Shareholders of a leading provider of innovative and intelligent business solution in Nigeria, Chams PLC, have approved implementation of a five-year strategic plan of digital transformation of its unique digital solutions for Nigeria and the African market.
The shareholders have also endorsed the Company’s plan to float N500 Million Rights Issue and execute Debt-Equity Conversion to boost its working capital and enhance implementation of the five-year strategic plan. The proposed capital injection had earlier been approved by the Securities and Exchange Commission (SEC) and The Nigerian Stock Exchange.
Addressing the shareholders at the 36th Annual General Meeting (AGM) yesterday, titled “Positioned For Focus and Growth “ the Chairman, Sir Ademola Aladekomo explained that the company had embarked upon a new five-year strategic plan and vision to grow shareholder value by focusing on African Digital Solutions with an emphasis on Nigeria.
Aladekomo who presided over the meeting on behalf of the immediate past Chairman, Dr. Mrs. ‘Dere Awosika, who signed the Company’s Annual Report, noted that Chams would take advantage of COVID-19 pandemic to expand its innovative solutions in order to boost income.
Shareholders commended the Company’s ability to weather the storm despite the tough operating environment and urged the management to ensure proper approach towards the re-financing plan, particularly, the need to connect with the major shareholders,in order to exercise their rights issue.
A shareholder, Pastor Peter Owolabi, urged the company to encourage the high net worth shareholders to take-up their rights, and further advised that the company should work hard to pay dividend next year.
Corroborating him, another shareholder, Mrs Ayodele Kudaisi said the company should maximize emerging opportunities in online businesses to boost its income in the domestic and international markets
In the review period Chams posted an income of N3.2 billion, an increase of 9% despite the tough operating environment, the company’s gross profit rose by 28.36% percent from N0.786 billion to N1.01billion, total net assets were up by 19 percent from the previous year. Furthermore, the company’s finance expenses declined by 26.19%, year-on-year due to prudent management.
“ We would like to remind our valued shareholders and the broader investor group that management will continue to strive to exceed this success as we are assured to delivering value to our stakeholders.”, said the Group Managing Director, Mr Gavin Young.