Vitafoam Nigeria Plc may soon commence operations in Sierra Leone and some other sub-Saharan African countries.
The company had earlier started rolling out its products in Ghana. The Chairman of the company, Mr. Samuel Olaniyi Bolarinde, while fielding questions from journalists at the outfit's yearly general meeting in Lagos yesterday, explained that the plan was part of the company's proactive measures to take advantage of emerging opportunities in the West and Central Africa sub-regions.
"The whole economy has been regionalised unless we don't want to face reality. Companies like UAC is already in Ghana, even one of our directors is already selling in Ghana. If you have a quality product to be sold across the border and is within your regional area, you exploit it. "We have already started it and we think it would yield good results.
Infact, next year, we think we will double our turnover in Ghana because the prospect are already there. He added: "We are already incorporating a company in Sierra Leone the preliminary mark has not been done or finalised but we are already studying the situation there. If we don't eventually go there because our market survey does not justify our going there, we will pull out quickly, but we are confident that there is something to be added by way of value."
Reviewing the company's performance, Bolarindetold shareholders that despite the harsh economic environment, the company posted a turnover of N9.76 billion, in its 2009 operations, over N8.17 billion recorded in 2008, with a profit after tax N510.8 million, as against N698.3 million achievedin 2008.
The stakeholders of the company unanimously approved a dividend of N204.7 billion, culminating to 25 kobo dividend per share due to every shareholder of the company. To consolidate on this, the Chairman said the company has concluded a partnership arrangement with a notable system house in South Africa to offer technical support, in form of training, chemical system development and supply of equipment to develop the rigid foam business in Nigeria and the West Africa sub-region.
He added that new manufacturing plant and equipment were procured to enhance product quality and service delivery in the rigid foam business unit. "The latest machines are the block making plant and prolifematic machines. The growing machine was also acquired for the unit. The use of those modern capacity in the manufacturing of products offered in various sectors of the economy."
Bolarinde also disclosed that the company has also registered Vitapur Nigeria Limited, which would serve as a solution provider in sectors such as agriculture, construction, oil and gas, food processing as well as pharmaceutical sector.
He urged Central Bank of Nigeria to accelerate the on-going banking reform and put appropriate measures in place that would enable commercial banks commerce lending especially to the manufacturing sector.