In this definitive Interview, the Managing Director and Chief Executive Officer, Industrial and Medical Gases (IMG) Nigeria PLC, Ayodeji Oseni, discusses a range of issues that manufacturers of industrial gasses contend with, the way forward and how IMG has been navigating uncertainty in the Nigerian operating environment.
How will you describe the operating environment of Industrial and Medical Gases in Nigeria?
Challenging and very unpredictable. As a business, we are not insulated from the current harsh operating environment and our business operations contend daily with very dynamic but uncertain operating conditions.
What are the specific challenges militating against the operators in the industry?
The challenges include high energy cost,unavailability of forex for imports, high levies on imports, ,unrealistic regulatory barriers, activities of quacks and unfair practices and near zero regulatory interventions on entryand exit of players etc.
Can you provide an insight into the policy measures that Federal Government can put in place to address the challenges?
Our products and services serves as input to other industries, therefore, some of these measures will include: review of appropriate levies and duties on importation of raw materials and spares, access to FOREX, foreign suppliers need to be paid as at when due, regulatory framework to guide players, cylinder control mechanism to improve safety and engagements by government with the right stakeholders within our industry as against profiteers.
Despite the challenges that you have mentioned, IMG has consistently posted profits. What will you attribute to this?
Safety first, an astute management team, superior quality products, innovation, Besides talent retention and long serving and dedicated workforce are also contributors to our success story. As a 65- year old company in Nigeria, we have undergone so many changes and continued to evolve dynamic strategies to overcome operating challenges within the Nigerian operating environment and system.
What makes IMG unique as a major operator in the industrial and medical gasses industry?
For several years, IMG Nigeria Plc was part of the world famous and leading manufacturer of Industrial Gases, Linde Plc. We operated under stringent international manufacturing and operating guidelines that consistently resulted in best global practices. We are grounded in this practice and this foundation firmly prepared us for our transformation into a proudly owned Nigerian entity, successfully operating in Nigeria.
What is the relationship between the management and staff at IMG and what is the company putting in place to attract millennials, Gen Z, Gen Alpha etc, the future of every investment?
The relationship between management and staff at IMG is very cordial and involves collaborative efforts to achieve the organization’s goals. The primary objective is to ensure a healthy and productive relationship by fostering communication, providing growth opportunities, and ensuring a supportive work environment. In a bid to attract millennials, Gen Z, Gen Alpha etc. which is indeed the future of every organization, the company has put in place several globally acceptable human resource management initiatives such as Remote Work Options, Engagement and Recognition, Innovation and Creativity, Technology Integration, etc.
With the rising cost of doing business in Nigeria, is IMG planning to raise fresh capital in the capital market and by what financial instrument?
Yes, the Board is looking into plans to raise equity in 2025 to support growth. The objective of the equity will be to pay off the loan contracted in the current year and support business expansion and growth initiatives.
Congratulations on the successful hosting of the company’s Annual General Meeting (AGM) recently. What is your assessment of the mood of shareholders?
Our shareholders have always been very supportive of the Board and Management. They were delighted to receive a dividend from our positive performance. As you are aware, many big companies reported losses and couldn’t pay dividends. The Board, Management and Staff of IMG, received commendations from shareholders ,and were encouraged to continue to seek out opportunities for growth and positive earnings. Despite the prevailing gloomy national economic outlook, the future holds great promise for Industrial & Medical Gases Nigeria as we continue to consolidate and innovate,
In December 2021, IMG unveiled a new corporate identity. To what extent has the new identity been impactful?
Our new corporate identity has had a significant and positive impact on our business. Our new identity expressly conveys a promise and commitment from the Board, Management and entire Staff to all our stakeholders that our company will continue the path to greater heights and a promising future. Our new identity reflects a collective commitment to service. The name, IMG,
is an embodiment of the sector in which we operate in our industry and confers specificity to our business whilst communicating an assurance of availability of an array of associated superior and quality products to our existing and prospective customers. Our logo is called Greater Heights. The vertical slanting lines show a single mindedness in meeting the unified goal of serving the customer and the objectives of the company.It also conveys the energy to drive our promises without wavering, flowing from one source and towards the same objective – safe and superior quality products.
Let’s have an update on the company’s implementation of Environmental, Social and Governance (ESG) policy in line with the guidelines of Nigerian Exchange Limited (NGX).
Our ESG framework reflects our business and ESG journey and these will aid us in reporting on our ESG activities for 2024. Our goals and pillars revolve around safety and quality, diversity and inclusion, innovation and excellence as well as people and integrity
How is IMG addressing the issue of adulterated products?
The issue of adulterated products is indeed an ever-present scourge in the industry. As a business. we shall continue to sensitize and create public awareness on the dangers of patronizing and using adulterated products. Our esteemed customers continue to buy and use our array of safe and superior quality products because of the utmost importance they have placed on preserving the lives of their loved ones and also in ensuring that their industrial processes receive premium and quality inputs.
What is the pre-occupation of IMG at the moment ?
We shall remain resolute in implementing our growth strategy as we navigate the challenging operating terrain that lie ahead, leveraging opportunities and production efficiencies plus our cost management drive towards sustainable profitability
As a business, we continue to seek out opportunities to grow and increase our footprints across the country and remain the leading manufacturer of industrial and medical gases. In this light, there are a number of ongoing growth-related initiatives which form part of the strategic expansion plans of IMG in the short, medium and long term.