22 — Vanguard, FRIDAY, OCTOBER 24, 2014
Investors, stakeholders can tap into potential of rebased GDP — FBN Capital
By PETER EGWUATU
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head of the December 31,deadline for the recapitalisation of the Nigerian capital market operators, stockbrokers under the aegis of Chartered Institute of Stockbrokers, CIS have commenced fresh dialogue with the regulators in the capital market with a view of meeting the capitalisation requirements and deadline. There are also strong indications that the CIS may soon sign a tripartite Memorandum of Understanding with the Nigerian Bar Association (NBA) and Institute of Chartered Accountant of Nigeria (ICAN) to enhance synergy among the three professional bodies. The President of Chartered Institute of Stockbrokers, Mr. Albert Okumagba disclosed this to Vanguard, weekend, during the institute’s programme, termed “ Brunch with the President” held in Lagos. The capital requirement for broker/ dealer was increased from N70million to N300 million.The minimum capital requirement for Issuing Houses was also raised from N150 million to N200 million; while that of underwriters went up from N100 million to N200 million. For a registrar in the Nigerian capital market, the minimum capital obligation was raised to N150million from N50million; while for those in trustees business, the capital requirement was moved up to N300million , from N40millon.Furthermore, the minimum capital requirement for rating agencies was increased from N20million to N150million ; while the capital requirement for corporate investment adviser remained unchanged at N5 million.Continuing, he said “It is going to be a continuous engagement. We have met SEC and also the NSE. So, we
F From left: British Airways Trade Account Manager, Nigeria, Peju Diya; winners of British Airways travel consultant bumper reward, Halima Mohammed of Touchdown Elite Travels, Solomon Olowonawu of Goodnews Travels; British Airways Trade Account Manager, Eastern region, Bodunrin Olowolagba and British Airways Trade Account Manager, Northern region, Ronnie Uzoigwe, during the presentation of Shoprite shopping vouchers to winner of the British Airways Frontline Incentives for Trade Partners in Lagos.
Stoc kbr ok er ockbr kbrok oker erss engage regulat or regulator orss o ovver recapitalisation deadline will continue the talk and that is one of the things we promised when we took over the leadership of the CIS.” A fellow of the institute, who is also the Chairman of Association of Stockbroking Houses of Nigeria, ASHON, Mr. Emeka
Madubuike, said “Yes, we have met with the Chairman of SEC and the talk is ongoing. We told him our position. We will still meet the management team of the commission to address grey arrears before the deadline.
Rights issue: Unity Bank to reconstruct shares By NKIRUKA NNOROM
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ollowing the success of its recently concluded right issue, Unity Bank Plc is set to reconstruct its shares. The Managing Director/ CEO, Mr. Henry Semenitari, disclosed this at the listing of the bank’s additional 78.45 billion ordinary shares of 50 kobo each that arose from the rights issue and special placing on the Official List of the Nigerian Stock Exchange, NSE. He also disclosed that the rights issue undertaken by the
bank earlier in the year was oversubscribed by more than N950 million. Unity Bank had in May concluded arrangements to raise N39.2billion via Rights Issue of 38.45 billion ordinary shares of 50 kobo each at 50 kobo per share and Private Placement of 40 billion ordinary shares of 50 kobo each at N0.50 kobo per share. Acceptance list for the rights issue opened on May 12 and closed on June 18. Semenitari, who also rang the trade closing gong, said:
PZ posts N8.2 bn profit By EMMA UJAH, Abuja Bureau Chief
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Z Cussons Nigeria Plc has posted a profit before tax, PBT of N8.2 billion for the year ended May 2014, representing an eight per cent growth when compared to N7.7 billion recorded in the previous year. The Chairman of the company, Prof Emmanuel Edozien disclosed this at the company ’s 66th Annual General Meeting, in Abuja. He told the shareholders that the year under review was characterized by “tough
operating conditions, taking into consideration, the security challenges in parts of the North and the stiff competition from other companies.” In spite of that, Prof. Edozien maintained that PZ Cussons “still performed satisfactorily and it is expected that this commendable performance will continue in the coming years”. He explained that the company paid out N2.4 billion in dividend to its shareholders representing 61 kobo per share, which was a increase of 5 kobo when compared with the 56 kobo per share dividend
payout of the previous year. On sales, he told the shareholders that PZ Cussons maintained its leadership position in the toilet soap segment of the market with Premier, Joy and Imperial Leader which drove the personal care business driven by personal wash beauty, medicaments, as well as, Mother & Baby categories. He noted that the home and family care brands performed relatively well during the period, saying, “growth of personal care brands was also strong, while homecare was challenged by a decline in commodity product”.
“We are definitely going to do share reconstruction; we would have an AGM approval for that. So, in a very short while, that will be done. Considering the number of shares on issue in the market, that will definitely be done in the interest of shareholders.” He noted that the entire rights issue was fully taken up by the domestic investors, saying that no foreign investor partook in the offer. He explained that having successfully completed the rights issue, the bank would judiciously and professionally deploy the funds well to upgrade the infrastructure and shore up the balance sheet, which he said would lead to capital appreciation for the shareholders. He assured that within the next few years, shareholders of the bank will not only benefit from capital appreciation but will also enjoy dividend payment, while saying that funds from the rights issue would be judiciously used to achieve set goals.
BN Capital Limited, the Investment Banking and Asset Management subsidiary of FBN Holdings Plc, has said that with a focus on the recently rebased Gross Domestic Product, GDP, investors and stakeholders in Nigeria can tap into the potentials of the country. The company stated that it will host key stakeholders at the 4th edition of its Annual Investor Conference, holding on the 11th and 12th of November 2014 at the Federal Palace Hotel in Lagos. The theme of the conference, according to FBN is “Lifting the lid on emerging Nigeria”, with a focus on the recently rebased GDP of Nigeria. Headlining this year’s event are the Honourable Minister for Trade and Investment, Mr. Olusegun Aganga; the Honourable Minister of Communication Technology, Mrs. Omobola Johnson; the newly appointed Governor of the Central Bank of Nigeria, Mr. Godwin Emefiele; and the Director General, Nigerian Pension Commission, Mrs. Chinelo Anohu-Amazu, among other speakers and panelists. Also billed to speak at the event is Dr. Anil Gupta, a scholar widely regarded as one of the world’s leading experts on strategy, globalization and entrepreneurship. According to the Managing Director of FBN Capital, Mr. Kayode Akinkugbe, “Over the last three years, we have explored key aspects of Nigeria’s economic evolution as it transitions from a frontier to an emerging economy. This year, we will consider how Nigeria can capitalize on the recent GDP rebasing which has propelled it to the position of the largest economy in Africa, and also shine the spotlight on previously under-represented fast-growing sectors of the economy which the recent rebasing has brought into focus.” It was also gathered that Dr Gupta will be discussing his ideas on how Nigeria can handle the “too big to ignore” tag which comes with the elevated position the country finds itself in after the rebasing. Dr. Gupta is ranked by Thinkers 50 as one of the world’s “most influential living management thinkers” and is one of only three professors in the world to have been elected by his peers as a Lifetime Fellow of all three of the most prestigious bodies in the field – Academy of Management, Strategic Management Society, and Academy of International Business.