Thisday News Report by Goddy Egene- Shareholders excited as Transcorp hits N35bn capitalisation

Some shareholders of Transnational Corporation of Nigeria (Transcorp) Plc have said the 170 per cent growth in the market capitalisation was a pointer to a good future for their investments in the company. Market capitalisation of a company is the product of its market price and total number of issued shares. Transcorp market capitalisation once dipped to N12 .91 billion in April before regaining momentum that lifted the value to N34.87 billion as at last Monday. Speaking on the rising fortunes, the President of the Association for the Advancement of the Rights of Nigerian Shareholders (AARNS), Dr. Faruk Umar, told THISDAY that shareholders of the company were very excited because they have been their expectations since Tony Elumelu, through Heirs Holding Limited, bought into the company. “We are excited because we have been waiting for this turnaround in the fortunes of the Transcorp. When Heirs Holding bought into the company, I said Elumelu, who is the chairman of Heirs Holding, would bring his magic touch into the company. I am not surprised that it has started to happen because he is known as turnaround expert and this is what we are seeing in Transcorp with a crop of well-focused professionals now managing the place,” Umar said. According to him, all members of AARNS are really excited that their investments in Transcorp have begun to look up and would continue given business strategies the board and management are putting in place for the company. The Chief Executive Officer of Transcorp, Mr. Obinna Ufudo recently told shareholders that the company would, for the first time, pay a dividend at the end of the current financial year. Transcorp has already reported 62% growth in profit after tax for the first quarter (Q1) ended March 31, 2012. According to the unaudited results, turnover stood at N857 million in 2012, up from N664 million in the, corresponding period of 2011. To read more please visit our Investor Relations Section.