• Tuesday, March 05, 2024
businessday logo

BusinessDay

SKLD maintains market position with N969.1 M commercial paper repayment

SKLD maintains market position with  N969.1 M commercial paper repayment

SKLD Integrated Services Limited, a technology-enabled manufacturing and trading company operating across various business sectors in Nigeria, has announced the repayment of its Series II, III & IV Commercial Paper, totaling N969.1 million.

The repayment of the Company’s Series II, III & IV Commercial Paper amounting to N126.7 million, N252 million and N590.3 million respectively underscores SKLD’s financial prudence and stability, reinforcing its position in the market and maintaining an unblemished track record of successful repayments since its debut issuance in the market.

Facilitated by Coronation Merchant Bank and Afrinvest Capital Limited as the issuing house and joint issuing house respectively, this repayment marks a significant milestone in SKLD’s financial journey.

According to a statement by the company, throughout the past year, SKLD has showcased robust growth and financial resilience, maintaining consistent financial metrics despite the challenges of growing inflation and FX volatility in the Nigerian economy. The Company reported a 40 percent revenue increase, demonstrating substantial growth from N2.8 billion in 2022 to N3.9 billion in 2023.

“SKLD expanded its local production capacity and diversified its clientele beyond the educational sector. Notably, the Company increased its involvement in the supply of humanitarian relief products to both International and local NGOs and its partnership with OEMs for the supply and distribution of technology projects. These business segments experienced notable growth in 2023 compared to the previous year,” it said.

Temilola Adepetun, the Chief Executive Officer and Managing Director of SKLD stated, “SKLD is committed to harnessing the debt capital market to efficiently fund its strategic working capital requirements in a bid to facilitate continued growth and diversification for the company. This will allow SKLD to cater to a wide range of customer audiences while delivering value to all stakeholders.”

As part of its efforts to optimize direct costs, SKLD entered strategic partnerships with suppliers in India for the importation of specialized fabrics unavailable locally for the manufacture of school uniforms for manufacturing school uniforms in its garment production factory in Lagos.

“This strategic move diversified the supply chain and promised significant production cost savings, fostering an improved bottom line in the coming years while maintaining product quality,” the company said.