Agusto & Co. has assigned Odu’a Investment Company Limited (OICL), an “A” rating with a stable outlook. The rating acknowledged OICL’s strong financial standing as a standalone entity.
Agusto & Co’s rating report took into consideration various factors, including OICL’s diversified portfolio of investments across key sectors of the Nigerian economy, the expertise and experience of its board and management team, as well as recent efforts to revitalise and reposition the company.
Over the past three years, OICL has implemented a range of strategic initiatives aimed at optimising its assets, improving governance structures, and driving growth in investments and profitability. The company has successfully adapted its business models to align with market trends, making it well-positioned for accelerated growth.
One significant move made by OICL was the transfer of its investment properties to Wemabod Limited, which transformed it into a comprehensive property management, development, and facility management subsidiary. He stressed that OICL has also finalised an agreement with a joint venture partner to upgrade the Premier Hotel in Ibadan, turning it into a luxurious five-star hotel.
As gathered, the Agusto & Co’s rating highlighted OICL’s strong operating cash flows, supported by its diverse income streams and portfolio of subsidiaries and associates. The company’s lean operating structure and low leverage, thanks to strong equity funding, also contribute to its favorable rating.
Otunba Bimbo Ashiru, Group Chairman of Odua Investments, expressed his satisfaction with the rating, stating that OICL is committed to becoming a world-class conglomerate for the benefit of its owner states and other stakeholders.
Mr. Adewale Raji, the Group Managing Director, also credited the consistent hard work of the board, management, and staff for the accomplishment, emphasising the team’s excitement about the rating.
The “A” rating will play a crucial role in supporting OICL’s growth strategy, which will be funded through equity investments, debt financing, and joint venture partnerships.
At the core of this strategy is leveraging OICL’s substantial property portfolio to develop new residential, commercial, and hotel assets. One notable project in the pipeline is the transformation of the Lagos Airport Hotel in Ikeja into a modern facility. Additionally, OICL aims to venture into high-growth sectors such as Oil and Gas, Power, ICT/Digital, Agriculture, Transportation and Logistics, and Healthcare.
With the impressive “A” rating from Agusto & Co, OICL is poised to attract more investors and partners, fueling its ambition to become a leading player in Nigeria’s corporate landscape.
