(by ugonna MADUAGUFOR) 

Deap Capital Management and Trust plc, a company listed under the “Other financial institutions” of the Nigerian Stock Exchange (NSE), in an Extra Ordinary Meeting held on the 23^rd of January, 2008 decided to increase its capital base by 200 percent. An additional one billion ordinary shares worth 50kobo each will be pending the approval of Securities and Exchange Commission (SEC). Also the price of the new shares will be determined by the board of directors which will in turn make a comprehensive application for the offer to be approved by SEC. However, N6 billion is being targeted by the offer suggesting that the share offer will be about N6.00 each.

 The company was only listed last year into the NSE at a N2.88 market price, when compared with the N7.49 closing market price as at Tuesday 29th 2008, showing a 260.07 percent appreciation in market price. The new ordinary shares when listed will rank equal to existing shares.

According to the chairman, Mr. Sylvanus Ezendu, the company owns subsidiaries in various activities: oil and gas, mortgage banking, stock broking, and  issuing house.

The Resort securities (stock broking subsidiary) requires N1 billion capital base in view of the stock firms asset base minimum requirement come December 2008; Resort Savings and Loans requires N2 billion; while Deap Capital Issuing house needs to increase its capital to N2 billion.  

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This entry was posted on Thursday, January 31st, 2008 at 11:09 am and is filed under Stock Market News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.