CORPORATE NEWS: Fidson Healthcare, Union Dicon Salt.


FIDSON HEALTHCARE OPENS NEW FACTORY.

Fidson Healthcare PLC has finally opened an ultra modern, World Health Organization (WHO) compliant factory with six distinct product lines.

According to a notice sent to the Nigerian stock exchange, the factory will in particular produce intravenous infusion and other sterile preparations in addition to tablets, capsules, oral liquids, creams and ointment and dry powder.

The factory has been on the way since Fidson successfully raised new capital through private placement in 2008.

As far as its primary target market is concerned, it looks like one factory that will add great value to Nigeria while contributing immensely to profitability.

According to Fidson, the current demand for infusions by hospitalised Nigerians is estimated at 10.2m bottles per month out of which there is an estimated supply gap of 2.36m bottles per  month.

In addition, this is expected to grow along with 2.8% projected population growth rate thus ensuring adequate market for a long time to come.

In view of this, Fidson projects N1.9bn growth in its turnover by the third year at 75% activity level and by N2.9bn by the sixth year at 90% activity.

By 2013, the market for infusions was estimated at N25bn.

More importantly, the new factory positions Fidson Healthcare to tender for WHO sponsored programmes in the near future; will allow it to tap export potential and of course, create new jobs.

UNION DICON SALT TO INVEST IN KOGI.

Union Dicon  Salt PLC is to replace Cargill, US based agro business giant, as the core investor in cassava planting project at Alape, Kogi state.

According to a release from the federal ministry of Agriculture and Rural Development,  this was the high point of a meeting between Union Dicon  executives and the Agriculture minister Chief Audu Ogbeh recently.

The $100m cassava planting and processing project will cover about 30,000 hectares of land in the crop processing zone in Kogi state.

Excited, Chief Ogbeh reportedly said: "I'm glad to see that a Nigerian company is taking over this very important project and is championing the indigenous development of agribusiness" then assured that there will be no policy somersault in future.

On it's part, the Union Dicon  executives, Chuka Mordi and Bex Nwagwudu expressed their joy over the project saying "it is a remarkable opportunity to develop the agribusiness space in Nigeria from a fully indigenous perspective".

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