Nigeria’s leading FMCG Cadbury Plc engaged the investing community on its recent market plan to return its excess capital to shareholders , who the group believes are best placed to take their own investment decisions. The company led by its Managing Director Mr Emil Moskofian visited the Nigerian stock exchange, to perform the ceremonial closing bell ringing for the day and also the ‘Facts behind the reduction’.
Receiving the group at the ‘Facts behind the reduction’ on the behalf of the CEO Nigerian stock exchange Mr. Oscar Onyema , Mrs. Taba Peterside General Manager Listing Nigerian stock exchange described Cadbury Plc as a leading player in the market, who had been consistent in abiding by the principles of corporate governance, maintaining a healthy financial base and experiencing a shareholder growth value of over 11%.
In her presentation the Director Financial Strategy Cadbury Plc Mrs Oyeyimika Adeboye described the company’s performance in terms of market value in the economy as sustainable, considering its operations in the capital market for 50 years. She stated during this period Cadbury had delivered strong returns to its shareholders and experienced a 58% surge specifically between the period 2009 and 2012.
On the Capital reduction, she clarified that it entailed the reduction of the Company’s share capital and premium, and the return of this reduced capital to the shareholders. This meant two out of every 5 ordinary shares held by the shareholders were cancelled and the nominal value of the shares thus cancelled and reduced from share capital and returned to shareholders.
Affirming the decision of the Company Mrs Adeboye said that from the projections, it was clear that it would generate sufficient capital to meet its expansionary and operational requirements, hence the board approval which is in line with Section 106 of the Company Allied Matters Act Cap. C20 LFN 2004.
On the Capital reduction, she clarified that it entailed the reduction of the Company’s share capital and premium, and the return of this reduced capital to the shareholders. This meant two out of every 5 ordinary shares held by the shareholders were cancelled and the nominal value of the shares thus cancelled and reduced from share capital and returned to shareholders.
The Finance Director assured that shareholders will not experience a reduction in their ownership percentage, instead their shareholding percentage in the company will be the same. With the share capital reduction, all shareholders were guaranteed to maintain their existing percentage ownership.
Speaking also at the event, the Managing Director of Cadbury Plc Mr. Emil Moskofian asserted that the group had become the Nation’s iconic brand in beverages and candy with a nice long history, and is in full support of the backward integration policy of this present administration on Agriculture, catching in on the opportunities in the ‘cocoa sector’ thereby repositioning itself as the leading industry player.
He stated that Cadbury Plc will continue to invest in equity building of brands, continue to drive growth and expansion, as well as explore new frontiers by introducing new brands in the future. Mr Moskofian said the group hoped to retain the ‘Nation’s favorite candy status.
In his remark the Doyen of the exchange, Mr Samuel Ndanta applauded Cadbury for doing the ‘Facts behind the reduction’, he however urged the company, to consider reinvesting such funds into capital growth that will lead to the expansion of the group into in new frontiers.
Also in attendance at the event was Mrs Fola Akinde Company Secretary Cadbury Plc and Mrs Cynthia Akpomudiare Head, Administration NSE.
Source: webtvng.com
