C&I Leasing Eyes $100m Fresh Capital for Expansion

C&I Leasing Plc plans to raise additional $100million to expand its operations. The Group’s Chief Finance Officer (CFO) of the company, Mr. Alex Mbakogu disclosed this at the firm’s investors’ forum in Lagos. According to him, while exploring cheaper sources of funds, the company also plans redemption of $12.4 million loan stock from Abraaj.

Mbakago said that the company would also focus on developing human capital with a view to strengthening service delivery and improving on implemented cost optimisation initiatives.

The CFO noted that the group has experienced continu- ous growth in pre-tax profit margin between 2013 and 2016, moving from 2.48 per cent in 2013 to 6.09 per cent in 2016.

Speaking at the forum, Group Managing Director, C& I Leasing, Mr. Andrew Otike-Odibi said the company currently manages over 4,437 professionals that are spread across several industries, including, oil & gas, telecommunications, banking, manufacturing, agriculture and fast moving consumer goods (FMCG).

“Our training and manpower development is structured under our SDS training centre. Leasafric is a subsidiary of C&I Leasing Plc in Ghana. It currently has a fleet size of 100 vehicles with a wide network of clients that cut across the oil & gas industry, power sector, telecommunication, FMCG and mining industries. It is the largest leasing company in Ghana and provides professional lease options for individuals and corporate bodies,” he said

Otike-Odibi disclosed that the group recorded a leap in profit but the huge capital requirement made the company to retain some funds and planning to give the shareholders an interim dividend this year.

Speaking on the redemption of $12.4 million loan stock from Abraaj, the GMD said the company got approval from shareholders for conversion of the loan to equity. He explained that because of the volatility in forex market, the company is planning to do combination of redemption and conversion to make the balance sheet healthier.