Odu’a Investment shareholders approve N428m dividend for 2023

Update: 2024-05-02 15:47 GMT

Shareholders of Odu’a Investment Company Ltd., (OICL) on Thursday approved the total dividend of N428 million declared by the company for the year ended Dec. 31, 2023.

They gave their approval at the company’s 42nd Annual General Meeting (AGM) held in Lagos.

They also approved other resolutions and the company’s financial statements for the financial year ended 2023.

Supreme News reports that Odu’a group, owned by the government of the Western States of Nigeria, is a strategic investment and asset management firm founded in 1976.

The company was established to hold and manage the industrial and commercial assets of companies.

It has substantial investments in real estate, energy, hospitality, information technology, printing and publishing, equipment leasing, food and beverages, among others.

The total dividend would be shared equally among the six states that have equal equities in the company.

In his address, Otunba Bimbo Ashiru, Group Chairman, Odu’a Investment, said that it was the 10th consecutive year that the company would be paying dividends to its shareholders

On the company’s financials for the year under review, Ashiru stated that the firm recorded modest seven per cent growth in its operating revenue from N3.68 billion in 2022 to N3.95 billion in 2023.

Ashiru stated that in spite of the economic headwinds of 2023, the company was able to post an impressive performance, as its Profit Before Tax(PBT) grew by 62 per cent to N1.772 billion in 2023, from N1.092 billion recorded in 2022.

The chairman expressed satisfaction with improved collaboration and synergy within the group and leveraging shared services, cross selling, joint marketing and astute business innovation.

He noted that Odu’a Investment is translating the timeless vision of the founding fathers of the company into reality by the implementation of the group’s five-year strategic plan.

Ashiru explained that the strategic plan aimed to sweat, create and revive businesses and assets to deliver continuous growth and value to shareholders and stakeholders.

According to him, notable events in the year under review included the commissioning of the Phase one of Westlink Iconic Villa, Alakia, Ibadan, comprising 67 residential units of three-bedroom apartments, four-bedroom and five-bedroom duplexes.

“It also involves the launching of the Odua Investment Foundation and its flagship Educational Intervention Project, tagged: ’’Digital Education for Innovation and Economic Development (DEFINED).

“Odu’a Investment also secured its first ever Credit Rating in 2023 with Agusto & Co awarding it ‘’A’’ Rating with a stable outlook attributed to its deft management and good operating cashflows supported by its diversified income streams and portfolio of subsidiaries and associates.

Delivering the annual report, Mr Adewale Raji, Group Managing Director/CEO of Odu’a Investment, who officially will be retiring on May 31, appreciated the shareholders for the opportunity given to him to serve the company for two successive terms, lasting 10 years.

Raji said with the support of the shareholders, a new corporate governance framework that depoliticised operations, appointments and management of the firm was enthroned.

The managing director stated that company in this past ten years witnessed repositioning that was driven by her SRC (Sweat, Revive & Create)- 2025 Strategy to be a lean non-operating investment holding company focused on eight sectors.

He listed the sectors as: real estate, hospitality, financial services, agriculture, energy/power, ICT/ digital, healthcare/pharmaceuticals and logistics/e-commerce.

“It is such focus on ‘’Sweating’’ that necessitated the consolidation of the entire group real estate portfolio under our Wemabod Ltd., subsidiary.

“This led to the massive redevelopment either through own resources or joint venture partnerships of our real estate portfolio to optimise yield and return.

“‘’Revive’’ is manifesting in our renovation and redevelopment of Premier Hotel at Ibadan with significant progress made in both the existing building and new developments on the site with phased re-opening starting in half year of 2025.

“‘’Create’’ reflects in the significant step up in our BITA Exploration and Production Ltd., marginal field (PPL 249) funding thrust to implement the Field Development Plan with our partner, Pioneer Global Energy Resources.

“The company expects that once these funding and regulatory requirements are met, it will be able to achieve ‘’First Oil’’ within the first quarter of 2025.

“All these translated to remarkable success in its financial performance, corporate governance, risk management, and asset optimisation across its chosen sectors,” he said.

Raji expressed confidence that the incoming group managing director of the company, Mr Abdulrahman Yinusa, would deliver on the ongoing redevelopment of the company’s hotels and the group’s new pipeline of premium residential and commercial projects.

He assured that the new managing director would also secure viable joint venture partnerships for the agriculture portfolio and achieve ‘’First Oil‘’, in the implementation of the field development plan of BITA marginal field.

According to him, Yinusa would facilitate the company’s mainstream participation in the turnaround of the power sector.

Raji expressed optimism that President Bola Tinubu administration’s pursuit of a market-driven approach to resolving underlying problems of the economy would attract long-term investments into the country to fund infrastructure and social services.

He said that these include roads, rail, power, healthcare, and education, among others, that would translate into sustainable economic and human capital development.

Prof. Olanike Adeyemo, Secretary to Oyo State Government, commended the board of OICL for piloting the affair of the organisation to an enviable height.

Adeyemo said, worthy of note was the consistency the organisation had maintained in remitting annual dividend for shareholders in the last 10 years.

Also, Mr Olatokunbo Joseph, Secretary to Ogun State Government, said, “I’m very proud to see OICL manifest as a big company. I feel everyone should give an applause to the directors for giving us a fair financial analysis.

“I enjoin everyone to stay focused on what we are set to do,” Joseph said.

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