CAPITAL MARKET
Otedola: Shareholders, analysts foresee spike in FBNH share price
Shareholders and analysts in the Nigerian capital market have projected a rise in the share price of FBN Holdings Plc as the tussle for controlling interest by the major investors in the company looks set to heighten. FBN Holdings, in a statement released to the Nigerian Exchange Limited and the investing public on Saturday, said Mr Femi Otedola, a billionaire businessman, had acquired a 5.07 per cent shareholding in the company through his nominee, Calvados Global Services Limited. Reports also emerged that the company’s Chairman, Mr Tunde Hassan-Odukale, had acquired 1.92 billion shares, representing 5.36 per cent of FBN Holdings’ issued share capital. Punch
MTN to Invest N89.999bn Series II Bond Proceeds in Network Expansion, Paid N93.66bn Tax in 2020
Following approval from the Securities and Exchange Commission (SEC), MTN Nigeria has launched the book build in respect of the Series II 10-Year Fixed Rate Bond (Series II Bond), and have concluded plans to invest the proceeds from the book launch, which amounts to N89.999 billion, in its network expansion drive. The telecommunications company had successfully raised N110.001 billion through the Series I bond in May 2021 and is set to raise N200 billion through Series II. This is just as the company has revealed that it has paid over N93.66 billion in taxes to the Federal Government of Nigeria for the fiscal year 2020. The effort, it stated, is in line with its commitment to fulfilling its civic responsibility and stimulating economic growth and infrastructure development in the country. This Day
Derivatives as viable alternative for boosting stock market’s liquidity
With less than 30 per cent of listed equities being actively traded while the Nigerian Exchange Limited (NGX) offers only basic products, there are concerns about the capital market’s shallowness and lack of breadth. There have been arguments, though, to the effect that the NSE’s product offering merely reflects the domestic economy’s financing needs. However, on account of the growing financing needs, including public-private partnership (PPP) as a solution to the nation’s infrastructure dearth, finance experts believe that there are new opportunities for broadening the exchange’s product offerings to include key derivative categories, expansion of listed mutual funds, index funds, among others. Guardian
BANKING
Weak Earnings Down Stanbic IBTC Holdings Profit by 40% in 9 Months
With about 20 per cent drop in gross earnings, Stanbic IBTC Holdings Plc has announced 40 per cent drop in profit in its nine months ended September 30, 2021 unaudited result and accounts. The company’s result made available by the Nigerian Exchange Limited (NGX) showed a Profit after tax of N39.9 billion in nine months of 2021 from N66.2 billion reported in nine months of 2020. Also, Profit before tax closed nine months of 2021 at N45.3 billion, down by 41 per cent from N76.9 billion reported in prior nine months unaudited results. Gross earnings and hike in operating expenses contributed to the Holdings decline performance in the period. Gross earnings dropped to N146.6billion in nine months of 2021 from N183.3billion reported in in nine months of 2020. This Day
ECONOMY
World Bank blacklists 18 Nigerian firms, individuals for corruption –Report
The World Bank has released a new report revealing a list of Nigerian companies and individuals involved in corrupt practices and fraud, Amarachi Orjiude and Sami Olatunji report. The World Bank has blacklisted 18 Nigerian individuals and firms for engaging in corrupt practices, fraud and collusive practices in its 2021 fiscal year 2021, a new report has revealed. A list of debarred individuals and firms was presented in a new annual report titled World Bank Group Sanctions System FY21. The debarments were made by the World Bank Sanctions Board, World Bank Chief Suspension and Debarment Officer and the African Development Bank. The debarments made by AfDB were recognized by World Bank, making the affected firms to be barred under cross-debarment policy. Punch
Unemployment, a time bomb, behind insecurity, says NLC
Members of the Nigeria Labour Congress during the protest at the National Assembly Complex in Abuja…on Wednesday. Photo: Olatunji Obasa. The Nigeria Labour Congress has described unemployment as a time bomb, adding that if not urgently addressed by the Federal Government, it will be difficult for the nation to have peace. The President, Nigeria Labour Congress, Ayuba Wabba, said these during the 40th-anniversary celebration of the Labour Writers Association of Nigeria. Wabba said, “There is no difference between unemployment and insecurity; it is a fact and has been established. Punch
