Chams PLC , the Information and
Communication Technology firm, has been
assigned a ”Bbb”rating by Agusto & Co,
the world acclaimed research and credit
rating company.
Agusto says the triple B rating reflects
strong attributes of Chams PLC including
adequate working capital, low leverage
and stable management. The rating also
takes into account Chams’ declining but
satisfactory profitability and weak
operating cash flows resulting from high
trade debts because of delays in
payments on public sector contracts,
which however suggest a stable outlook
for Chams.
Incorporated on September 10 1985
as Chams Nigeria Limited and operating
in the Information and Communications
Technology (ICT) industry, Chams
converted to a public limited company in
2007. The Nigerian Stock Exchange
listed its shares on its main board on
September 2, 2008,
creating a new division to accommodate
the new entrant.
The Company successfully raised
N7.8billion capital in 2008 to fund its
expansion plans. With the fresh
injection of capital, Chams has floated
two new subsidiaries, invested in new
infrastructure and equipment across its
business units and subsidiaries. Moving
ahead, the company plans to set up 30
digital malls with a combined capacity
of 30,000 units of networked Apple PCs
in its world acclaimed Chamscity Digital
malls. Two Chamscity Digital Malls are
already functional in Lagos and
Abuja.
Operations at Chams have evolved over
the years from computer maintenance and
networking services to the supply and
provision of card based technology
products and services. Chams’ business
is structured into five business units
comprising Public Sector and Projects;
Terminals & Printers; Chams.net and
ChamsCity plus the Data Centre. The
Company has six subsidiaries namely;
Supercard Nigeria Limited, CardCentre
Nigeria Limited, ChamsAccess Limited,
Chams Mobile Limited, and ChamsSwitch
Limited. PayMaster Nigeria Limited is
also affiliated to Chams Plc.
Agusto & Co.
REAEARCH, CREDIT
RATINGS, CREDIT RISK MANAGEMENT
RATINGS RELEASE
Agusto & Co
assigns a rating of “Bbb” to Chams Plc
The rating of Chams
Plc (“Chams” or “the Company”) reflects
the Company’s adequate working
capital, low leverage
and stable management. The rating also
takes into account the Company’s
declining but
satisfactory profitability and weak
operating cash flows resulting from high
trade
debts on account of
delays in payments by the public sector
contractees. We believe that outlook for
Chams is stable.
In 2008, the Company
successfully raised
₦7.8
billion capital to fund its expansion
plans. With the
fresh injection of
capital, Chams has floated two new
subsidiaries; invested in new
infrastructure
and equipment across
its business units and subsidiaries.
Going forward, the Company plans to set
up thirty digital
malls with a combined capacity of 30,000
networked Apple computer units. As at
December 2009, two
digital malls have been established in
Lagos and Abuja.
The Company was
incorporated on 10 September, 1985 as
Chams Nigeria Limited operating in the
Information and
Communications Technology (ICT)
industry. Chams converted to a public
limited
liability company in
2007 and its shares were listed on the
Nigerian Stock Exchange (NSE) on 2
September 2008.
Over the years, the
Company’s operations have evolved from
computer maintenance and
networking services
to the supply and provision of card
based technology products and services.
Chams’ business is
structured into five business units
comprising Public sector and Projects;
Terminals & Printers;
Chams.net and ChamsCity and the Data
Centre. The Company has six
subsidiaries namely
Supercard Nigeria Limited (88%), Card
Centre Nigeria Limited (99%),
ChamsAccess Limited
(100%), Chams Mobile Limited (100%) and
Chams Switch Limited (100%).
Chams Plc is also
affiliated to Paymaster Nigeria Limited
(38%).
|
