The Board of Directors of VFD Group Plc has proposed a final dividend of N0.25 per share for the financial year ending 31 December 2025, marking a significant milestone for shareholders who backed the Group’s recent capital-raising efforts.
The announcement, made during a regulated information briefing on Tuesday, highlights a 10 per cent annualised return for investors who participated in the Group’s December 2025 rights issue at N10.00 per share.
With the share price currently appreciating to approximately N12.00, these investors are now sitting on a 20 per cent capital gain year-to-date, in addition to the proposed cash payout.
The Group Managing Director and Chief Executive Officer of VFD Group Plc, Nonso Okpala, emphasised that the current performance is a testament to the company’s ability to deliver on its promises to the investing public.
“This is ultimately about trust and execution. Our shareholders backed us at a pivotal moment, and what we are demonstrating is our ability to convert that confidence into measurable value. Even before deploying the new capital, we are delivering strong returns,” Okpala said.
Okpala further noted that the Group is not merely looking at a one-off performance but is focused on long-term reliability for its contributors.
“Beyond this performance, we are equally focused on consistency. Our ambition is to build a track record of disciplined and sustainable dividend payments, supported by strong earnings and long-term value creation,” Okpala added.
The proposed total payout of approximately N3.2bn represents a payout ratio of 32.2 per cent. Financial experts noted that the timing of the dividend is particularly impressive given that the proceeds from the rights issue, which received Securities and Exchange Commission approval in March 2026, have not yet been fully deployed into the market.
The Executive Director of Finance and Investor Relations, Folajimi Adeleye, pointed out that the current returns are being generated by the strength of the Group’s existing portfolio.
“From a capital allocation perspective, this outcome reflects both discipline and timing. We have delivered strong returns without yet deploying the rights issue proceeds, which underscores the earnings strength of the existing portfolio,” he said.
As the Group begins to move the newly raised capital into high-yield opportunities, the leadership expects a compounding effect on shareholder wealth.
“As we begin to deploy this capital into yield-generating opportunities, we expect to further enhance returns and sustainably grow shareholder value,” he added.
VFD Group, a leading principal investment firm listed on the Nigerian Exchange, operates across five critical verticals: financial services, retail technology, capital market infrastructure, market operations, and real estate and hospitality.
Looking towards the remainder of 2026, Okpala noted that the company is entering its most aggressive growth phase yet.
“The real story is what comes next. We are entering a phase where capital meets opportunity at scale. Our focus is on deploying efficiently, managing risk rigorously, and ensuring that every naira works to compound value across the ecosystem,” Okpala added.
The proposed dividend remains subject to shareholder approval at the upcoming Annual General Meeting. The commission has stated that the qualification and payment dates will be communicated to the market in due course.
