…As Vitafoam’s boss assures investors of better returns
By Omodele Adigun
INVESTORS bartered 261 million shares Wednesday on the Lagos floor of the Nigerian Stock Exchange (NSE) just as the two top market indicators headed south in bearish trading.
At the close of business, both the All share Index and market capitalisation were down to 27,098.18 points and N9.307trillion respectively as against their opening levels of 27,475.48 and N9.436trillion. This downward trajectory might not been unconnected with the bearish sentiments still pervading the market.
For instance, the list of decliners was still longer than the price advancers at 16 to 18.
Meanwhile, the Group Managing Director and Chief Executive Officer of Vitafoam Nigeria Plc, Mr Taiwo Adeniyi, has expressed optimism that the company’s performance would not be affected adversely by the current business volatility in the country .
Adeniyi, who unfolded some strategies to sustain shareholder value, explained that Vitafoam remained committed to value creation and delivery as one of the fundamental principles that define the company’s operations.
Commenting on the current efforts to sustain its competitive edge, he noted that the company places premium on the realignment of internal processes to cut waste, develop human capital and invest in Research and Development in consonance with the needs of the customers.
Adeniyi stated that the company‘s shareholder value would not be compromised, hence the need to remain innovative and competitive.
“We remain committed to our shareholders as ever before to make returns to them. They will not be disappointed because for us as management , our responsibility is to return good dividends to our shareholders. That is our target and they will surely get good return for their investment.”, Adeniyi said.
Adeniyi also assured the company’s customers of quality products in line with global standards. According to him, Vitafoam’ stands out in terms of quality of products and service delivery.
He stated that despite the challenging operating environment, the company would always remain a good corporate citizen.
“We shall always count on their continuous support. These are tough times. We will surely get out of it. We still rely on their support for our products as ever before. Our products’ quality would not reduce for any reason . Rather, it would continue to be relevant,” he assured customers.
Adeniyi, who x-rayed the operating environment in Nigeria, lamented the plight of manufacturers. He explained that the most critical issue is the problem of sourcing raw materials which are almost 90 per cent imported.
He expressed concern that the government’s failure to create a special window for forex exclusively for genuine manufacturers had exposed these sector of the economy to the vagaries of the Naira exchange rate in the parallel market.
According to him, while traders could easily pass the increasing cost of funds to the consumers, manufacturers in Nigeria could not do that. He called upon the Federal Government to consider the plight of genuine manufacturers whose details are obtainable at the Manufacturers Association of Nigeria (MAN) by assisting them to access forex at official window in order to boost production and expansion, the preconditions for job creation.