial Services, and in September 2014, Interswitch acquired a majority shareholding in Paynet Group, an East-African payments provider.

    In 2015 Interswitch launched a $10m investment fund for African start-ups in the payments sector, and has since then, strategically invested in other African startups in the payments services.

    Interswitch has also acquired VANSO, a mobile-focused technology provider to banks. This new acquisition has VANSO’s mobile banking, SMS and security business lines being fully integrated into Interswitch’s digital commerce and technology operations in Nigeria, and across Africa.

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    The IPO that never was

    It was in 2016 the Interswitch first hinted at an Initial Public Offering (IPO) on the London Stock Exchange and /or the Nigerian Stock Exchange as part of options to create possible exits for its backers, but that listing never happened due to “unfavourable economic situation”.

    By July 2019, it was reported that Interswitch had resumed its IPO plans and enlisted JPMorgan Chase & Co and Standard Bank Group to work on the potential IPO that was expected to value the company between $1.3 billion to $1.5 billion. This listing was expected to come through by 2020, but it is believed that the COVID-19 pandemic and other economic issues which plagued 2020 may have altered the company’s plans.

    A recent statement from the CEO says that Interswitch will continue with alliances in line with its growth plans, but an IPO might not be in immediate view. According to him an IPO may be considered when private equity investors want an exit out of the business.

    In place of the earlier expected IPO, the company announced the listing of N23 million bond on the Nigerian Stock Exchange (NSE) in February 2020. The bond is to run at a fixed interest rate of 15% for a tenure of 7 years.


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