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  • I’m simply following my passion –Malta Guinness brand manager Agu

    I’m simply following my passion –Malta Guinness brand manager Agu

    Ifeoma Agu is the brand manager of Malta Guinness and premium non-alcoholic drinks at Guinness Nigeria. A member of the Chartered Institute of Marketing,she holds a bachelor’s   degree  in botany  from the University of Nigeria, Nsukka. In this interview with GBENGA ADERANTI, Agu talks about her journey into marketing, branding and her passion. Excerpts:

    What were you doing before joining Guinness Nigeria Plc.?

    Just before joining Guinness Nigeria Plc, I was working with Visafone Communications as a customer care consultant, managing one of the retail customer care outlets. Prior to that, I had worked with Guaranty Trust Bank as a commercial banking executive managing corporate accounts sign on, driving exceptional customer relationship management, and profiling key customers for specialized services.We delivered on all monthly balance targets with over five hundred (500) clients recruited as customers of the bank.

    Why are you so attracted to branding and marketing?

    I would say I discovered the world of branding and marketing very early in life, I was drawn to adverts and brand packaging as a child. I remember how I used to compete with my siblings reciting tv commercials and radio jingles being played back then. However, my first formal introduction to the world of marketing was at Zus Bureau, where I had worked as an intern trainee coordinator at the age of 18 during my undergraduate first year summer holiday. The CEO of Zus Bureau,Chris Doghudje, also former APCON Chairman schooled me on the tenets of brand management and marketing and I was privileged to access the trainings and materials most company brand managers and CEOs paid to attend as a trainee coordinator. It was at Zus Bureau I discovered my flair for marketing and I have nurtured this passion ever since then. So to improve on what I had learnt, I made a decision to find a placement in different companies during the summer holidays through my four years course in Botany at the University of Nigeria, Nsukka. Hence I worked at Daily Independent newspapers as a marketing executive for three months during my second year holiday and then Equinox International Resources, Ikoyi, as a marketing executive/sales analyst after my final year exams, and all this  experience has helped to shape me as an exceptional marketing professional by the time  I was ready to hit the job market.

    What did you do to improve on the brand?

    Malta Guinness being a premium malt drink has been the nation’s favourite malt drink with a strong brand equity. To further improve the brand, I would say we have dialed up the emotional benefits of the brand by leveraging opportunities to showcase Malta Guinness as an enabler to fuel the can do spirit of Nigerians by walking the talk in our communication and brand activations. For example, we recently launched the Malta Guinness “Go Get It” National Consumer promotion to reward over 800,000 Consumers with N100,000,000. This is a platform we are providing for our consumers to fuel their greatness- we know Nigerians are go getters, we have the can do spirit, so Malta Guinness is giving them the energy and the opportunity to achieve their dreams by giving out weekly cash prizes of N100,000 and N1,000,000 to lucky winners for 13 weeks and also instant airtime and N5,000 cash prizes daily. In the past five weeks, winners have emerged from different parts of the country and the cash prizes have helped many consumers actualize their dreams. Many of our winners are small scale business men and women, farmers, fashion designers, etc.Their winnings have provided opportunities for them to aim higher, expand their businesses and make them more profitable.This is what Malta Guinness exists to achieve:giving our consumers the opportunity to turn the Malta Goodness into Greatness!

    What did you find challenging about this job and how did you manage to surmount it?

    Having to work in a dynamic organization with tiers of internal and external stakeholders and getting everyone aligned to the business objective for the brand is very challenging:from the brief to the creative agency, to the media planning, PR, digital engagement and the bringing to life the platform idea in our BTL activations.Ensuring all are in sync and delivering on spelt out KPIs is challenging. I have had to bring in my project management and exceptional stakeholder management skills in leading these teams to deliver on called out objectives and consistently delivering great performance for the brand.

    Tell me the bad, the good and the ugly sides of your job

    The best part of my job is the fact that I love what I do. I am simply following my passion, hence, work is as good as engaging in my hobby, only that I get paid for it. I won’t really say I have an ugly side because my job is fun yet very tasking. I would say having to put in a lot of work into developing marketing strategies, planning and execution of campaigns and the desired spike in results does not appear immediately.Sometimes it can be depressing but the consolation comes in the fact that some of the work we do as brand managers reap its benefits in the long term as brand building is not a day’s job, it’s a continuous evolving task especially in this dynamic new age where everything is changing so fast.

    As a woman, what does it take to excel in paid employment?

    You have to work twice as hard, be hungry for success, stay focused and grow yourself. Nobody will cut you a slack just because you are a woman.Instead you must show them what you are made of and leave no room for mediocrity. Women are, no doubt, God’s special inventions.He carefully crafted us to handle more and that is why you see a woman being able to multitask; take charge of the home front; her marriage; and her career and still stand tall. As a woman, I tap into my daily source of strength ,which is the word of God, to inspire and guide my steps; I then find motivation in the outcome of my work, hence I work diligently to achieve set targets and objectives. Constant improvement,either through formal trainings, education or skill acquisition, goes a long way to open doors of opportunity, hence keep growing and keep improving yourself.

    Unlike before, women are economically buoyant than men and more successful in terms of career.In your own opinion, what could have been responsible for this?

    I cannot say categorically that women are more buoyant than men or more successful.However, there has been a significant shift from the days of our fathers when very few women had access to education and this can be attributed to increased awareness in the importance of child education and especially the sensitization around the girl child education. Parents are becoming more aware than before ,the need to give both genders an equal right to education, hence we see more women advancing into being career women. It has become quite evident that more and more women are advancing in the career world with great accomplishments all around the world. This, definitely, serves as a source of motivation to women to take on inspirational goals to become successful.

    Tell us about your career in Guinness Nigeria?

    Having resolved to build my career in marketing, I applied as a graduate management trainee in sales in Guinness Nigeria Plc in 2010 where I started as a retail development manager for 18 months.I made significant accomplishments and initiated the ‘Malta Goes to Church/Mosque & Bazzaar Schemes’ which drove significant growth for the brand. Then I moved to customer marketing as a commercial planning and activation manager where I managed the National In-bar Promotions and major BTL Activations for the Guinness portfolio brands for two years. Then I got promoted to Portfolio Strategy Manager responsible for developing and deploying winning Loyalty Programs for both retail and wholesale channels (Guinness Collabo and Aspire to Profit respectively)  to foster GNPlc’s competitive advantage in the market. On completion of the Guinness Collabo and Aspire to Profit Scheme Projects, I moved to another role – Channel Development Manager, Retail and Off-trade – where, I must say, Guinness Nigeria Plc has given me the opportunity to grow through regular trainings and on the job experiences. I have been privileged to lead innovative projects, take on managerial responsibilities and grow through the ranks. The culture here is very inclusive and the value system is one that is unmatched in the FMCG industry. I have a proven track record of consistently delivering great performance having received several company awards and recognition to attest to the deep sense of professionalism and responsibility I bring to my work- some of which include: Nominee- Make a Difference Award- April, 2017; Marketing Award Winner –“Obsessed with Winning Category”- March, 2015;Guinness Nigeria- Dubic Star of the Quarter Award- June, 2012; Make a Difference Award- April, 2012; Super Sales Man Award- December, 2011; Nigeria- Hero of the Month Award- April, 2011.

    Would you have preferred to do something different if you had the opportunity?

    Chuckles… I don’t think so. Whatever I do will still be embedded in brand marketing. It’s the drive that gets me up in the morning and keeps me going. I will eventually retire to my own business which will ultimately require bringing together all these experiences and harnessing them to build a credible and profitable business.

    Men are believed to be aggressive in your line of business, do you sometimes feel intimidated and why?

    Intimidation can only arise when you are not good at what you do.For someone like me who is grounded in the crux of what I do, intimidation has no place in my vocabulary. When people get to experience what you have in the quality of your work output, there will be no need for any form of aggression; rather, what you get is respect and acknowledgement and sometimes- humility, as some will eventually approach you for guidance or to seek your opinion on ideas.

    Why is it that most organizations prefer women as brand managers?

    I do not think it is a gender race, although I do not think that might be true of most companies. However, it is no doubt that women are increasingly taking on more managerial positions and excelling at them. I believe women are becoming more involved and competing favourably in the job market.It is a case of let the best candidate get the job, and where a lady excels at the interview, it only makes good business case to give her the job because she is best fit for the role and not because she is a lady.

    What is Malta Guinness ‘Go Get It’ all about?

    At Malta Guinness, we believe dreams don’t just run on drive, they require energy to sustain and make real, hence Malta Guinness will be providing Nigerians with the energy needed to make their dreams come true, turning the Malta Goodness into Greatness. We want to give consumers the chance to fulfill their dreams in the new Malta Guinness “Go Get It” Consumer promotion. This initiative is embedded in the brand purpose of Malta Guinness which exists to fuel the can- do spirit of every day Nigerians who relish their daily challenges with optimism  while focusing on their big dreams.

    As an innovative brand, Malta Guinness is the first brand to launch an “Under the Can ring-pull” consumer promotion along with an “Under the crown” promo.  This is to say we are the first to run a national consumer promotion on cans and bottles- making this promo accessible to all our consumers.Whether you like to enjoy your favourite Malta Guinness on the go in a can or you like to relax with a bottle of Malta Guinness, we have got you! The mechanics of the promotion is really simple.To participate in the promo, simply look out for special promotional cans and bottles of your favourite Malta Guinness variants (Malta Guinness Classic and Malta Guinness Herbs Lite), SMS the code under the crown or can ring pull with your name to 32011 for a chance to win a share of N100,000,000; for example: SMS 4ATY3UPW JENNIFER to 32011. (Just in case you are wondering how to find the can ring pull, it is the ring at the top of the can where you pull to open the can).

    Every week, one lucky winner will win N1million and three lucky winners will receive N100,000 each. Furthermore, consumers will win N5000 cash prizes plus airtime worth millions of naira daily. Malta Guinness has partnered with Interswitch Group to deliver seamless cardless withdrawals using a paycode and pin on ATMs nationwide for the N5,000 daily cash prizes. So far, we are very happy to have held six weekly draws and are already fueling the dreams of our consumers. The winnings are a testament of our commitment and loyalty to our consumers and very importantly, it shows that the promo is genuine and winners will continue to emerge each day in the course of the promotion.

    So far, six millionaires have emerged.Eighteen people have won N100,000, over 400 people have won N5,000each  and over 200000 airtime winners in the Malta Guinness “Go Get It” Promotion. This promo will last till the 6th of November, 2017.

    What is your undergraduate experience you will never forget?

    I belonged to a conventional Christian dance group comprising  close friends who shared like minds with respect to ministering to fellow students through dance. Dance was a cool thing and a major touch point for youths at the time and we used the medium to minister during school shows and different church and fellowship activities. It was really uplifting and good use of my time plus we had to keep fit to perform the different stunts required.I was the only lady in the group and it was very fulfilling.I cannot forget the experience.

    When your faith comes in conflict with your profession, what do you do?

    I resort to no compromise with my faith. My self-integrity is more important to me and this has been inculcated in me since I was a child. I have had instances where I either turned down a job or walked away and I have never regretted my actions as it always pays off on the long run. It is important to stand for what you believe is right and like the Bible says “the truth shall set you free.” Compromising will put you in perpetual bondage, so why trade your freedom and integrity for a cheap gain that does not last?

    How do you balance your work life with family?

    I once asked a senior colleague how she achieves this and her answer was there is no balance, you only learn the art of prioritization. I have come to understand the glass ball principle and how one must cherish and value family above all other aspects of life. I work hard and play hard with my family. I have had to prioritize at different points to manage workload and family requirements and I must say that the only way I have been able to crack this is with the help of a very strong support system comprising my ever supportive husband and family and I have been able to manage both fronts pretty well.

    How do you unwind?

    I play volleyball to unwind with friends and colleagues whenever I can.I also spend time with family and friends.

    You still play volleyball?

    Yes, I still do.It is my safe haven when I need to cool off. I also recently participated in the female volleyball championship organized by Guinness Nigeria Plc in May, 2017. It is a yearly employee engagement scheme where staff of Guinness Nigeria Plc come together to participate in different games ranging from chess to table tennis, volley ball, football, etc and each of these leads up to a final competition tagged “Guinness Cup”. My team of volleyball players have bagged this cup consecutively for the past two years with me emerging as the Most Valuable Player in the volley ball category. I also won the gold medal for Female Table Tennis championship during the last Guinness Cup 2017.

    How do you remain young and youthful in spite of the stress of the job?

    First, I am eternally grateful to God for the gift of life.I do not have the answers to how I have remained young and vibrant:it has been God all the way. On my part, I have tried to keep a healthy lifestyle and I engage in sports as often as I can: table tennis, volleyball and swimming. And of course I keep my Malta Guinness close.It definitely helps to fuel my energy and vitality, giving me the kick to relish my daily challenges with optimism.

  • Guinness Nigeria posts N125b turnover in 2017

    Guinness Nigeria Plc grew its top-line by 23 per cent to N125 billion in 2017 as Nigeria’s second largest brewer staged a major recovery on the back of expanded portfolio and improved cost management.

    Key extracts of the audited report and accounts of Guinness Nigeria for the year ended June 30, 2017 showed that gross profit rose by 16 per cent to N48.3 billion while operating profit doubled by 131 per cent to N10.2 billion.

    Managing Director, Guinness Nigeria Plc, Mr. Peter Ndegwa, said that the company’s results were driven by a relentless focus on executing strategy and keeping costs down.

    He noted that in spite of the challenging economic conditions, the company has remained focused on executing its total beverage strategy which gained further traction with strong growth in its international premium spirits portfolio following first full year of distribution.

    “Our gross profit of N48.3 billion is as a result of volume growth, pricing benefit and a favourable sales mix as we continued to invest in our expanded brand portfolio during the year. Part of that investment includes the N4.7 billion spirits line for locally manufactured spirits which we commissioned in Benin. These strategic acquisitions and expansions have filled the gaps in the spirits brand base allowing us to compete across all categories of the alcoholic beverage market in Nigeria. We remain committed to executing our productivity agenda with a strong focus on cost reduction, distribution and operational efficiencies,” Ndegwa said.

    Chairman, Guinness Nigeria Plc, Mr Babatunde Savage, said that the company remains committed to the Nigerian market.

    “It is pleasing to see that the decisions we have taken in recent years have helped to position the company for sustained business growth. We are grateful for the strong support that our shareholders have afforded us over the years,” Savage said.

    He assured that with its continuing focus on driving performance and determination to positively impact the lives of Nigerians, Guinness Nigeria looks forward to continuing to give Nigerians a reason to celebrate life every day and everywhere.

    In December 2015, Guinness Nigeria became the first total beverage alcohol company in Nigeria when it acquired the rights to distribute International Premium Spirits (IPS) including Johnnie Walker Scotch whisky and Bailey’s liqueur in Nigeria. This was quickly followed in January 2016 by the acquisition of the rights to distribute McDowell’s, a United Spirits Limited (USL) whisky brand.

    British multinational and world’s largest producer of spirits, Diageo, United Kingdom, recently committed to investing additional N21.6 billion in new equity funds in its Nigerian subsidiary-Guinness Nigeria.

    Savage, who confirmed the impending additional investment, said Diageo has indicated that it will commit up to N21.56 billion in new equity funds to the Nigerian subsidiary through the a supplementary capital issue.

    Guinness Nigeria recently opened application list for its N39.7 billion rights issue, paving the way for shareholders to pick up their rights. The rights were also traded on the automated trading system at the Nigerian Stock Exchange. Application list for the rights issue opened on July 24, 2017 and closed on August 30, 2017.

    Guinness Nigeria offered 684.49 million ordinary shares of 50 kobo each at N58 per share to existing shareholders on the basis of five new shares for every 11 shares held as at the close of business on March 15, 2017.

    Savage said Diageo, which holds 54.3 per cent majority equity stake in Guinness Nigeria, had stated that it would fully take up its rights under the rights issue. A full subscription for its rights by Diageo implies financial commitment of N21.56 billion.

  • Guinness Nigeria boosts power sector with engineers

    Guinness Nigeria boosts power sector with engineers

    The first set of beneficiaries of the Guinness Nigeria Graduate Skills Development Scholarship scheme has graduated. The graduates, who represent the first set of Guinness-sponsored engineers, completed a year training at the National Power Training Institute of Nigeria (NAPTIN).

    At their graduation, Corporate Relations Director, Guinness Nigeria Plc, Mrs. Viola Graham-Douglas, said the objective of the collaboration with NAPTIN was to provide a pool of resourceful, competent and versatile engineers capable of delivering peerless technical services to further shore up the government’s transformation agenda in the power sector.

    She noted that the beneficiaries, having scaled all hurdles in the course of their training, have remarkably demonstrated high technical and leadership competencies, which are strongly believed will  help accelerate their career progression.

    Graham-Douglas further commended the beneficiaries for putting in so much hard work to earn  their certification. “You scaled through the competitive selection process for the scholarship; you excelled in the class-based component of the training and you successfully fulfilled the requirements of the job placement programme. Indeed, you should all be proud of your achievements,” she said.

    Also, Human Resources Director, Guinness Nigeria Plc, Bola Olajomi-Otubu, urged the NAPTIN-certified engineers to take advantage of their newly-acquired skills to propel their careers. She noted  that if well utilised, the skills gained can enhance their technical know-how, improve productivity, and ultimately induce value-added production capacity.

    She enjoined all the beneficiaries to take advantage of this knowledge transfer and be the best that they can be.

    NAPTIN’s Acting Director-General, Mr. Ahmed BolajiNagode, In his remarks, said: “The participation of Guinness Nigeria Plc is very noteworthy because the organisation is not a core player in the power business ecosystem,” noting that Guinness Nigeria’s commitment to youth development was commendable as it provided an example worthy of emulation by other non-core power sector players.

    The Graduate Skills Development Programme is one of three scholarship programmes Guinness Nigeria leverages to equip Nigerian youths with the skills they need to build successful careers and enhance their livelihoods. Others include: Guinness Nigeria’s technical training scholarship, which offers young school leavers a unique opportunity to study at the prestigious Institute for Industrial Technology (IIT), and an undergraduate scholarship scheme, which supports undergraduates from Guinness Nigeria’s host communities studying in tertiary institutions.

  • Guinness trains engineers for power sector

    Guinness Nigeria has organised a graduation for pioneer beneficiaries of the company’s Graduate Skills Development Scholarship.

    The first set of Guinness-sponsored engineers completed a one year training at the National Power Training Institute of Nigeria.

    The Guinness Graduate Skills Development Scholarship provides an opportunity for young engineering graduates to undergo a one-year training at the National Power Training Institute of Nigeria. Upon completion of the programme, graduates gain valuable skills they need to work for organisations that manage power generation, transmission and distribution.

    Speaking at the event, Corporate Relations Director, Guinness Nigeria Plc, Viola Graham-Douglas, said: “The objective of our collaboration with NAPTIN is to provide a pool of resourceful, competent and versatile engineers who can deliver peerless technical services to further shore up the government’s transformation agenda in the power sector”. She noted that the graduands, having scaled all hurdles in the course of their training, have remarkably demonstrated high technical and leadership competencies, which “we strongly believe, will help accelerate their career progression.”

    Graham-Douglas further commended all the beneficiaries for putting in so much hardwork to earn their certification. “You scaled through the competitive selection process for the scholarship; you excelled in the class-based component of the training and you successfully fulfilled the requirements of the job placement programme. Indeed, you should all be proud of your achievements,” she said.

    Also, the Human Resources Director, Guinness Nigeria Plc, Bola Olajomi-Otubu, urged all the NAPTIN-certified engineers to take good advantage of their newly-acquired skills to propel their careers.

    She noted that if well-utilised, the skills they have gained can enhance their technical know-how, improve productivity, and ultimately induce value-added production capacity. She enjoined all the beneficiaries to take advantage of this knowledge transfer and be the best that they can be.

    NAPTIN Acting Director-General, Mr Ahmed Bolaji Nagode, said: “The participation of Guinness Nigeria Plc is very noteworthy because the organisation is not a core player in the power business ecosystem”. He further noted that Guinness Nigeria’s commitment to youth development is commendable as it provides an example worthy of emulation by other non-core power sector players.’’

    The Graduate Skills Development Programme is one of three scholarship programmes Guinness Nigeria leverages to equip youths with the skills they need to build successful careers and enhance their livelihoods.

    Others include: Guinness Nigeria’s technical training scholarship, which offers young school leavers a unique opportunity to study at the prestigious Institute for Industrial Technology (IIT), and an undergraduate scholarship scheme, which supports undergraduates from Guinness Nigeria’s host communities studying in tertiary institutions.

     

  • Guinness Nigeria opens application for N39.7b rights issue

    Guinness Nigeria Plc has opened application list for its N39.7 billion rights issue, paving the way for shareholders to pick up their rights. The rights are also being traded on the automated trading system at the Nigerian Stock Exchange.

    Application list for the rights issue opened on July 24, 2017 and will close on August 30, 2017. The opening of application list followed the clearance of the issue documents by the Securities and Exchange Commission (SEC) and the Nigerian Stock Exchange (NSE) and the endorsement of the offer documents by all relevant parties.

    Guinness Nigeria is offering 684.49 million ordinary shares of 50 kobo each at N58 per share to existing shareholders on the basis of five new shares for every 11 shares held as at the close of business on March 15, 2017.

    The offer price of N58 per share is a discount of 12.25 per cent on the company’s share price of N66.10 on the opening date. The discount allows shareholders to trade their renounced shares at the NSE and realise the premium on the offer price.

    Diageo Plc, United Kingdom, the majority core investor in Guinness Nigeria, is expected to inject additional N21 billion in Guinness Nigeria by subscribing for its rights. The rights issue provides another window for Diageo to inject capital into the Nigerian subsidiary after the multinational backed down from its earlier proposal to acquire additional equity shares in Guinness Nigeria.

    Diageo had withdrawn from its plan to acquire additional shares of up to 15.7 per cent in Guinness Nigeria from minority shareholders citing the challenging market conditions in Nigeria. Diageo had in September 2015 announced that it was considering acquiring 15.7 per cent equity stake in Guinness Nigeria through its wholly owned subsidiary, Guinness Overseas Limited.

    Managing Director, Guinness Nigeria Plc, Peter Ndegwa, said the net proceeds of the new capital raising will support the company in executing its strategy in the context of ongoing external economic challenges.

    According to him, the rights issue will allow the company to deliver on its strategic objectives and give all its shareholders a unique opportunity to increase the number of shares they hold.

    “Our expectation is that funds raised will help mitigate the impact of increasing finance costs, optimise our balance sheet and improve the company’s financial flexibility,” Ndegwa said.

    Chairman, Guinness Nigeria Plc, Babatunde Savage, said that the supplementary new issue is part of the company’s long term plans to continue to invest in its business in Nigeria.

    “We have been here in Nigeria for 67 years and, while it has been challenging in recent times for many Nigerian businesses, we remain committed to this market as evidenced by our decision to offer this Rights Issue. We are grateful for the support that we have received from our shareholders and other stakeholders up to this point,” Savage said.

    Last year, Guinness Nigeria became the first total beverage alcohol company in Nigeria by acquiring the rights to distribute international premium spirits like Johnnie Walker whisky and Baileys liqueur in Nigeria and later commissioning a N4.7 billion spirits line for locally manufactured spirits at its Benin plant.

  • Guinness Nigeria equips LUTH Eye centre

    Guinness Nigeria equips LUTH Eye centre

    Guinness Nigeria has donated a pair of slit lamps to the management of the Lagos University Teaching Hospital, LUTH, in keeping with its commitment to deliver impactful social investments across the country especially in host communities.

    Slit lamps are the most frequently used and most universally applicable examination instrument in ophthalmology.Its field of application include the examination of the anterior segment of the eye including the crystalline lens and the anterior vitreous body, observation of the posterior segments  and  the  iridocorneal  angle  that  are  not visible in the direct optical path, as well as measuring intraocular pressure. They also offer a robust image processing and data management system that assists in diagnosis, record-keeping and information sharing thus providing a convenient medium for keeping track of a disease’s progress and facilitating better communication between physician and patient or between physicians.

    Global Sustainable Development Director, Diageo Plc, David Croft said the donation is in keeping with the company’s commitment to support the Guinness Eye Centres in sustenance of its original vision and to ensure that the facility remains the reference point in the provision of excellent eye care in Nigeria’s health sector.

    “At Guinness Nigeria, our vision has always been to make a positive difference in society. We believe passionately that when we help Nigerians preserve their sight, we not only deliver quality eye care but we also contribute to the socio-economic development of Nigerians. It is our hope that this gesture would enhance the capacity of the Eye Centre to serve many more Nigerians. We will strive to do more with a view to creating a healthy society that improves the overall development of the nation”.

    Chief Medical Director of LUTH, Prof Chris Bode on receiving the equipment said he was pleased with Guinness Nigeria’s involvement in sustaining the management of eye centres for over 50 years, adding that the centre would continue to deliver excellent eye care to patients. He thanked Guinness Nigeria for the timely and auspicious donation to the Centre and expressed his desire for a continued partnership.

    Croft, who is visiting Nigeria for the first time as head of Global Sustainable Development for Diageo Plc, the parent company of Guinness Nigeria, later undertook a tour of the Guinness Eye Hospital in the company of some dignitaries that included Sustainable Development Manager, Guinness Nigeria, Mr. Osita Abana, Chairman Medical Advisory committee, LUTH, Prof. Femi Fasanmade; Head, Department of Ophthalmology, LUTH, Prof. Adeola Onakoya; and a host of other consultant ophthalmologists.

    It would be recalled that the first Guinness Eye Hospital was built and commissioned in Kaduna in 1962, before the official opening of the company’s first brewery in Ikeja, Lagos. Since then, the company has established similar eye hospitals in Onitsha and Lagos. The Guinness Eye Centre Lagos, located within the Lagos University Teaching Hospital (LUTH) became operational in 1992 while the Guinness Eye Centre Onitsha, Anambra State, was established in 1984 and operates under the Nnamdi Azikiwe Teaching Hospital.

  • Why Diageo aborted $130m equity increase in Guinness Nigeria

    Why Diageo aborted $130m equity increase in Guinness Nigeria

    There are fresh indications as to why Diageo Plc, the parent company of Guinness Nigeria Plc, failed in its bid to increase its share capital in the brewery giant.

    It may be recalled that Diageo had in mid September 2015 announced its intention to make an offer through its wholly owned subsidiary, Guinness Overseas Limited for up to 15.7% of the share capital of Guinness Nigeria Plc.

    The Nation gathered that everything seem okay as the different parties worked out the finer details of the deal.

    However, trouble began to brew when some local shareholders vowed to resist any move to sell more shares to the parent company under any guise.

    Convinced about what it considered the impropriety of the proposed deal, the shareholders set machinery in motion to thwart the plan thus leading to a stalemate.

    Not happy with the turn of event in spite of making several entreaties to pacify the aggrieved shareholders, Diageo naturally soft-pedalled and it subsequently communicated its decision not to go any further with the potential offer to Guinness Nigeria Plc.

    Further checks at the Nigerian Stock Exchange by The Nation revealed that Guinness Nigeria Plc had received a letter from Guinness Overseas Limited confirming that Diageo had taken the decision not to proceed with the potential offer.

    However the major reason Diageo adduced for its decision to back down was its fears over the seeming challenging market condition in the country over the past 12 months.

    But despite its inability to increase its shareholding in Guinness Nigeria Plc, Diageo assured that it maintains a positive outlook for Nigeria in the long-term just as it proposed to focus its resources on continuing to support Guinness Nigeria Plc.

    Thus to enable Guinness Nigeria Plc tide things over in the face of the strangulating economy already having a negative run on its operations, the company got the nod of its shareholders for a rights issue to raise at least N40billion fresh cash injection into the business from the capital market.

    The rights issue is the first in 25 years.

    Justifying the need for the rights issue, Babatunde Savage, Chairman, Guinness Nigeria Plc, during its Extra Ordinary General Meeting in Lagos, said: “”Guinness Nigeria has been in this country for over 60 years and, in that time, we have continued to add significant economic and social value to Nigeria and Nigerians. We believe this Rights Issue will positively impact on the financial performance of Guinness Nigeria and help mitigate the impact of increasing finance costs in what continues to be a challenging economic environment in Nigeria.”

    Echoing similar sentiments, Peter Ndegwa, Managing Director/CEO, Guinness Nigeria Plc said that the company has good fundamentals and potentials for the future. “Guinness Nigeria is a company with excellent fundamentals and we have the right strategy and the right people to grow our business for the future. This Rights Issue in combination with our productivity and cost optimisation drive will help provide the fuel to continue to build this business for Nigeria and Nigerians.”

    On insinuations that the rights issue may be a further ploy to help Diageo raise its stake in the company, Ndegwa said such claims were totally unfounded.

    According to him, the rights issue allows every single shareholder to subscribe for rights based on their current shareholding. So if every shareholder in Guinness Nigeria Plc subscribes for their rights, everyone would keep their current shareholding. So, it is not that we are raising new capital by other means. There is no way if everyone subscribes to the Issue that we can increase the shareholding value of Diageo.”

    The rights issue, he emphasised, “Is meant to support the company to grow, it’s about bringing cash into the business therefore shareholders should feel that this is an opportunity to a business that has been very strong and has paid dividends for many years.”

  • Guinness Nigeria inaugurates boreholes in Cross River

    In furtherance of its continued commitment to interventions that transform lives and improve the health and well-being of communities in Nigeria, Guinness Nigeria Plc has constructed seven hand pump water boreholes in Bebi Community, Obanliku Local Government Area of Cross River State.

    The donated boreholes (which will provide more than 7,000 persons with year-round access to safe drinking water) were unveiled at the inauguration ceremony which the company held to mark this year’s ‘World Water Day.’

    Guinness Nigeria’s continued commitment to initiatives that improve access to safe water was underscored at the event by the company’s Corporate Relations Director, Mr. Sesan Sobowale who represented the Managing Director of Guinness Nigeria.

    He said: “The boreholes we are commissioning today are the latest addition to the range of water projects Guinness Nigeria has delivered in states across the country as part of Diageo’s flagship ‘Water of Life’ programme. Since 2007, our ‘Water of Life’ programme has provided clean drinking water to over 10 million people in 18 countries in Africa. Under the aegis of the ‘Water of Life’ programme in Nigeria, water facilities have been constructed in 35 communities across the country. We are pleased to note that through these water projects, Guinness Nigeria has helped over 1.5 million Nigerians access clean water and ultimately improve their overall health and wellbeing.”

    Also speaking at the ceremony, Mr. Dan Ebri, Director of Water at the Cross River State Ministry of Water Resources, commended Guinness Nigeria’s commitment to initiatives that promote access to safe drinking water in Nigeria.

  • Guinness Nigeria offers 5 for 11 shares in N39.7b rights issue

    Guinness Nigeria Plc would be raising N39.7 billion in new equity funds from shareholders in the book of the company as at the close of business yesterday.

    More details emerged yesterday as the board of directors of Guinness Nigeria, through its stockbroker, Stanbic IBTC Stockbrokers Limited, filed application for regulatory approval for the supplementary new issue.

    According to the regulatory filing obtained by The Nation, Guinness Nigeria will be offering 684.495 million ordinary shares of 50 kobo each to shareholders at a discounted price of N58 per share. The rights’ shares will be pre-allotted on the basis of five new ordinary shares for every 11 ordinary shares held as at March 15, 2017.

    The rights’ issue price of N58 per share represents a discount of 17 per cent from Guinness Nigeria’s last traded price of N70 per share yesterday at the Nigerian Stock Exchange (NSE). Guinness Nigeria rode on the back of the scramble to make the qualification date for the rights issue, rising by the day’s highest gain of N2 to close at N70.

    Shareholders had in January 2017 approved the plan by the board of directors of the company to raise some N40 billion new equity funds from existing shareholders.

    At the extraordinary general meeting in Lagos, shareholders passed resolutions authorizing the board of directors to proceed with the proposed rights issue, which will enable the company to raise up to N40 billion in new capital.

    Speaking at the meeting, chairman, Guinness Nigeria, Babatunde Savage, said the new equity funds would support the long-term performance of the company and help to position it in better stead to weather the challenges in the operating environment.

    “We believe this rights issue will positively impact on the financial performance of Guinness Nigeria and help mitigate the impact of increasing finance costs in what continues to be a challenging economic environment in Nigeria. I call on all my fellow shareholders to take this opportunity and support the company’s objectives,” Savage said.

    In his remarks, managing director, Guinness Nigeria, Peter Ndegwa, said that the company has good fundamentals and potential for the future.

    “This rights issue in combination with our productivity and cost optimization drive will help provide the fuel to continue to build this business for Nigeria and Nigerians,” Ndegwa said.

    The proposed capital issue will provide another window for Diageo Plc, the parent company and majority shareholder of Guinness Nigeria Plc, to inject capital into the Nigerian subsidiary after the multinational backed down from its earlier proposal to acquire additional equity shares in Guinness Nigeria.

    Diageo had recently withdrawn from its plan to acquire additional shares of up to 15.7 per cent in Guinness Nigeria citing the challenging market conditions in Nigeria. Diageo had in September 2015 announced that it was considering acquiring 15.7 per cent equity stake in Guinness Nigeria through its wholly owned subsidiary, Guinness Overseas Limited.

     

  • Guinness Nigeria posts N4.7b loss in six months

    Guinness Nigeria posts N4.7b loss in six months

    Guinness Nigeria Plc recorded a net loss of N4.67 billion in the first half of its current business year but the brewing giant also remarkably grew sales by 19.4 per cent to N59.49 billion.

    Key extracts of the interim unaudited report and accounts of Guinness Nigeria for six-month period ended December 31, 2017 showed that turnover rose to N59.49 billion by December 2016 compared with N49.84 billion recorded in the corresponding period of 2015. Cost of sales however rose by about 55 per cent from N28.44 billion to N43.94 billion. With this, the company suffered a pre-tax loss of N4.66 billion in 2016 as against a pre-tax profit of N1.65 billion in 2015. After taxes, net loss for the six-month period rose to N4.67 billion compared with net profit of N1.17 billion in comparable period of 2015.

    Investors at the Nigerian Stock Exchange (NSE) reacted negatively to the earnings report, dropping the share price of the company by 5.0 per cent to N66.55.

    Shareholders had on Tuesday approved the plan by the company to raise up to N40 billion in new equity funds through a rights issue as part of efforts to optimise the balance sheet and provide long-term funds to support business expansion. Net finance cost jumped by 166.3 per cent to N4.58 billion by December 2016 as against N1.72 billion recorded in the six-month ended December 2015.

    Commenting on the company’s performance, managing director, Guinness Nigeria, Mr. Peter Ndegwa, said there were many bright spots for the company but that the challenging economic environment and high finance charges impacted results.

    “We now have both International Premium Spirits (IPS) and locally manufactured mainstream spirits within our portfolio and these contributed to revenue growth for the half year. Our accessible beer brands also continue to grow strongly. Our productivity agenda continues to gain momentum enabling us to keep our administrative and distribution costs under control while optimizing our investments to support our brands,” Ndegwa said.

    He attributed the negative bottom-line to high input costs driven partly by foreign exchange and foreign exchange impact on financing costs noting that the unrealised foreign exchange losses during the half year were responsible for the 166 per cent growth in net finance cost.

    In his remarks, chairman, board of directors, Guinness Nigeria Plc, Mr. Babatunde Savage, said the company remained optimistic about its future despite the prevailing challenging operating environment.

    “We are confident that the steps we are taking to steer the business through these difficult times – including a comprehensive review of our capital structure, the expansion of our brand portfolio and our continued focus on reducing operating costs, will sustain the momentum we have in top-line growth and bottom line recovery,” Savage said.

    Analysts at FBN Capital said the performance of Guinness Nigeria was in line with the industry trend in the consumer goods sector, noting that “Guinness continues to suffer from the unfavourable macroeconomic conditions”.

    According to analysts, with estimated imports of 65 per cent of raw materials, the foreign exchange pressure the company faces is being reflected in the gross margin line.