Jadesimi said this in the integrated indigenous energy
company’s newly-released annual report and accounts for 2023.
Aradel Holdings Plc trades on the NASD OTC Exchange and in
2023, it was one of the highfliers on the exchange, recording capital
appreciation of 450.6 per cent to N1,089 per share from N197.8 per share at the
beginning of the year.
“In 2024, our strategic focus is to ensure the company
sustains its growth trajectory, successfully listed on the main board of the
Nigerian Exchange, further drive the development and optimisation of assets, as
well as the implementation of the succession of the company’s directors in line
with the Nigerian Code of Corporate Governance and the Companies and Allied
Matters Act 2020.”
“We also look forward to the completion of our PMS train,
which will boost our production volumes, increase revenue, and drive more value
creation. We aim to expand our operational footprint beyond Ogbele to Omerelu,
which holds significant potential economic value. Increasing our employee value
proposition continues to form part of our strategic focus for the coming year,”
he said.
According to Jadesimi, the listing is to increase the
company’s visibility and access to capital.
“In line with this goal, we are ‘cultivating the culture of
a listed company’ through reviewing and updating our policies to take into
consideration evolving expectations and align with changing laws, regulations
and industry best practices, refining our equity story with increased
disclosures, utilising different messaging tools, to ensure our message is
tailored to suit the needs of our intended audience, optimising our various
channels of communication to include a robust and a more investor-friendly website,
social media pages, etc.
“As a result of these, we have achieved a better
understanding and appreciation of the Aradel equity story and investment
proposition, coupled with excellent performance of our stock which is currently
listed on the NASD-OTC Exchange, improved transparency, as well as increased
trust and confidence in the minds of the investing community,” he explained.
He noted that upon the completion of the listing exercise,
directors who have exceeded their tenure on the board would begin to disengage
in keeping with the provisions of the NCCG.
He added that the firm’s board considered succession
planning an integral part of effective board governance which is intrinsically
tied to the implementation of the company’s strategy and effective management.
Shareholders are expected to vote on the proposal at the
next annual general meeting of the holding company in June.
The proposed listing by introduction will result in the
redenomination of the nominal value of all the existing ordinary shares in the
company’s share capital from N10 each to N0.50.
Meanwhile, the Chief Executive Officer of Aradel Holding,
Adegbite Falade, noted that the company was able to maximise its liquidity by
managing its debt and generating substantial organic cash flow in 2023.
“By scaling up our operations across all our business
segments and streamlining our processes, we successfully reduced our unit
operating costs. We optimised our liquidity, benefiting from strong organic
cash flow generation coupled with debt management. This prudent financial
management underpins a positive financial outlook for our company, signalling a
trajectory of sustained growth and stability,” he said.
Falade stated that the company was collaborating
strategically with outside partners to provide solar-powered mini-grid
solutions to communities without access to on-grid electricity.
In 2023, Aradel Holdings saw its total revenue grow by 234.5
per cent to N221.1bn from N66.1bn in the prior year, driven by crude oil
exports generating N108.4bn, refined product sales and gas business contributed
N102.5bn and N10.2bn, respectively.