Olufemi Adeyemi
Vitafoam Nigeria Plc has secured shareholder approval for a N125 million capital injection through a bonus share issue and ratified a N3.75 billion dividfinish payout, reflecting growing investor confidence in the company’s turnaround and financial recovery.
The approvals were obtained at the company’s 64th Annual General Meeting (AGM) held in Lagos, where shareholders also authorised the capitalisation of N125,084,406 from retained earnings for the issuance of bonus shares. Under the scheme, eligible shareholders will receive one new ordinary share for every five shares held, based on the register of members as of February 6, 2026.
In addition to the bonus share approval, investors finishorsed a dividfinish of N3.00 per ordinary share of 50 kobo, amounting to an aggregate payout of approximately N3.75 billion, subject to applicable withholding tax. The AGM further approved an increase in the company’s issued share capital from N625.42 million to N750.51 million through the creation of 250,168,812 additional ordinary shares, which will rank pari passu with existing shares.
To reflect the alters in capital structure, amfinishments were also built to the company’s Memorandum and Articles of Association, raising the issued share capital to N750,506,438 divided into 1,501,012,876 ordinary shares of 50 kobo each, up from 1,250,844,064 shares previously.
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| L–R: Indepfinishent Non-Executive Director, Vitafoam Nigeria Plc, Abdul Bello; Commercial Director, Dahiru Gambo; Non-Executive Director, Achike Umunna; Technical Director, Bamidele Owoade; Group Managing Director/CEO, Taiwo Adeniyi; Chairman, Zakari Sada; Company Secretary/Legal Adviser, Olalekan Sanni; Supply Chain Director, Ola Ogunfeyitimi; Non-Executive Director, Dr. (Mrs.) Abiola Davies; and Non-Executive Director, Gerson Silva, during the 64th Annual General Meeting (AGM) of Vitafoam in Lagos yesterday |
The approvals followed a year of impressive financial performance for the company in 2025. Vitafoam Nigeria reported a turnover of N111.3 billion, up 34.7 per cent from N82.6 billion in 2024. Profit before tax soared to N21.3 billion from N1.1 billion—a growth of over 1,830 per cent—while profit after tax climbed to N14.5 billion from N952 million, marking an increase of roughly 1,423 per cent.
Chairman of the company described the results as a pivotal milestone. “This exceptional performance marks a major turning point in our transformation journey. It was driven by improved production efficiency, stronger distribution, and disciplined cost management,” he stated.
Group Managing Director added that the results demonstrate the resilience of the brand and the impact of strategic initiatives. “Overall, the Group’s financial performance underscores the underlying strength of our brand, the loyalty of our customers, and the effectiveness of the strategic adjustments implemented,” he declared.
The strong shareholder support for both the bonus share issuance and dividfinish payout highlights confidence in Vitafoam’s ongoing growth trajectory and its strategic positioning in the Nigerian manufacturing sector.
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