Shareholders of Transnational Corporation of Nigeria Plc (Transcorp) have congratulated the Board and management for the resilient performance achieved in 2019, despite the challenging environment. They welcomed the diversified earnings provided by the Group, Nigeria’s leading listed conglomerate, the largest power generator in Nigeria, operator of sub-Saharan Africa’s largest hotel and a growing natural resources player.
Transcorp held its 14th Annual General Meeting (AGM) online, due to the Covid19 pandemic, a corporate first in Nigeria. Shareholders participated in the meeting through proxies and a total of 129 proxies representing holders of 21,450,062,121 ordinary shares of the company voted on the resolutions proposed by the directors to the shareholders.
The President/Group CEO of Transcorp, Owen Omogiafo set out her strategic ambition, whilst also committing to safeguard shareholder interests by ensuring improved dividends.
Mrs. Omogiafo who was recently appointed as the Group CEO with a team of subsidiary CEOs, stated that the new management team is dedicated to delivering and exceeding the strategic objectives of the Company, rooted in its founding vision and expressed in its corporate purpose of ‘Improving Lives, Transforming Nigeria’.
She went on to say “in Hospitality, we will deepen and expand our market share by deploying an asset light strategy, leveraging best in class technology and continuously drive the highest service standards. In Power, we target completing the ongoing transaction for the 100% acquisition of another power plant in the gas rich Niger Delta Region of Nigeria – Afam Genco, this year.
This will enhance our play in the power space, with increased generation capacity, revenue and profitability. Our drive to diversify our energy mix will also continue, with a focus on renewable energy and off grid solutions. We will continue to monitor developments in the oil and gas space, while making the best decisions in the interest of the company and its shareholders regarding the development of our oil and gas asset, OPL 281.
Working with the MD/CEO of Transcorp Hotels Plc, Dupe Olusola and the MD/CEO, Transcorp Power Ltd, Chris Ezeafulukwe, and all our highly committed staff and partners, we are well positioned as a group to continue to deliver great value for our shareholders”.
In his address to the shareholders, the Chairman, Transnational Corporation of Nigeria Plc, Tony O. Elumelu, CON, commended the efforts of the government in combatting the scourge of COVID 19 and reiterated the importance of synergy between the private sector and government, in stemming the spread of the global pandemic.
“I’ve often said that our commitment to improving lives and transforming Nigeria is a lifelong one. Those words are truer today than ever, as we partner with State and Federal authorities to stem the tide of the COVID-19 pandemic, while our businesses seek to cushion its impact for Nigerians in their course of operation.”
The meeting was the first full virtual AGM to be held by any listed company on the Nigerian Stock Exchange. Shareholders viewed the decision to hold the AGM virtually, as a demonstration of the proactiveness of the company, efficiently and effectively channeling company resources.
The Chairman, Progressive Shareholders Association of Nigeria, Boniface Okezie said in his comments during the meeting, “This virtual AGM – the first of its kind for a publicly listed company in Nigeria, reflects the level of innovation and technology adoption in our company. This is truly exciting!”
Transcorp achieved a turnover of ₦76.35bn and profit before tax of N7.90bn in the year under review. Revenue from its power business, Transcorp Power Limited declined during the period, reflecting acute gas supply issues, transmission challenges, delay in debt payment by government and continuing structural impediments in the sector. The company’s hospitality business, Transcorp Hotels Plc, on the other hand, grew its year-on-year revenue by 17% and gross profit increased by 19%, compared to FY 2018.
Mrs. Omogiafo conclude by highlighting that despite current challenges brought on by the global pandemic, the underlining strength of the Group’s businesses, the quality of its assets, its position as the leading Nigerian electricity producer, the proud owner of the Transcorp Hilton Hotel in Abuja, the hospitality gateway to Nigeria and its growing strength as an effective natural resources player.
These should give shareholders great confidence in the Group’s future. She thanked staff and management particularly for their dedication during the recent lockdown.
Airtel Nigeria announces appointment of Surendran as new Chief Executive Officer
Airtel Nigeria, has announced the appointment of Mr C. Surendran as the new MD/CEO with effect from August 1, 2021.
Telecommunications giant, Airtel Nigeria, has announced the appointment of Mr C. Surendran as the new Managing Director and Chief Executive Officer with effect from August 1, 2021.
Surendran would be replacing the outgoing Managing Director and Chief Executive of Airtel Nigeria, Olusegun Ogunsanya, who has been elevated to the position of Chief Executive Officer of Airtel Africa Plc with effect from October 1, 2021.
According to a report from the News Agency of Nigeria, this disclosure is contained in a statement issued by Airtel on Wednesday, May 5, 2021, in Lagos.
The statement says that Surendran would also be appointed to the Executive Committee (ExCo) as Regional Operating Director, reporting to the CEO of Airtel Africa plc, and onto the Board of Airtel Networks (Nigeria) Limited.
Airtel in its statement said, “Surendran has been with Bharti Airtel since 2003 and has contributed immensely in various roles across customer experience, sales and business operations.
He was the Chief Executive Officer of Karnataka, which is the largest circle in Airtel India, with over one billion dollars in revenue.
Surendran delivered an exceptional performance with significant movement in Revenue Market Share (RMS) over the last few years, currently at 54 percent. He has over 30 years of business experience, including 15 years at Xerox.’’
Airtel said that Surendran would transition into his new role from June 1, 2021, and spend the time onboarding into the business until July 31, 2021.
In case you missed it
It can be recalled that a few days ago, Airtel Africa Plc, a leading provider of telecommunications and mobile money services in Nigeria and 13 other countries, announced the appointment of Mr Olusegun Ogunsanya as the new Chief Executive Officer, following the notice of retirement given by the current Managing Director/Chief Executive Officer, Raghunath Mandava, to the Board.
In the notification sent by Airtel Africa to the Nigerian Exchange, Ogunsanya is expected to join the board of Airtel Africa with effect from October 1, 2021.
Our First Bank loan is being serviced, reduced by 30% in 2 years – Honeywell Group
The credit facilities accessed from First Bank were granted after due negotiations, with the necessary documentation and in line with regulatory policies and industry standards.
The Honeywell Group has said that its loan with First Bank is being serviced as the conglomerate had reduced the facility by 30% in the last two and half years.
This was disclosed by the Group via a statement issued on Sunday and seen by Nairametrics.
According to the statement, the company and the bank have had a professional business relationship since 1975, which preceded the group’s investment in the bank over a decade later.
According to the Honeywell Group, the credit facilities accessed from First Bank were granted after due negotiations, with the necessary documentation and in line with regulatory policies and industry standards.
The Group further explained that following agreed terms, its facilities are adequately secured with First Bank with collaterals in place at over 170% of forced sales value and 230% at open market value.
It stated, “In 2015, First Bank under the directive of the Central Bank of Nigeria, drew our attention to a 2004 circular (BSD/9/2004) which requires that insider related facilities must not exceed 10% of paid-up share capital.
Based on this directive we subsequently entered negotiations with the bank to agree on an appropriate repayment structure and the final negotiated position was duly approved by the CBN.
In addition to the above, First Bank, on the directive of CBN, requested additional security in the form of FBN Holdings Plc shares held by the Chairman of Honeywell Group, Dr Oba Otudeko citing a 2001 circular. This was duly provided through an authorisation to place a lien on the shares.”
Honeywell Group has continued to meet all its obligations on its facilities with the bank according to agreed terms and has reduced its exposure by nearly 30% in 2.5 years. The facilities were charged at market rate and the bank continues to earn significant interest therefrom.”
What you should know
- Nairametrics had reported when the Central Bank of Nigeria directed Honeywell to fully repay its obligations to First Bank within 48 hours, warning that failure to do so would cause the CBN to take regulatory measures against the insider borrower and the bank.
- The Chairman of Honeywell Group, Oba Otudeko, also served as Chairman of FBN Holdings Plc until he was asked by the apex bank to go along with other directors on Thursday.
- The apex bank had noted in a letter last Wednesday that First Bank had yet to comply with regulatory directives on divesting its interest in Honeywell despite several reminders.
- Also, the CBN asked First Bank to forward evidence involving the divestment of interest in Honeywell Flour Mills and Bharti Airtel Nigeria Ltd within 90 days.
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