Under its new management team, Ellah Lakes Plc’s restructured and diversified its operations from fish farming into oil palm cultivation and processing in 2019, after experiencing several years of worrisome operational performance.
Ellah Lakes’ primary business has been the breeding and processing of freshwater fish since its inception. However, the company was forced to operate at a loss due to competition from fish importers and the unrest caused by militants in the Niger Delta region. The business reported a loss of about N10.788 million in August 2018 which resulted in divestment from its fish division.
With its recent entry into oil palm cultivation, the company is attempting to take advantage of the opportunities in the oil palm space by drawing on its core competencies and experience, while also adopting a sustainable and pan-African strategy.
About Ellah Lakes Plc
Ellah Lakes Plc was founded in 1980 with a large fish farm by the late Senator F. J. Ellah and is headquartered in Benin, Edo State. It is the first agribusiness company to be publicly listed on the Nigerian Exchange (NGX) .
The Niger Delta region’s unrest forced Ellah Lakes Plc to halt its commercial operations in 2016 after engaging in fish farming, producing, and marketing freshwater fish. Ellah Lakes subsequently completed the acquisition of Telluria Farms in May 2019, which resulted in refocusing its corporate objectives to oil palm, cassava, maize, and soya into their derivative products. With the acquisition, Ellah Lakes now has 2,400 hectares of land set aside for the growth of oil palm and is currently working to establish Staple Crop Processing Zones (SCPZ) in Nigeria.
Achievement
- Ellah Lakes believes that by addressing food security, assisting local farming communities and female smallholder farms, promoting gender balance in its executive team, and assisting environmentally friendly production, it is working to achieve four of the United Nations Sustainable Development Goals.
- From 2020, Ellah Lakes has expanded by acquiring 5,000 hectares in Ondo State and 5,000 hectares in Enugu for the establishment of Staple Crop Processing Zone (SCPZ) and the farming of rice, maize, cassava, and soybean.
Investor Relations
The business was listed on the Stock Exchange on January 14th, 1993 and currently has a market capitalization of 7,200,000,000. Its 2022 financial report is not yet available.
Board of Directors
The Board of Directors include:
Olumide Akpata- Chairman
In 2019, Akpata took over from Rtd. Gen. Zamani Lekwot as Chairman. He’s a 1992 graduate of Law from the University of Benin, and in 1993, he was admitted to the bar. At the Templars law firm in Nigeria, he became a senior partner and the head of the corporate and commercial practice group. In July 2020, he was elected as the first President of the Nigerian Bar Association who is not a Senior Advocate of Nigeria.
Chuka Mordi, Chief Executive Officer, MD & Director
Mordi is the MD/ CEO of Ellah Lakes Plc. He also serves as a non-executive director of CBO Investment Management Ltd, a member of The Chartered Institute of Bankers of Nigeria, and serves on the board of CBO Capital Partners.
Prior to joining Nex Rubica Capital Ltd., Chuka Mordi held executive positions with FCMB Group Plc, Union Dicon Salt Plc, and Union Dicon Salt Ltd. He has more than 20 years of experience in investment banking, private equity investing, and investment research. Mr. Mordi graduated from King’s College, University of London, with a degree in Philosophy.
Others are:
- Joe Attueyi-Director
- Osaro Oyegun- Director
- Enotie Ogbebor, Director
- Chijioke Dozie, Director
- Hauwa Nuru- Director
- Nnenna Onyewuchi, Director
- Shehu Abubakar- Director
- Evans Gbubemi Jakpa-Director
- Maxwell Oko- Director
It is important to note the external stakeholders that affect the Nigerian Agricultural value chain as a whole, and they include: the Federal Ministry of Agriculture & Rural Development (FMARD), The National Agency for Food and Drug Administration and Control (NAFDAC), Standard Organisation of Nigeria (SON), The Nigerian Investment Promotion Commission (NIPC), the Central Bank of Nigeria (CBN) amongst others.
News
To promote the production of rice, soybeans, and cassava, Ellah Lakes Plc announced on September 8th, 2022, that it had acquired the management and operations of Adarice farms and associated assets from the Enugu State Government. Ellah Lakes eventually hopes to expand its cassava farming into the production of High-Quality Cassava Flour (HQCF), and then work to create Industrial Starch for the pharmaceutical industry and other agro-related businesses. In light of Nigeria’s maize deficit, plans are in place to quickly close the gap.
The business is confident that with its new business strategy, it will make it a significant player in the agriculture industry. However, it may encounter more fierce competition from established players like Okomu Oil and Presco Plc due to its new oil palm venture, and OLAM Nigeria. The company may need to keep revamping its strategies and leveraging on the NSE to raise money to fund future expansion and compete favorably.
Beware! the ides of uac. Beware.
Ellah Lakes Plc should not over enlarge its portfolio of agro businesses it is taking on. Presco, Okomu, concentrated on just two: rubber and oil palm with oil palm business occupying about 80% of their strategic thinking.
Again, beware the ides of uac.