In tandem with the developmental strides of the present administration to further business growth and optimise all agricultural assets, Ilushin Estate Limited has decided to raise capital through the existing shareholders to further take rubber production in Ogun State to an enviable position.
Commissioner for Agriculture, who doubles as the chairman, Board of Directors, Ilushin Estate Limited, Bolu Owotomo, stated this during a completion board meeting held at the Conference Room, Ministry of Agriculture, Oke-Mosan Abeokuta
The commissioner stated that the capital raising exercise through existing shareholders is the first since the company was established in 1957. adding that The right issue of 201,000,000 ordinary shares of #1.00 each at 2.49k per share to existing shareholders will enable the company to meet up with its immediate and medium-term obligations.
He said the restructuring of Ilushin Estate Limited was necessitated to optimally utilise the companys asset; as funds raised would ensure more land is cultivated, improve staff welfare, and enhance productivity.
The chairman explained that Ilushin Estate Limited seated on over 4,000 hectres of land was not maximally utilise before now, promising that planting operation would commence, where 240 hectres of rubber would be planted this year and 480 hectares next planting season. The goal is to plant a total of 2,000 hectres of rubber within the next four to five years.
Owotomo noted that when he became the General Manager of the Ogun State Agricultural Development Corporation (ADC) in 2020, he began a turnaround operation in the estate which resulted in the company’s profit after tax improving from N14 million in the year ended December 2020 to N123million as at December 31, 2022 despite the fact that there was no capital infusion .
He maintained that backlogs of salaries/wages have been paid while the wellbeing of workers has been adequately looked after in efforts to boost productivity.
In his remarks, the General Manager, Chief Olaitan Obisanya, applauded the Commissioner for his commitment to restructuring the Estate and bringing it to an enviable position through ideas assisting in its transformation.
