Quick Read: VFD Group has sold its 57.26% stake in Atiat Limited for ₦7 billion, enabling Atiat to operate independently. The financial services firm has seen substantial growth, with earnings rising from ₦2 billion in 2021 to ₦9.7 billion in 2024. VFD Group will reinvest the proceeds in high-growth sectors, reinforcing its strategic investment approach. This transition sets the stage for continued expansion and market leadership for both entities.
Board Approves Divestment
VFD Group has officially notified the Nigerian Exchange (NGX) of its decision to divest its 57.26% stake in Atiat Limited. The transaction, valued at ₦7 billion, involves the sale of 343,546,646 ordinary shares. The disclosure, signed by the company secretary, Gbeminiyi Shoda, was published on the NGX on February 7, 2025.
A Strategic Move for Growth
VFD Group, known for its strategic investment approach, initially invested in Atiat Limited in 2019. Under VFD’s leadership, Atiat has grown into a formidable player in Nigeria’s financial services sector. The company expanded its market presence, achieved key financial milestones, and strengthened its governance structure. This divestment marks a natural progression in Atiat’s journey, enabling it to operate independently while leveraging new opportunities within the financial ecosystem.
Atiat’s Impressive Financial Performance
Over the past four years, Atiat Limited has demonstrated significant financial growth:
- Gross earnings: Increased from ₦2 billion in 2021 to ₦9.7 billion in 2024.
- Profit before tax: Recovered from a loss of ₦30.4 million in 2021 to a profit of ₦1.4 billion in 2024.
- Shareholders’ funds: Surged from ₦327 million in 2021 to ₦8.2 billion in 2024.
Expansion into New Markets
Atiat continues to strengthen its footprint in leasing, consumer lending, and bridge financing. The company also has strategic plans to expand into banking and insurance. With a strong leadership team and a proven track record, Atiat is well-positioned for its next phase of growth.
Leadership’s Perspective
Kanayo Eni-Ikeh, Managing Director/CEO of Atiat Limited, expressed optimism about the company’s future, stating:
“This is not just a transition; it is an opportunity to accelerate our growth and drive even greater value for our investors, customers, and partners. We are grateful for VFD Group’s contributions over the years, and we look forward to building on this strong foundation as we expand our offerings, strengthen our market position, and pursue new frontiers of success.”
A Win-Win for Both Companies
Both VFD Group and Atiat remain committed to delivering long-term value to their stakeholders. VFD Group’s investment philosophy revolves around innovation, risk management, and sustainable returns. The proceeds from this divestment will enhance VFD Group’s liquidity position and fund strategic investments in high-growth sectors.
Looking Ahead
VFD Group continues to lead in Africa’s investment space through strategic decision-making and forward-thinking investments. This divestment highlights its ability to identify growth opportunities, execute well-timed exits, and create lasting value for investors. Meanwhile, Atiat, now fully independent, is set to capitalize on its market positioning, financial strength, and ambitious expansion strategy to cement its status as a leader in Nigeria’s financial services sector.
This development marks a new chapter for both companies, promising sustained growth, enhanced market impact, and greater value for all stakeholders.
