Nicol chair promise shareholders brighter future

23Nov 2020
Joseph Mwendapole
Dar es Salaam
The Guardian
Nicol chair promise shareholders brighter future

SHAREHOLDERS of Nicol Investment Company Plc should expect to earn more dividend annually as the once struggling firm becomes profitable following several years of loss making.

Nicol Investment Plc chairman, Dr Gideon Kaunda (C) speaking at a virtual annual general meeting held over the weekend in Dar es Salaam. Accompanying him are the company’s senior management officials and board members. Photo: Joseph Mwendapole.

The company’s Board Chairman, Dr Gideon Kaunda said in Dar es Salaam over the weekend during a shareholders annual general meeting that a good strategic plan of profitable investments has been put in place by the current management.

Dr Kaunda told shareholders during the online AGM that management of the company has done a good job which has led to an increase in dividend payment from 6/- per share last year to 10/- this year hence more success will follow.

“Shareholders are confident of the management and they give us full support as evidenced by the passing of the resolutions that we have prepared, in every single resolution the vote was over 90 percent that is because they trust us,” he said.

The Nicol Chairman further added that things will continue to improve performance because they have invested heavily in profitable companies and manufacturers such as Tanzania Breweries Limited, NMB Bank Plc, Dar es Salaam Stock Exchange, Vodacom Tanzania Plc, among many others.

He also commended Capital Markets and Securities Authority and DSE for supporting Nicol through valuable advice given to management of how they can tackle different challenges facing the company’s operations.

Nicol’s Director of Finance, Erasto Ngamilaga backed Dr Kaunda’s arguments saying the company is in right footing while promising shareholders that the new management will strive to make sure they invest in profitable projects earn windfall profits.

“We will be increasing dividend payment annually to shareholders as per improved profits because we want our shareholders to be confident and proud of their investments,” Ngamilaga said while noting that the blue chip firm will sustain profitability for many years to come.

During the virtual AGM which was attended by hundreds of shareholders, they discussed and authorized directors report and financial reports for the year ended 31 December 2019 plus approving the 10/- per share interim dividend for 2020.

Shareholders also received and authorized directors payments and authorized auditors of the financial year ending 31, 2020. The Dar es Salaam based company was established in 2001 by few shareholders who wanted to give Tanzanians a vehicle through which they can participate in their privatised state enterprises listed at DSE. Last year, the company also managed to pay an accumulated debt backlog in taxes worth 1.5bn/-.