Transnational Corporation of Nigeria (Transcorp) Plc has outlined a strategic plan to sustain stable growth and ensure good returns to shareholders.
At the 14th annual general meeting (AGM) of the conglomerate, which was held online due to the COVID-19 pandemic, the conglomerate outlined key strategic steps that will deliver better values to shareholders.
Shareholders participated in the meeting through proxies and a total of 129 proxies representing holders of more than 21.45 billion ordinary shares of the company voted on the resolutions proposed by the directors to the shareholders.
Group Chief Executive Officer, Transnational Corporation of Nigeria (Transcorp) Plc, Owen Omogiafo set out her strategic ambition while reiterating her commitment to safeguarding shareholder interests by ensuring improved dividends.
Omogiafo, who was recently appointed as the Group CEO with a team of subsidiary Chief Executive Officers, assured that the new management team is dedicated to delivering and exceeding the strategic objectives of the company, rooted in its founding vision and expressed in its corporate purpose of ‘Improving Lives, Transforming Nigeria’.
“In Hospitality, we will deepen and expand our market share by deploying an asset light strategy, leveraging best in class technology and continuously drive the highest service standards.
In power, we target completing the ongoing transaction for the 100 per cent acquisition of another power plant in the gas rich Niger Delta Region of Nigeria – Afam Genco, this year. This will enhance our play in the power space, with increased generation capacity, revenue and profitability,” Omogiafo said.
According to her, the company’s drive to diversify its energy mix will also continue, with a focus on renewable energy and off grid solutions.
She said the company will continue to monitor developments in the oil and gas space, while making the best decisions in the interest of the shareholders regarding the development of its oil and gas asset, OPL 281.
“Working with the Managing Director of Transcorp Hotels Plc, Dupe Olusola and the Managing Director of Transcorp Power Ltd, Chris Ezeafulukwe, and all our highly committed staff and partners, we are well positioned as a group to continue to deliver great value for our shareholders,” Omogiafo said.
She assured that despite current challenges brought by the global pandemic, the underlining strength of the group’s businesses, quality of its assets, its position as the leading Nigerian electricity producer, the proud owner of the Transcorp Hilton Hotel in Abuja, the hospitality gateway to Nigeria and its growing strength as an effective natural resources player, should give shareholders great confidence in the group’s future.
She praised staff and management particularly for their dedication during the recent lockdown.
Chairman, Transnational Corporation of Nigeria Plc, Tony Elumelu, commended the efforts of the government in combatting the scourge of COVID-19 and reiterated the importance of synergy between the private sector and government, in stemming the spread of the global pandemic.
“I’ve often said that our commitment to improving lives and transforming Nigeria is a lifelong one. Those words are truer today than ever, as we partner with State and Federal authorities to stem the tide of the COVID-19 pandemic, while our businesses seek to cushion its impact for Nigerians in their course of operation,” Elumelu said.
Shareholders said the decision to hold the AGM virtually was a demonstration of the proactiveness of the company, while efficiently and effectively channeling its resources.
Chairman, Progressive Shareholders Association of Nigeria (PSAN), Boniface Okezie said the virtual AGM reflected the level of innovation and technology adoption by the conglomerate.
Transcorp achieved a turnover of N76.35 billion and profit before tax of N7.90 billion in during the year ended December 31, 2019. Revenue from its power business, Transcorp Power Limited, declined during the period, reflecting acute gas supply issues, transmission challenges, delay in debt payment by government and continuing structural impediments in the sector.
The company’s hospitality business, Transcorp Hotels, on the other hand, grew its year-on-year revenue by 17 per cent while gross profit increased by 19 per cent.