Thursday, March 28, 2024

GTI Group launches N5b football fund to diversify economy

Uba Group

BY BAMIDELE FAMOOFO

The Nigerian capital market opened a new vista of opportunities for the development of the Nigerian sports ecosystem with the launch of The Nigeria Football Fund by GTI Group, a leading finance and investment group.

TNFF is a collective investment scheme or mutual fund that combines the regular advantages of a mutual fund with unique propositions of a structured fund.

The TNFF, promoted by GTI Group and being managed by GTI Asset Management & Trust Limited, is raising N5 billion through an initial public offering of 5.0 billion units at a par value of N1 per unit.

Minimum subscription to the fund is 100,000 or N100, 000 and thereafter in multiples of N100, 000.

Application list for the offer opened on Tuesday, March 22, 2022.

Speaking at the formal launch of the fund in Lagos, former Deputy Governor of Lagos State, Femi Pedro, said the TNFF has come to fill the missing link in the development of Nigerian sports.

According to him, the TNFF provides a unique vehicle to mobilise private sector funding for sports development, thus enabling the sector to contribute significantly to national economic development.

He noted that with its population and passion for football and other sports, efficient and consistent funding has been the major gap undermining the potential of the Nigerian sports ecosystem.

“This is an historic occasion, a milestone in the development of Nigerian sports. I have no doubt that this will unlock the potential of the sports ecosystem. I personally endorsed this project.

There is no shortage of investment assets in the sports industry and I’m sure investors will get good returns,” Pedro, an astute finance expert, said. He added that the TNFF aligns with the national agenda of turning sports into a financially rewarding industry that is attractive to investors.

“I consider this very creative because the missing link has always been money. We have the people , the talent, the passion, resources and everything you can think of, but we don’t have a managerial funding to actualize our dream,” Pedro, who is also the Chairman of Lagos State Sport Trust Fund said.

Chairman, House of Representatives Committee on Sports, Olumide Osoba, commended GTI for its innovativeness noting that TNFF‘s investment proposal supports government’s efforts at diversifying the economy. He assured that the National Assembly will continue to support private sector initiatives aimed at fostering national growth and development.

Vice President, Nigeria Football Federation, Seyi Akinwunmi, said TNFF will herald a lot of greatness in the Nigerian sports industry with several multiplier effects on the economy, security and youth employment.

According to him, TNFF will change the narrative in Nigerian sports through major investments, creative initiatives and maintenance of higher standards.

“We at NFF are proud of GTI. We did our independent investigation and we were satisfied with the pedigree of the group before we agreed to partner with them,” Akinwunmi said.

Group Managing Director, GTI Group, Abubakar Lawal, said TNFF will serve as an enabler for sustainable funding of football and other sports, with a target of growing sports’ contribution to national Gross Domestic Product to 0.5 per cent within the next five years.

“The way it will affect the economy is monumental. First of all, you have a vehicle that people will pool money across the globe and what it does is that natural structure will emerge on the back of this. TNFF is an enabler, the project is massive such that employment will be created, liquidity will be provided, infrastructure will be delivered, insecurity will be managed, economy will develop from this experience.

“If you look at the prospectus, we have a target; in five years, this project should enable sports to contribute 0.5 per cent of the GDP, which is massive. The GDP as of today is between $450 billion and $500 billion without rebasing. Nigerians will soon begin to see, this is a way to start the rebranding and restructuring of Nigeria, creating a plain-level field, fresh opportunities for Nigerians. A new asset class is born,” Lawal said.

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