SAHCO records 100% growth in revenue, total assets

Success Damian:

Skyway Aviation Handling Company Plc (SAHCO) has disclosed over 100% growth in revenue and total assets since privatization of the company.

Chairman of SAHCO Dr. Taiwo Afolabi, made the disclosure at the Initial Public Offering by way of an offer for sale of 406,074,000 Ordinary Shares which took place at Southern Sun Hotel Ikoyi, Lagos on Monday.

According to him “Since privatisation and following a number of turn around initiatives post-privatisation, SAHCO has built strong competence as one of the leading aviation ground handling service providers in Nigeria growing its market share from 21% in 2009 to over 40% today with over 100% growth in revenue and total assets”

The Initial Public Offering was by way of an offer for sale of 406,074,000 Ordinary Shares for N50K each at N4.65 per share.

Afolabi added that “Skyway Aviation Handling Company PLC is an aviation ground handling services provider and a member of the Sifax Group of Companies (“Sifax Group”).”

He said today, SAHCO is an ISAGO (IATA Safety Audit for Ground Operation) and RA3 (European Union) certified Ground Handling Company, active in all commercially operated airports in Nigeria, with significant investments in state-of-the-art aviation ground handling apparatus, manpower trainings and excellent customer services with recently completed ultra-modern cargo import and export warehouses.

On the Initial offering he said “Based on the terms of the executed Share Sale and Purchase Agreement (SSPA) in respect of the privatisation of the erstwhile Skypower, the shareholders of the Company are obligated to divest 49% equity stake in SAHCO to the investing Nigerian public, with 10% of the shares to be divested, sold to the staff of the Company.”

Afolabi further stated that the company sought and obtained the approval of the Bureau of Public Enterprises (BPE) for a phased divestment in view of current market conditions. Thus, the Offer was being undertaken to enable the current shareholders divest 406,074,000 Ordinary Shares of 50 Kobo each representing 30% of the entire issued and fully paid up Ordinary Shares of SAHCO in partial compliance with the terms of the SSPA with plans to divest the balance of 19% equity stake at a future date.

He said ‘10% of the Ordinary Shares being offered for sale will be reserved for staff of SAHCO (in accordance with section 4.2 of the SSPA and section 5 (3) of the Public Enterprises (Privatisation and Commercialisation) Act No. 28 of 1999) under an Employee Stock Ownership Plan to be set up and administered by a Trustee,” .Afolabi said

Speaking further, Aforlabi said SAHCO’s impact in the Nigerian aviation ground handling sector is evidenced by its array of awards and recognitions received from 2009 till date, in recognition of the Company’s strides and innovation in building a brand in line with global standards, some of which include Most efficient ground handling company of the year, 2018, by Association of Foreign Airlines & Representatives in Nigeria, African Best Passenger Handling services provider for the year 2016 - Institute of brand management of Nigeria, Most Turnaround Aviation Cargo Handling Concessionaire by Transport Development Excellence Awards (2015) among other enviable awards.

Addressing the press on SAHCO’s future strategies he said “SAHCO’s future strategy is to create long term shareholder value through the profitable operation and expansion of its business beyond Nigeria and into other West African markets with a vision to become the leading provider of passenger, ramp and cargo handling services in the West Africa sub-region.”