The ongoing Rights Issue of C&I Leasing Plc has been extended to January 13, 2020, thereby giving existing shareholders of the company more time to take up their rights. C & I Leasing Plc is currently shopping for N3.2billion by way of Rights Issue of 539,003,333 ordinary shares of 50 kobo each at N6 per share.
The acceptance list for the Rights Issue which opened on Monday November 18, 2019 will close on January 13, 2020. The company is offering existing shareholders 4 new ordinary shares for every 3 ordinary shares held as at the close of business on September 4, 2019.
The Rights Issue which is for the company’s existing shareholders who have been with them over the year offers gives them the opportunity to key into opportunity in the low priced shares. The company is currently the only leasing company listed on the Nigerian Stock Exchange (NSE).
Already, the N6.6 per share which the stock had traded on the Nigerian Stock Exchange before the Rights Issue commenced implied 270.8percent gain in 2019.
Over the years, C & I Leasing Plc has enjoyed consistent growth and has expanded its scope of business to cover major sectors of the Nigerian economy, providing specialized services, in Marine, Telecommunications, Oil and Gas, Equipment Rentals, Manpower Outsourcing and Transportation.
Currently, the Company has three divisions and two subsidiaries under its auspices, making up the C & I Leasing group of companies.
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The Company’s divisions include its Hertz/Fleet Management, Marine Services and Personnel Outsourcing.The N3.2billion projected proceeds from C&I Leasing Plc Rights Issue will be used to expand the company’s business and meet its working capital requirements. Summarily, leveraging the Rights Issue, the company wants to enhance its capital structure for optimum performance, provide working capital support in a timely manner, and capture potential attractive growth opportunities.
C & I Leasing Plc was incorporated in 1990 as a limited liability Company and duly licensed by the Central Bank of Nigeria to offer operating and finance leases and other ancillary services.
Today, it is the foremost brand for finance leases, and other ancillary services in Nigeria. With a current market capitalisation of over N3 billion (approximately $10 million), a staff strength of over 5,590 people and operational offices at key locations in Nigeria, Ghana and UAE, the company takes pride in its track record of exceptional and qualitative service delivery. Its total assets stood at N52.61billion as at December 2018.
“Nigerian leasing industry is vibrant and can thrive during periods of both economic boom and recession” said Andrew Otike-Odibi, Managing Director/CEO, C&I Leasing Plc.
Otike-Odibi noted during a conference call on the Rights Issue that it allows the Company’s shareholders to increase their equity holdings at a discount while creating an avenue for capital gains.
“It is expected that appetite for the equities market will be renewed by both domestic and foreign players, following the just concluded election as market fundamentals remain supportive of growth”, Otike-Odibi added.