Offer of Shares

SUMMARY OF THE OFFER

SHARE CAPITAL:

Authorised:                               N20,000,000 divided into 20,000,000 ordinary shares of N1.00 each.

Issued & Fully Paid:                  N20,000,000 divided into 20,000,000 ordinary shares of N1.00 each.

Now being offered:                   50,000,000 ordinary shares of N1.00 each

PURPOSE                             

The purpose of this private placement is to enable Kendall Securities expand its business operations, enhance its information technology infrastructure and above all meet the new minimum share capital for Broker/Dealer as specified by Securities and Exchange Commission (SEC)

The estimated proceeds will be applied as follows:

                                                                                 N

   IT infrastructure development                            5,000,000      10

   Additional working capital                                 40,000,000      80

   Fixed Assets/ Office improvement                       5,000,000      10

                                                                        -------------     ----

                                                                        50,000,000      100

                                                                        -------------     ----

UNITS OF SALE:                 

Minimum of 250,000 ordinary shares and multiples of 50,000 thereafter

OFFER PRICE

N1.00 per share.

PAYMENT 

In full on application

MODE OF PAYMENT

By way of cheques, bank drafts or shares of quoted companies

APPLICATION PERIOD

The application list will be open to each prospective investor for 4 weeks from the date of the receipt of the placement memorandum

BOARD APPOINTMENT  

Investors who make substantial subscription to the offer of shares may be eligible for appointment to the Board of Directors of Kendall Securities Ltd.

STATUS                              

The shares being offered rank pari passu in all respect with the issued ordinary shares of Kendall Securities Ltd.

FORECAST OFFER STATISTICS

Year ended 30 June                                          2005                2006

Forecast earnings per N1.0 share                          27                    35

Forecast dividend per N1.0 share                          15                    20

Forecast earnings yield at offer price                     15%                25%

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