Business

Tranex Plc shareholders approve increase in share capital to N498.15 million

Shareholders of Trans-Nationwide Express (Tranex) Plc have approved an increase in the company’s share capital from N249,075,038.50 to N498,150,077.00.  

The approval was part of a special resolution at the company’s 31st Annual General Meeting held in Lagos.  

This increase will be achieved through the creation of an additional 498,150,077 ordinary shares, each valued at N0.50, which will rank pari-passu in all respects with the existing ordinary shares of the company. 

Following this approval and subject to obtaining all required statutory approvals, the Directors have been empowered to issue the newly created 498,150,077 ordinary shares through a rights issue to existing shareholders. 

The Directors were authorized to negotiate and execute all necessary transaction documents for the proposed issuance of shares to existing shareholders.  

The statement reads: 

“That the Share Capital of the company be and is hereby increased from N249,075,038.50 to N498,150,077.00 by the creation of additional 498,150,077 ordinary shares of N0.50 each ranking pari-passu in all respects with the existing ordinary shares of the Company.  

That following the approval of the increase in the Company’s share capital and subject to the Company obtaining all required statutory approvals, the Directors be and are hereby empowered to issue the newly created ordinary shares of 498,150,077 (four hundred and ninety-eight million, one hundred and fifty thousand, seventy-seven) through a Rights issue to existing shareholders”.  

Other resolutions passed: 

At the AGM, the shareholders also had the opportunity to consider and pass the following special resolutions:  

That the Directors be and are hereby authorised to negotiate, execute and conclude any and all transaction documents they deem necessary in connection with the proposed issuance of shares to existing shareholders as well as to do all such things as may be reasonably necessary for the purpose of consummating the transactions contemplated in the Transaction Agreements”.  

That following the execution of the Transaction Agreements, the Board of Directors of the Company be and are hereby authorised to allot/issue the relevant shares to existing shareholders and take all necessary steps in connection with this, subject to the approval of the regulatory authorities. 

That following the above increase in the Company’s Share Capital, a new Object Clause 6 be and is hereby added as follows, the share capital of the Company is N498,150,077.00 (four hundred and ninety-eight million, one hundred and fifty thousand, seventy-seven naira) divided into 996,300,154 (nine hundred and ninety-six million, three hundred thousand, one hundred and fifty-four) ordinary shares of N0.50 each.   

Shareholders also as part of ordinary resolution approved a dividend of N0.02 kobo per ordinary share of N0.50 kobo each, totaling N9,963,001.54, among others.  

What you should know 

  • Tranex is a logistics solutions provider. Its full-year 2023 financial results showed a decline in performance indicators. The company reported a 25% drop in revenue, from N698.625 million in 2022 to N527.257 million in 2023.   
  • Direct cost of operations decreased by 19%, from N508.345 million in 2022 to N410.604 million in 2023.  
  • Profit before tax dropped by 13%, from N43.332 million in 2022 to N37.669 million in 2023, while profit after tax decreased by 36%, from N25.216 million in 2022 to N16.026 million in 2023.  

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