Connect with us

Business

NSE Completes Demutualisation – SEC and CAC Approve

Published

on

The Nigerian Stock Exchange (NSE) has received final approvals of its demutualisation plan from the Securities and Exchange Commission (SEC) and Corporate Affairs Commission (CAC) respectively. With these approvals, The Exchange has now completed its demutualisation process.

Under the demutualisation plan, a new non-operating holding company, the Nigerian Exchange Group Plc (‘NGX Group’) has been created. The Group will have three operating subsidiaries, namely: Nigerian Exchange Limited (NGX Limited), the operating exchange; NGX Regulation Limited (NGX REGCO), the independent regulation company; and NGX Real Estate Limited (NGX RELCO), the real estate company. All the entities have been duly registered at the CAC.

READ ALSO: NSE Migrates Four Companies From ASEM To Growth Board

Otunba Abimbola Ogunbanjo, NSE Council President, said;

“Successful demutualisation was one of my fundamental objectives when I assumed the Presidency of The Exchange. The SEC’s decision today to approve the NSE’s demutualisation plans brings this aspiration to a successful conclusion in a process that included the passage of the Demutualisation Act through the National Assembly. We are elated that this milestone has been achieved as we celebrate the 60th anniversary of the commencement of trading at the Exchange and now look forward to the future public listing of its shares on NGX Limited. On behalf of the NSE, I would like to warmly thank all those that have worked assiduously to achieve this watershed event on our journey to make the NSE a multifaceted exchange that extends across various markets and geographical regions.”

The approvals by the SEC and CAC signify that the NSE can now activate its Transition Plan to a new operational structure and holding company. The extensive Transition Plan, taking the Group and its subsidiaries through to full Operational Launch, covers legal and practical changes to enable the functioning of the new corporate structure, with no loss of service and a seamless transition for market participants. The Transition Plan will also see the inauguration of Boards for each of the new entities, staff reallocation to their respective functions within the operating subsidiaries, operationalisation of business plans and budgets, technology systems transfer, and the requisite arm’s length agreements between the entities. Upon Operational Launch, the Group’s new brands, including a new website, will be unveiled and the Group will be in position to execute on its strategic vision. Stakeholders, including our new valued shareholders will benefit from The Group’s enhanced Corporate Governance framework, access to capital to fund strategic developments and a more globally competitive Exchange.

The approvals also enable the shares of NGX Group Plc, which have been registered with the SEC, to be allotted to the membership pursuant to the Court approved Scheme of Arrangement. Ahead of its listing on NGX Limited, the shares of NGX Group Plc will be available for bilateral trades to be executed in line with extant rules and regulations of the Nigerian capital market. Otunba Ogunbanjo will serve as the inaugural Chairman of NGX Group Plc’s Board of Directors.

Oscar N. Onyema, the new Group CEO of NGX Group Plc, said;

“The Nigerian capital markets should play a role commensurate with Nigeria’s status as Africa’s largest economy. At the Nigerian Stock Exchange, we have a vision that the new group will become the premier exchange hub for Nigerian businesses and for the African economy. We are implementing a series of measures towards this goal, demutualisation being a critical milestone. The completion of demutualisation is a truly significant moment, and we welcome the new possibilities that have opened up for us today.”

Read Also: SEC To Suspend Admittance Of Persons Affected By CBN Circular

Demutualisation of the NSE is pivotal in that it creates new strategic opportunities that will enable the Group realise its vision of becoming Africa’s leading capital market infrastructure provider. The creation of a holding company and a new capital structure will also enable NGX Group Plc to form new dynamic relationships, drive strategic partnerships and gain capital-raising flexibility. It will be recalled that NSE members approved at its last AGM, the listing by introduction of NGX Group Plc on NGX Limited.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

First Bank Appoints Nnamdi Okonkwo As New GMD

Published

on

First Bank Appoints Nnamdi Okonkwo As New GMD

First Bank Holdings, on Thursday, October 28, 2021, disclosed the appointment of Nnamdi Okonkwo as its new Group Managing Director (GMD).

Newsrand understands that this development marks the return of the award-winning banker barely ten months after he successfully served out his term at Fidelity Bank.

Okonkwo was immediately past Managing Director and CEO of Fidelity Bank of Nigeria PLC.

His appointment followed the retirement of U.K. Eke, who has completed his two-term tenure.

Uke, according to the board, tendered his Notice of Retirement on August 10, 2021

The board further announced the renewal of the appointments of Dr. Adesola Adeduntan and Gbenga Shobo as the managing director and deputy managing director of FirstBank respectively, for another term.

In the same vein, the Board announced the renewal of appointments of Kayode Akinkugbe and Taiwo Okeowo as the Managing Director and Deputy Managing Director of FBNQuest Merchant Bank Limited respectively, for another term.

“Uke’s retirement takes effect at the end of the current Financial Year on December 31, 2021. Mr. Eke’s retirement follows from a 35 years career in financial services, strategy, auditing, consulting, taxation, process reengineering, and capital market operations.

“FBNHoldings Board has also announced that Eke will be succeeded by Mr. Nnamdi Okonkwo, a focused and result-oriented top banker, who will assume office as Group Managing Director, FBN Holdings Plc effective January 1, 2022,” Seye Kosoko, the Company Secretary said

Okonkwo, the immediate past Chief Executive Officer of Fidelity Bank Plc, brings to bear on the Board of FBNHoldings more than 30 years of unbroken banking career spanning local and international experience. He has a wealth of experience in transformational leadership, business strategy development and visioning, innovative corporate governance, and risk management.

He has led the transformation of banks, with the most recent being Fidelity Bank, where he led the management team in seven years to achieve remarkable results culminating in tripling profit and shareholder value.

Okonkwo previously served as the Executive Director for Southern Nigeria in Fidelity Bank. He has worked meritoriously on an international level in his capacity as the Managing Director of UBA Ghana; Director, UBA Liberia, and a Director of the Ghana National Banking College.

He has served in various leadership positions across other financial institutions including Broad Bank of Nigeria Ltd; Citizens International Bank, Nigeria; FSB International Bank Plc, Nigeria; Guaranty Trust Bank Plc, Nigeria; and Merchant Bank of Africa, Nigeria.

Okonkwo made remarkable feats as a Director in various organizations including UBA Ghana, UBA Liberia, Nigeria e-government Strategy (Negst), Nigeria Interbank Settlement System Plc, Unified Payment System Ltd and as Chairman, Shareholders Audit Committee FMDQ, amongst others. His appointment is subject to the approval of regulatory authorities.

The board also approved the appointment of Tope Orhionsefe Omage as a Non-Executive Director of First Bank of Nigeria Limited by the Board of FirstBank, subject to the approval of the CBN.

The Board also announced the appointment of Meristem Registrars Limited as the new Registrars to take over the Register of Members of FBN Holdings Plc in replacement of First Registrars and Investors Services Limited, with effect from December 1, 2021.

Continue Reading

Business

First Bank: Otedola Is Not Our Largest Shareholder

Published

on

First Bank: Otedola Is Not Our Largest Shareholder

First Bank has made a u-turn against its statement that confirmed the emergence of billionaire Femi Otedola, as its largest shareholder.

Newsrand had exclusively gathered that Otedola was buying a lot of shares to become First Bank’s chief.

Responding to the report, First Bank released a statement, saying it was unaware of the development, and promised to inform the investing public after being briefed by involved parties.

“The attention of FBNH has been drawn to media reports of today, Oct. 22, purporting that a certain individual has acquired a significant shareholding interest in FBN Holdings, making him the majority shareholder in the company.

“As a listed company, the shares of FBN Holdings are publicly traded, and sale and acquisition of shares are expected in the normal course of business,” the statement read.

In less than 24 hours after releasing the statement, First Bank released another, confirming Otedola as its largest shareholder with a 5.07% stake.

But in a surprise turn of events, First Bank has now come out to say Tunde Hassan-Odukale is his largest shareholder, and not Otedola as previously claimed.

According to the financial institution, while Otedola has a 5.07% stake, Hassan-Odukale has a 5.36% stake, which made the former the second-largest shareholder in the company.

First Bank’s explanation

While acknowledging that Otedola and Hassan-Odukale individually have more than a 5% controlling stake, First Bank noted that Odukale has a 5.36% stake through his 0.07% direct shares and 5.29% indirect stake through Leadway Holdings Limited subsidiaries.

Newsrand understands that this is higher than Otedola’s 5.07% stake which he holds through his direct 0.03 stake and 5.04 percent through his indirect stake at Calvados Global Services Limited.

In its explanation as to the confusion, First Bank said it didn’t list Odukale as a 5% holder, but instead recorded it as 4.16% (Direct) and 1.20% (Leadway).

Continue Reading

Business

How I-invest Is Creating Investors from Everyday Nigerians

Published

on

I-invest

In line with the Central Bank of Nigeria’s financial inclusion target as well as to promote an efficient savings culture among Nigerians, I-invest, a first-of-its-kind mobile application has provided a secure and safe platform for millions of Nigerians at home and in the diaspora to invest in and secure their future.

Developed by Parthian Partners, an organisation regulated by the Securities and Exchange Commission (SEC) and FMDQ, I-invest allows retail investors to conveniently buy and manage Eurobonds, Treasury Bills, Commercial Papers, Equities, and many more without the help of a broker on a secure platform.

Through the I-invest app, Nigerians are able to access a plethora of investments based on their risk appetite. Potential investors do not need banking officials, fill lengthy documents or spend valuable time in banking halls.

A major objective of the app is to enable Nigerians secure their future through investment, an objective that very much aligns with this year’s edition of the Nigeria Economic Summit (#NES27) themed, “Securing Our Future: The Fierce Urgency of Now.” The summit is holding at the Transcorp Hilton Hotel, Abuja from 25th to 26th October 2021.

Speaking at the Summit, Oluseye Olusoga, Founder of I-invest and Group Managing Director, Parthian Partners, said I-invest is leveraging technology for Nigerians to invest and build a savings culture. Olusoga said the unique advantage of the App is the safety, ease-of-use and convenience, in addition to being regulated.

“The #NES27 theme, ‘Securing our Future’ can be realised through saving and investing for tomorrow hence I-invest has been designed to allow users do this in the most seamless and convenient way, for not only the user but for dependants as well. The application is built by Nigerians to help Nigerians invest in Nigeria.

He added that, “The impact of the application on the Nigerian economy is to create an environment where Nigerians are involved in the development of the country through their investments, instead of taking their money out of the country.”

Olusoga explained that the app allows Nigerians to invest in different sectors of the capital market in both Dollar and Naira instruments; ranging from mutual funds to fixed deposits with different banks.

“I-invest is an App for everything financial services in Nigeria, it even allows you to buy insurance. With the advent of BVN, we are taking the advantage of technology to be able to invest directly. Users can buy equities straight from the stock exchange, and Treasury Bills from any of the accredited banks, all from the mobile App,” he enthused.

Speaking on his expectations from the #NES27, Olusoga said he wants Nigerians to be more aware and involved in tackling challenges facing the nation in turn changing the country’s narrative.

The I-invest App is available for download on Google Play or Apple store.

Continue Reading

Trending