Shareholders under the aegis of Proactive Shareholders Association of Nigeria (PROSAN), weekend, faulted the 2017 full year result of Oando Plc, describing it as dismal and far below expectations.
The National Coordinator of PROSAN, Mr. Taiwo Oderinde, said in Lagos on Friday that members of his association who are shareholders of Oando Plc have suffered substantial financial losses as a result of the company’s poor performance.
According to Oderinde, “As responsible and concerned shareholders of Oando Plc, we took up the task to protect the company and draw the attention of the general public to the recent audited financial report year ended December 2017 which was released to the public and our findings are summarized below:
“Oando Nigeria Plc has for five consecutive years suffered incredible losses with the record breaking loss in the year 2014; the first ever in the history of our capital market. There is no sharp difference between the 2016 and 2017 audited financials.
“The company has continued to accrue debts to the point that its liabilities still surpassed its assets just like the year ended 2016. For example, it was reported that Axxela took a N1.5 billion loan/facility to finance the Central Horizon Expansion pipeline’s term loans among others. In addition to that loan, Oando Trading Ltd accessed over N217.2 billion ($700 million) foreign denominated loan as short line trade finance facilities in 2017 alone.
“Finally, our group solidly believes that the present management of the company is just playing hide and seek game by using all resources at their disposal to entrench themselves in the company as against the interest of the majority shareholders of the company who have been denied of dividends in the last five years due to their financial recklessness,” Oderinde added.
