VFD Group Plc announced plans to raise ₦30 billion in additional capital through various instruments, including share issuance, global depository receipts, commercial papers, loans, convertible and non-convertible instruments, medium-term notes, and bonds.
Company Secretary Gbeminiyi Shoda revealed this at the annual general meeting held in Lagos State on Thursday, stating that the initiative aims to strengthen the company’s financial base and support its growth plans.
“That directors be and are hereby authorised to raise additional capital of up to N30bn through an offer by way of issuance of shares, global depository receipts, commercial papers, loans, convertibles, or non-convertibles. medium-term notes, bonds, and/or any other instruments, either as stand-alone or by way of a programme, in such tranches, series, or proportions, at such coupon or interest rates.
“Within such maturity periods and on such terms and conditions, including through the book-building process or such other processes, all of which shall be as determined by the directors, subject to obtaining the approvals of relevant regulatory authorities. The directors are and are hereby authorised to enter into any agreements and/or execute any other documents necessary for and/or incidental to effecting the resolutions above,” the company secretary stated.
As part of the capital raise, VFD Group’s board of directors has been authorized to enter into agreements and execute necessary documents to facilitate the fundraising, including engaging professional parties and complying with regulatory requirements.
The board assured shareholders that these measures would position the company to capitalize on emerging opportunities and enhance market competitiveness.
Additionally, shareholders approved capitalizing over N500 million from the company’s balance to issue bonus shares. The bonus shares will be distributed at a ratio of four new shares for every share held, increasing the company’s share capital and rewarding loyal investors.
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