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Neimeth International Pharmaceuticals Plc, has assured shareholders that it will begin to pay dividend in the next financial year having gained approval to restructure its balance sheet.
This was even as the pharmaceutical company said it intends to strengthen its sales, manufacturing and marketing efforts to ensure vigorous expansion in the short to long term.
Speaking during its 61st Annual General Meeting (AGM) in Lagos, Chairman, Board of Directors, Neimeth Plc, Dr Ambrosie Orjiako, said the company was unable to declare dividend to shareholders because it wanted to avoid payment of cash dividend out of its capital, adding that this necessitated the board to come up with proposition to restructure the firm’s balance sheet.
Dr Orjiako explained that the restructuring will clear the accumulated losses in the statement of financial position of Neimeth and present a healthy state and open windows for dividend declaration in subsequent years to shareholders.
On the outlook for the next financial year, he said the firm has articulated an audacious strategic plan that will aid navigation through uncertain economic terrain while adding that the company’s business objective for the year is to begin gradual expansion of its operations which include manufacturing and marketing.
Also speaking, Managing Director, Matthew Azoji, said the Board and Management will set target at completing a 5 -year strategic plan that will guide its various vigorous expansion programme.
Azoji said, “This will culminate in the upgrade of of the current Oregun factory, development of new manufacturing facilities and expansion of our marketing drive to Sub-Saharan Africa.
With these expansion plans, we might need to come back to our shareholders to raise additional capital because the company is trying to grow faster than how it has grown in the past 5 years. The target of N4 billion given to us by shareholders has been received in good fate and we believe that by God’s grace, we will deliver”.
