By Adedapo Adesanya
The proposed rights issue of a proprietary investment company, VFD Group Plc, has received clearance from the Securities and Exchange Commission (SEC).
The firm plans to raise about N4.1 billion from the exercise with the sale of 7,452,054 ordinary shares of 50 kobo each at N556 per share on the basis of one share for every 16 shares held.
The VFD Group rights issue was approved by the board of directors of the company at its Extraordinary General Meeting (EGM) held last November.
Proceeds from the exercise would be used to finance the long-term strategic plan of VFD Group to harness the opportunities in selected companies that meet its investment criteria.
A statement from the company said its Group Managing Director/CEO, Mr Nonso Okpala, expressed gratitude to the regulatory body over the approval.
“Our expansion drive has been a long time coming and with this clearance, one of our immediate first steps is the enhancement of our systems and the integration of all our subsidiary offerings under a very effective and technological platform.
“We are focused on expanding further within the local financial services industry as well as on the African continent,” he disclosed.
VFD Group is a proprietary investment company that focuses on building positive and socially conscious ecosystems by aggregating potentially viable business with the objective of creating innovative products and solutions that are accessible to the everyday Nigerian citizen and entrepreneur.
The firm was founded on the values of integrity and good governance, and built on the strength of innovation and network. Its goal is to establish a firm foothold in various ecosystems on the continent through their subsidiary companies.
The organisation operates through the various portfolio to provide innovative financial services – alternative funding and investment channels – that are accessible to individuals and small businesses that provide financial advisory, currency exchange, debt services, private funds management, asset management, real estate, international remittance/settlement.
VFD Group trades its securities on the floor of the NASD Over-the-Counter (OTC) Securities Exchange and in the last one month, its value has increased by 224.5 per cent from N105.07 per share to N361.82 per share.
Modupe Gbadeyanka