VFD Group Receives SEC’s Approval for N50.6bn Rights Allotment

Kayode Tokede  

The Securities and Exchange Commission (SEC) has approved the Rights Issue of 5,067,396,400 ordinary shares of VFD Group Plc, valued at N50.07 billion or N10.00 per share. 

The Rights Issue, which was subscribed by existing and new shareholders achieved 100per cent subscription, majorly by existing shareholders, who made up 88per cent of the investors in the Rights Issue. 

Following this regulatory approval, the shares would be credited to the depository accounts of shareholders with the Central Securities Clearing System Plc (CSCS), and would subsequently be available for trading in the secondary market on the main board of the Nigerian Exchange. 

Speaking on the approval of the Rights Issue, the Group Chief Executive Officer, Mr. Nonso Okpala noted; “We are thrilled by the success of our Rights Issue, and we appreciate the confidence of our esteemed shareholders in our ability to execute on our next growth strategies aimed at positioning VFD Group as a leading investment holding company in Africa. Our mission is to fill the immense vacuum across many sectors of the economy and in doing so, we create unparalleled value for our shareholders. 

“We thank the Securities and Exchange Commission and our transaction advisers for the diligence through the overall process. The proceeds of the Rights Issue afford us the opportunity to upscale our flagship businesses, recapitalized all capital market-related entities in line with new regulatory requirements and accelerate our business incubation program.”

The Executive Director, Finance, Mr, Folajimi said; “the success of the Offer is a testament of investor confidence in the Group’s leadership and we do not take it for granted. More than ever, we are committed to our vision and values of disciplined investment and effective risk management.”