Trans-Nationwide Express to give shareholders one extra share for every 16 owned

Logistics operator Trans-Nationwide Express Plc says it will issue its shareholders one additional share for every 16 already held, the company’s first bonus issue since at least 2015.

The firm paid dividend on four occasions in the seven years to 2021.

The latest move comes at a time the company is seeing a fast depleting fortune, having reported loss three times in the past four years, including last year and the one before.

Trans-Nationwide Express extended loss last year after direct costs gulped more than 88 per cent of its revenue and administrative costs surged 13 per cent year-on-year.

Its board agreed to a 1 for 15 scrip issue at a meeting held on March 17, according to a regulatory filing seen by PREMIUM TIMES but, for unclear reasons, is turning back from that initial resolution.

Trans Nationwide Express deals in local and international express delivery as well as storage services, and has operations encompassing freight and courier services, mailroom management, haulage, and e-commerce.

The total shares to be distributed as compensation package are in excess of 29.3 million, a corporate action document released Wednesday showed.

The proposal is contingent on stockholders approval at the next annual general meeting, while the shares “will be issued to shareholders whose names appear in the register of members as at the close of business on Friday, 3rd June, 2022,” the document said.

From June 6 to 10, the register of shareholders will be closed preparatory to the issuance.

Trans-Nationwide Express advised e-dividend registration shareholders who are yet to complete the e-dividend registration to download the registrars e-dividend mandate activation form.

Its share price has not budged since it fell to N0.81 on December 2.