VFD raises capital as it exits investment in NEM Insurance
As part of its goals to establish its presence in every key sector of the financial services industry, which is in line with its plans of converting to a Public Limited Liability Company, the VFD Group, in a recent statement, announced that the capital raise exercise, which it embarked upon in December 2018 through rights issue and private placements was a total success as it was oversubscribed by 39% on both counts with the group realizing a total of NGN 2.78billion as against the NGN 2billion target despite the short period of time the exercise lasted.
The group also announced that it has “in an agreed to trade a significant block of its stake in NEM Insurance Plc”.
According to the statement signed by the Marketing and Corporate Communications Unit of VFD Group, Sylvia Henry Toochukwu, the 1,600,000,000 ordinary shares, representing about 30 percent of the insurance company’s issued share capital was necessitated by the inability of both parties to agree on the modalities for working together in a bid “to unlock the latent value we see in them.
“However, we recently reached an amicable understanding and have thus decided to exit our investment in this great company,” the statement read.
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