Shareholders Okay’s Red Star Express 43 Kobo Dividend… Rights Issue Awaits SEC Approval

Shareholders Of Red Star Express Plc has approved the payment of 43 kobo dividend for the financial year ended March 31, 2019. The approval was made at the courier and logistic company 26th, Annual General Meeting (AGM) in Lagos.

The dividend will be paid to shareholders whose names appear in the register of members at the close of business on July 16, 2019, via e-mandate on August 15, 2019. Just as the company expected Right Issue is awaiting the Securities and Exchange Commission (SEC), approval.

Commenting on the company activities during the financial year under review, Chairman of the company Suleiman Barau, noted that Nigerian business terrain remains one of the most challenging in Africa. Pointing out that in the year 2018, the business environment was characterized by uncertainties in the political climate, due to the last general elections.

He explained that it is the desire of the board and management of the company to continuously explore new growth opportunities for revenue generation and expansion and invest wisely inappropriate resources.

On the Right Issue, Barau said “let me seize the opportunity to inform you that further to approval obtained at the Annual General Meeting held on August 31, 2017, to raise capital, a Right Issue has been put together and will open in a couple of weeks. Rights will be issued on the basis of one new ordinary share for every two ordinary shares held”

According to him, the purpose of the Rights Issue is to enable the company to expand its current operations, implement new growth opportunities already identified and optimize its use of technology. The company share price closed at N4.76 kobo at the close of business on Thursday, August 8, 2019.

Post Author: Friday Ekeoba