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Ban Tomato Importation – Dangote Tomato MD Tells FG

by dthata
written by dthata

The Managing Director of Dangote Tomato Processing plant in Kadawa, Kano State, Abdulkarim Kaita has on Thursday called on the Federal government to ban importation of tomato paste like it ban rice importation into the country.

This was as he decried importation of tomato paste which he said was still thriving as the commodity was being imported from Cameroon and Cotonour in Benin Republic.

Kaita made the call while flagging off the distribution of tomato seedlings to 5,000 farmers under the Anchor Borrower of Central Bank of Nigeria on Thursday at Kadawa village in Kura LGA of the state.

The MD also dropped hint that plans are underway by the company to ensure that Nigeria is self sufficient and positioned to export tomato by establishing the biggest greenhouse in Africa which has the capacity to produce 350 million seedlings annually.

According to him, “We are appealing to the Federal Government to put a total ban on the importation of tomato like what it did to rice.

“The ban is necessary so as to boost local production of the commodity and ensure that Nigeria is self sufficient in tomato production.

“the ban on the importation of tomato paste would lead to the establishment of more tomato processing plants thereby creating job opportunities for many people in the country.

“The company had on several occasions visited the Customs Headquarters and met with the Controller General with a view to lodging complaint over the issue but nothing was done to check the ugly trend.

“It is only by putting a total ban on tomato importation that the government can encourage farmers to grow the commodity for the country to be self sufficient.

“The company was working with the Central bank of Nigeria under the anchor Borrower programme to provide tomato farmers with high yield seeds which will enable them to produce a minimum of 40 tons per hectare.

“Similarly, the company is putting a lot of effort to ensure that Nigeria is self sufficient in tomato production by establishing the biggest greenhouse in Africa which has the capacity to produce 350 million seedlings annually.

“There are 12 major tomato producing states in the country which if fully cultivated, in the next one year, Nigeria will be able to start exporting tomato.

“The greenhouse which is the largest in Africa, is established to provide tomato growers with high yield tomato seedlings in the country,” Kaita said.

In his remarks, the Chairman, Kano State chapter, Tomato Growers Association of Nigeria, Sani Danladi-Yadakwari commended the Federal Government for including tomato value chain in the anchor borrower programme noting that it would go a long way in boosting tomato production in the country.

Some of the items benefitted by the tomato growers include seedlings, fertilizer, water pump and other inputs.

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No Plan To Migrate Jobs Outside Nigeria – Chevron

by dthata
written by dthata

The management of Chevron Nigeria Limited (CNL) says it has no plans to migrate Nigerian jobs outside the country.

CNL’s General Manager Policy, Government and Public Affairs, Mr Esimaje Brikinn, made the clarification in a statement on Friday.

Brikinn spoke following an allegation by the Petroleum and Natural Gas Senior Staff Association of Nigeria that CNL planned to relocate jobs outside the country.

Also read: IPPIS: SSANU writes FG on looming industrial dispute
He said, however, that the company was reviewing its manpower requirements in the light of the changing business environment.

According to him, the new organisational structure will require approximately 25 per cent reduction in the workforce across the various levels of its organisation.

“The aim is to have a business that is competitive and have an appropriately sized organisation with improved processes.

“This will increase efficiency and effectiveness, retain value, reduce cost, and generate more revenue for the Federal Government of Nigeria.

“It is important to note that all our employees will retain their employment until the reorganisation process is completed.

”We have prospects for our company in Nigeria; however, we must make the necessary adjustments in light of the prevailing business climate.

“We need everyone’s support to get through these tough times stronger, more efficient and more profitable, in order to sustain the business, ” he said.

The manager also said that CNL was in alignment with both its Joint Venture partners, including NNPC, and the Department of Petroleum Resources (DPR) on the process.

He said: “We are actively engaging our workforce to ensure they understand why this is being done.

“We will continue to consistently engage all relevant stakeholders, including the leadership of the employee unions as we continue this process of business optimisation.”

Earlier, the Petroleum and Natural Gas Senior Staff Association of Nigeria, Chevron Branch, had accused CNL of sacking 600 Nigerian workers and planning to relocate jobs to America.

Its Branch Chairman, Mr Ote Oyegbanren, and Secretary, Mr Lavin Aghaunor, in a statement said that the workers being sacked were lower cadre employees whose salaries were negligible when compared with that paid to their American expatriates counterparts.

“National PENGASSAN appealed to Chevron Management to suspend the process and allow both parties to reach agreement on an amicable voluntary separation exercise such that workers may opt to exit but this conciliatory offer was rebuffed.

“The plan of Chevron management is part of a grand scheme by multinational oil companies operating in Nigeria to gradually relocate work being done in Nigeria to their home country,” the duo said.

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Chevron Nigeria To Sack 25% Of Workforce

by dthata
written by dthata

Chevron Nigeria Limited has said it will slash its workforce by 25 per cent as it is reviewing its manpower requirements in the light of the changing business environment.

CNL disclosed this on Friday in a statement entitled ‘Chevron Nigeria Limited reviews workforce in accordance with business exigencies’.

The oil major said it would continue to evaluate opportunities to improve capital efficiency and reduce operating costs.

CNL’s General Manager Policy, Government and Public Affairs, Esimaje Brikinn, said, “The aim is to have a business that is competitive and have an appropriately sized organisation with improved processes.

“This will increase efficiency and effectiveness, retain value, reduce cost, and generate more revenue for the Federal Government of Nigeria.”

According to him, the new organisational structures will, unfortunately, require approximately 25 per cent reduction in the work force across the various levels of the organisation.

“It is important to note that all our employees will retain their employment until the reorganisation process is completed,” Brikinn said.

He said there were no plans to migrate Nigerian jobs outside the country.

He said, “We have prospects for our company in Nigeria; however, we must make the necessary adjustments in light of the prevailing business climate; and we need everyone’s support to get through these tough times stronger, more efficient and more profitable, in order to sustain the business.

“We are actively engaging our workforce to ensure they understand why this is being done. We will continue to consistently engage all relevant stakeholders, including the leadership of the employee unions as we continue this process of business optimisation.”

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‘We’ve Not Been Allowed To Leave For Six Months’ – Workers At Indomie Cry Out

by dthata
written by dthata

Workers at De United Foods Industries Limited, makers of Indomie noodles, have cried out for help over what they described as modern-day slavery and unfair labour practices meted out on them since March.

The workers said cooks, drivers, nannies, stewards and other groups working for the largely Asian staff of the company, had not been allowed to return home to see their families by the management of the company under the guise of preventing the spread of COVID-19.

The workers in a statement on Thursday said, “Ironically these bosses go out everyday including attending social functions while a few of them have even contracted the COVID-19 and infected the helpless domestic workers. The affected domestic workers are largely drawn from those living with their bosses around Ikoyi and Victoria Island parts of Lagos.

“The Federation of Informal Workers Organisations of Nigeria, a network of working people under informal employment in Nigeria, was alerted about this development almost two months ago during which time efforts were made to reach out to the management of DUFIL to review its inhuman policy without any response or acknowledgement of the effort.”

They called on the Nigerian Government, investors and the international community to intervene in ensuring that they were released to leave the confines of their bosses homes where they had been denied access to public holidays, weekends.

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Betting Companies In Kaduna Urge State Government To Lift Ban On Betting Shops

by dthata
written by dthata

The Association of Nigerian Bookmakers is the national trade association of sports betting operators and our attention has been drawn to the recent forceful closure of several sports betting shops across Kaduna State by officials of Kaduna State Internal Revenue Service (KADIRS) under the guise of alleged non registration and refusal to pay certain ‘debts’.

This came to us as a rude shock especially in the light of the prohibitive regulatory framework the KADIRS seeks to enforce on operators by this act.

Deliberations were ongoing with respect to the proposed regulatory framework and operators have submitted documentations to KADIRS stating their position.

During the pendency of deliberations as aforementioned and without a feedback to operators, KADIRS moved to enforcement. This move, to say the least, was done malafide and sends a message that the State is creating a hostile environment for investors which is at variance with the government’s policy to encourage investment in our economy.

We therefore urge KADIRS to act in good faith by unsealing forthwith all sports betting shops hitherto sealed up by its officials and reopen discussion with operators on the proposed regulatory framework for Kaduna State.
Signed,

The Executive Secretary

Association of Nigerian Bookmakers

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“I Discovered Banana Island” – Terry Waya Claims

by dthata
written by dthata

Terry Waya made this claims in an interview with BBC pidgin where he talked about how he made his money as a young man, he reveals he got the contract to develop the luxury Banana Island in Lagos, Nigeria commercial capital.

Terry Waya revealed he was the first person that got the to develop Banana Island before he handed over to Lebanese-Nigerian Chagoury Group to complete the job.

According to Terry Waya nobody knew about Banana Island before and that one day he went to visit his tight friend, General Adisa, and that was when he saw a big poster where they wrote “Banana Island.”.

Terry Waya then asked the minister about the poster and he told him they were looking for a partner to collaborate with to develop the man-made Banana Island and then sell it, therein the partner will have his share and the government also will have its share.

Because of his friendship with Adisa, he asked the general to give him the project, which he did get, Terry Waya then called on Chagoury to do the project and this was how the luxurious island was found.

– As im pikin Kiddwaya gain fame for di Nigeria reality show BBNaija, na so di spotlight shine on im papa, Terry Waya.

Now, Terry Waya don open up in dis exclusive about im life.

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Nigerian Co-Owned FINTECH, Esusu Raises $2.3 Million In Fundings in USA

by dthata
written by dthata

Nigeria-Inspired Fintech Esusu Raises $2.3 Million in Seed Extension to Fuel Its Expansion to 1M Rental Units.

Millions of Americans have lost jobs and missed rent payments due to the pandemic, a striking reminder of the looming financial duress many households are under. On Wednesday, the digital savings app Esusu, which targets immigrant and minority groups, announced the close of a $2.3 million seed round, bringing its total financing to $4 million.

Cofounders Wemimo Abbey and Samir Goel began fundraising in June and the latest round includes investors like Impact America Fund, Zeal Capital Partners, and Next Play Ventures, the latter of which is led by LinkedIn chairman and former CEO Jeff Weiner.

Founded in 2018, Esusu is a rotational savings and credit building app that allows users to pool and withdraw money for big-ticket transactions, such as a down-payment on a house. These purchases and the fulfillment of debt obligations are then reported to credit bureaus to help users establish or improve their credit profiles. The fintech company also doubles as a rental data reporting service by partnering with landlords, property managers, public housing authorities, and consumers to report tenants’ rent payment history, one of the most sizable and consistent payments for Americans.

“We’re trying to address the fact that millions of people have a thin credit score or no credit score at all, while the average debt is around $135,000,” says Abbey who made Forbes 30 Under 30 list in 2019 along with cofounder Goel. “People are seeing the impact of what Esusu can do for their financial identity, which gives them a lot of leverage.”

The two launched a rent relief fund in April and have raised nearly half a million dollars through an initial crowdfunding campaign and later, from the nonprofit impact investment fund Acumen and The Global Good Fund.

Applicants are vetted based on greatest need and must pay back the interest-free loans within 12 months. “The pandemic’s disproportionately harmful impact on underserved communities has reinforced the importance of closing societal divides and ensuring that equal talent has equal access to opportunity,” says Weiner, founding partner at Next Play Ventures. “Esusu provides a foundational building block in making that a reality.”

More than 5,000 renters across the U.S. have applied for Esusu’s financial assistance and the fund has deployed about a quarter-million dollars. About 85% of applicants are Black, 7% are non-Black people of color and the remaining 6% are Caucasian, which Goel says is telling.

“People have succeeded economically in the U.S. through access to cheap debt, so the essential redress to that problem is helping Black folks get access to good credit so that they can get cheap loans and invest in homes and other products,” Goel says. “Social justice will take a lot of time but we can focus on economic justice and begin to help equalize wealth building.”

Esusu makes money from rent reporting by charging landlords $2 per unit each month. The value proposition for landlords is a 25% uptick in punctual rental payments and an amenity that they can use to lure new high-quality tenants or keep existing tenants who want to continue to build their credit.

Less than 1% of rental payments are reported to the major credit bureaus despite constituting the largest single monthly expenditure for American consumers and acting as a strong predictor of an individual’s credit risk.

“Our modus operandi centers on how we can help people achieve their financial best and we fundamentally believe that we can leverage our comprehensive tapestry of data to eliminate the racial wealth gap,” Abbey says.

Esusu currently operates in more than 30 states and covers over 200,000 rental units in cities like New York, Atlanta, Los Angeles, Minneapolis, Houston and Portland. It plans to expand across all 50 states within the next year and projects $1 million in revenue by year-end. With its latest capital infusion, Esusu plans to add new hires to its 25-person team.

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Shoprite Announces Plan To Leave Kenya

by dthata
written by dthata

South Africa’s supermarket group, Shoprite Holdings, has announced plans to sell or close its remaining two stores in Kenya by the end of December.

The supermarket group said it will be leaving the East African country two years after it began operations in the country.

On Tuesday, the company said its Kenyan business had underperformed.

“Kenya has continued to underperform relative to our return requirements,” the company said after posting a 16.6 per cent rise in annual group earnings. The South African firm has renegotiated 48 rental agreements by either reducing rent payments or converting them to local currency, Chief Executive, Pieter Engelbrecht, said.

The group has also restricted capital allocations to its supermarkets outside South Africa, as part of an ongoing review of its operations in Africa.

Shoprite, while declaring final dividend of 227 cents per share, said it had traded ahead of expectations since the beginning of July.

The company said the decision to exit Kenya was influenced by the ripple effects of the COVID-19 pandemic on its operations and earnings.

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CBN Freeze Adebutu Kessington’s Bank Accounts For “Tax Fraud”

by dthata
written by dthata

The move by the apex bank comes months after the Economic and Financial Crimes Commission launched an investigation into the activities of Adebutu for alleged tax fraud and economic sabotage.

The Central Bank of Nigeria has frozen the bank accounts of 38 Nigerian companies.

This is as scarcity of dollars at the parallel market during the week forced the naira down to N465 against a United States dollar.

Nigeria is presently facing one of its biggest dollar crunch in recent years with the impact hurting critical sectors of the economy.

In a circular dated September 4, Bello Hassan, CBN’s Director of Banking Supervision, asked banks to place the accounts of the 38 companies on Post-No-Debit (PND) order

“You are hereby required to place the under listed accounts on Post-No-Debit with immediate effect and revert with the account names, numbers, currencies and balances of all accounts placed on PND.

“Note that only the listed entities should be placed on PND, all related accounts are excluded. Your response should be forwarded to the underlisted email addresses Osoladipo@cbn.gov.ng or moabeng@cbn.gov.ng,” part of the circular read.

Among the companies listed by CBN is Premier Lotto owned by Adebutu Kessington, Nigerian billionaire known as Baba Ijebu.

The move by the apex bank comes months after the Economic and Financial Crimes Commission launched an investigation into the activities of Adebutu for alleged tax fraud and economic sabotage.

According to PREMIUM TIMES, Segun, one of Adebutu’s children and other management officials of Premier Lotto were in January detained at the EFCC office in Lagos.

According to officials of the commission, the investigation was as a result of a petition submitted by Western Lotto, another betting company run by late Buruji Kashamu.

PREMIUM TIMES quoted EFCC sources as saying that they had identified N5bn revenue that should have been remitted to the Nigerian Government but was allegedly kept aside by the company.

The probe might be expanded to include other betting companies and investigate claims of sharp practices and how some firms allegedly withhold funds from winning customers.

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FG Asks Multichoice To Suspend DSTV, GOTV Price Increase

by dthata
written by dthata

The Federal Government has asked Mul­tiChoice to suspend its planned increase in tariff which will take effect from Sep­tember 1, saying it is hostile to Nigerians who are currently going through harsh economic conditions, Daily Independent reports.

The government also said the company did not consult with it before the decision was made, saying it only read about the increase in the media like every other Ni­gerian.

MultiChoice had, last week, announced increment in the prices of DStv and GOtv subscriptions for the second time in less than four months.

Giving reasons for its up­ward review of prices, the company cited factors such as inflation, operations, the mandatory increase in Value Added Tax (VAT), and deval­uation of the naira.

The company, in a state­ment to subscribers, said that from Tuesday, September 1, 2020, MultiChoice would ef­fect its new price regime as follows: DSTV Premium will move from N16, 200 to N18, 400; Compact Plus from N10, 925 to N12, 400; Compact from 6,975 to 7,900, and for users of GOtv Max, they will have to pay the sum N3, 600 from 3,280.

One of the texts read: “Dear customer, please be ad­vised of a price adjustment on your DStv Premium package from September 1. Your new monthly subscription will be N18, 400.”

Speaking exclusively with Daily Independent, Arm­strong Idachaba, the Direc­tor-General of the National Broadcasting Commission (NBC), said while it had writ­ten to MultiChoice to suspend the tariff, it had also fixed a meeting with their manage­ment for Monday to discuss the rationale behind the in­creases.

“In business, especially in a liberal economy, market op­erators try to fix their prices according to the dictates of the market.

However, it is the job of the regulator to ensure that whatever services are offered meet the yearnings and aspi­rations of the people in a way that consumers are protected.

“With regards to broadcast­ing, there is nowhere in the Act of the commission which gives us the power to fix pric­es. I am told but have not con­firmed that the Telecommuni­cations Act gives the telecom regulator, the NCC, the power to determine prices.”

Speaking further, he said while the NBC does not have the powers to fix prices for the operators, it has the powers to call them to order if it discov­ers that they are exploiting Nigerians.

He explains: “We have no provision to regulate the prices that those who offer broadcast services fix but if, in the course of fixing prices, we find out that it is very ex­ploitative and injurious to the consumers, we have the pow­er to call them to order, which we have done severally”.

“On many occasions, we have told them not to increase the price or suspend price in­crease. But usually the argu­ment they give is that there are fluctuations in the value of the naira.

“Before the latest increase, there was an increase but they said it was due to the increase in Value Added Tax (VAT). So, they added the new VAT rates to their existing charges.

“Even at that time, we were at the National Assem­bly when the House of Reps requested that they should re­vert to the old prices which we directed them but they said if they had to do that, then they would not be paying VAT”.

“We are therefore sur­prised that without further consultation, immediately af­ter that, they now announced a price increase citing prevail­ing fluctuations in the econ­omy, value of the naira, and cost of doing business.

“We have written to them today because they didn’t consult with us before they did that. We only read it in the news.

“It is only today that they forwarded a corresponding letter to us, meaning that they have taken their decisions but are merely notifying us.”

He said aside from Mul­tiChoice, StarTimes’ man­agement had also been sum­moned to explain why they decided on price increases at a time Nigerians are going through tough times.

“We have told them to sus­pend it until we meet them. We are meeting with them next week Monday. They and StarTimes will have to come and explain to us why they have to increase prices at this time that Nigeria is going through economic challenges”.

“I think it is hostile to the interest of the consumers. Our final positions will be known when we meet with them Monday”.

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Air Peace Boss, Allen Onyema Visits Anambra Cargo Internation Airport Site

by dthata
written by dthata

Airpeace boss, Chief Allen Onyema lauds Governor of Anambra state, Chief Willie Obiano over the ongoing Anambra International Airport, Ummueri, says airport has potentials of becoming the best in Africa.

Airpeace is also ready to partner with Anambra state government to build a standard maintenance hanger in the airport.

Chief Onyema reveals more in an interview with the MD of ABS, Chief Uche Nworah.

Get details from the video below

https://youtu.be/qtps1eP0r4M
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Lagos Stadium: Business Owners Lament Seven-day Eviction Notice

by dthata
written by dthata

Business owners at the National Stadium, Lagos are lamenting the seven-day eviction notice given to them by the Ministry of Youth and Sports Development to vacate the premises.

Dare on June 20 had given illegal occupants of the Moshood Abiola Stadium, Abuja 25 days to vacate the facility, while legal occupants of the Lagos stadium were handed a seven-day notice on Monday, and are expected to evacuate the premises on August 24.

The notice, which was signed by the stadium manager, Kehinde Owopetu, and titled ‘Renovation of the National Stadium, Lagos vacation order of temporary structures,’ read, “Please be advised that the Federal Government has concluded arrangements for the holistic renovation of the National Stadium, Lagos by PPP/concession scheme.

“Further to the above, the handing over of the entire sports complex in its “original design” has been scheduled to hold in due course. Consequently, you are by this letter advised to remove all your valuables and vacate possession of that shop/store/business premises with all the appurtenances thereto situate and lying at the National Stadium, Surulere, Lagos.

“You are hereby given seven days’ notice to quit and deliver up vacant possession on or before August 24, 2020, failure of which we will take further necessary legal steps to eject you. Take further notice that you are to pay all arrears of rent owed before you vacate the complex.”

A sports facility store owner at the stadium, who spoke to our correspondent on the condition of anonymity, lamented the FG’s move, saying they should have given them at least a six-month quit notice.

“If they are going to give us quit notice, they should give us at least six months to do a proper relocation, not just seven days to move,” he told The PUNCH.

“We have been suffering from the coronavirus pandemic for the past five months and we have not earned anything from our businesses. After six months of inactivity, they gave us this notice to quit the premises.

“People have been rendered useless; people working at the shops in their hundreds have lost their jobs. So many businesses will die immediately because after the lockdown, people were hoping to get their businesses started but this latest development will kill their businesses.”

Another store owner, Bosede Olatubosun, added, “I feel very sad about this situation. How do I proceed? I do not owe, I paid my rent in January and that is supposed to last me till December.

“I don’t have anywhere to evacuate my goods to. We are pleading with the minister. We have children and elderly ones depending on us. We hope that they can give us till at least January to put our houses together. The notice is just too short.”

The stadium manager, Kehinde Owopetu, declined comments on the issue when he was contacted by our correspondent, saying he was not authorised to speak on the matter.
Government have a way of killing people’s business. May God help us all. Amen

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Richest Man In Asia, Mukesh Ambani Plans To Acquire Several Local Online Retailers As He Races To Compete Against Amazon

by dthata
written by dthata

Mukesh Ambani, Asia’s richest man, is on a shopping spree as he targets online retailers for acquisition in a bid to compete against Amazon.

Ambani spent the early few months of the pandemic raising more than $20 billion by selling stakes in his technology venture. He is now looking to acquire several local online retailers to help expand product offerings as he races to build his e-commerce platform and compete against Jeff Bezos’ Amazon.com.

Reliance Industries Ltd., Ambani’s oil, retail and telecommunications conglomerate, is in various stages of negotiations to either buy out or purchase stakes in Urban Ladder, an online furniture seller, Zivame, a lingerie maker, and Netmeds, which delivers medicine, people familiar with the matter said, according to Bloomberg. The sources asked not to be identified as the talks are confidential. There’s no certainty the deliberations may result in a deal, they added.

The 63-year-old tycoon is seeking to widen his retail footprint in a market that’s become a hot spot for global giants such as Amazon as well as many local rivals.

The business mogul last month outlined plans to rope in investors for his Reliance Retail Ltd., days after selling a combined 33% stake in Jio Platforms Ltd. — a digital services holding company — to partners including Facebook Inc. and Google.

“At a time like this, the valuation of a lot of retail organizations is really attractive and Reliance is in an enviable position with a huge war chest,” said Pronam Chatterjee, co-founder and chief executive officer of BluePi Consulting. “In the next five years, we see one retail organization taking up the pole position. With these acquisitions Reliance is priming to be the clear leader.”

Reliance could pay as much as $160 million for Bangalore-based Zivame, the Economic Times reported earlier. The Urban Ladder deal could be pegged at about $30 million, while Netmeds at $120 million, local media have reported. Milkbasket, a milk delivery company, is also one of the targets, the Times of India reported Monday.

Ambani’s latest hunt for deals follows a wave of similar acquisitions that started around 2017. Since then, his group has purchased British toy store-chain Hamleys, a local music streaming app called Saavn, logistics operation Grab a Grub Services and the Haptik artificial intelligence chatbot. Reliance is also closing in on a deal for stakes in some units of Indian retailer Future Group, people familiar with the matter said in June.

Late last year, Ambani unveiled his shopping portal JioMart, which is now delivering in about 200 cities and towns. His chase for the assets comes at a time when the coronavirus pandemic has disrupted supply chains and dented sales at conventional retailers, while boosting online orders from people under lockdown.

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I Received Order For $4.7m Cars From Sierra Leone As NASS Rejects My Cars – Innoson CEO

by dthata
written by dthata

Chief Innocent Chukwuma is the Chairman/Chief Executive Officer of Innoson Vehicles Manufacturing, IVM, a foremost automobile maker in Nigeria.

In this exclusive interview after a facility tour of his Nnewi automobile factory, Chukwuma reveals the secrets behind his success in the automobile industry, why he has never failed in any business ventures, his major challenges, his new factory in Imo State and planned partnership with a foreign company. Excerpts:

Some Nigerians still think that Innoson is just an assembling plant and not a car production company. What is your status?

You are here now and you have seen things yourself. Let me use this opportunity to say this once again; Innoson does not assemble vehicles, we manufacture. We build 100 percent vehicle body here and over 60 percent of the products used in manufacturing the vehicle are gotten from Nigeria.

We make all the carcass of all our vehicles here. We only import some engines and electrical components but produce all the plastic parts here. We have produced many new vehicles according to the demands of our customers and what they need those vehicles for. Even if they need what we do not have, we make the mould and produce their request and to specifications. That is why we are a vehicle manufacturing company, not assembling company.

Despite the challenging terrain of the automobile industry in Nigeria, you have succeeded in

Yes, I started this business from the scratch. So, it may not be out of place to say that I have made a name for myself. However, I still believe that I haven’t reached where I want to be. It might interest you to know that I never fail in any business I have ventured into.

This is because when you go into any business, you have to put your own ideas in it and when you do, the difference will be clear and you can make more money than others. You can also drop the business when you think there isn’t much interest in it again. So, to succeed in any business, don’t follow the crowd, always bring your own initiatives. With that, you will be able to make profits.

That has been my driving force, always looking for new ideas that are different from what everybody knows. For example, when you are into a particular business and it is no longer as lucrative and profitable as it used to because many people have ventured into it, you can leave the business for those people who lack ideas and go into a new business. This is because, as they are coming into the business, the profit margin will continue to diminish. So you leave it for them and find another fresh business idea to develop.

By the time they understand or realise how profitable the new idea is, you have already made your money and leave it for them. However, if the business is still convenient for you and gives you what you want, you can continue.

But if you feel that what you are getting there is not enough, leave it for those people who came to spoil it and develop a new one. That is the system I operate. I started trading in motorcycle parts with my brother. I started by buying from companies like Leventis that were importing the parts then. From there, I started importing myself. Later, I developed a complete motorcycle and not just the parts. I was the first person to develop complete motorcycle in Nigeria.

Because of my experience in the spare parts business, I found out that to bring motorcycle parts and couple them here in Nigeria was cheaper than bringing them as a complete motorcycle. So I decided to give it a try and it worked. I brought my own in parts and hired local mechanics to assemble and couple them. With this, my own cost was 40 percent cheaper. So, while others were selling at N150, 000, I was selling at N80, 000. Then, the cost of second hand motorcycle was N90, 000. People who used to buy second hand motorcycle decided to be buying my own since it was brand new and cheaper.

That’s how I benched my competitors who were selling at N150, 000. So, they had no choice than to adopt my strategy in importing their motorcycles. When they started copying my method, I veered into local production of plastic components of motorcycle parts so that I could be bringing only the iron components from abroad.

This also helped in bringing the price of my motorcycle down to N60, 000 which has been my aim from the onset. My competitors also discovered that it was better for them to buy plastic components from my company than bringing it from abroad. So, they started buying plastic components from me. With that, I left the motorcycle business for them.

Venturing into vehicle manufacturing

After some time, I decided to do what I did in motorcycle in vehicle. So, that’s what I’m doing today. I ventured into vehicle manufacturing immediately I became weak on motorcycle. I changed my focus to vehicle. I studied about vehicle production for about seven years before I could start. When I was building this factory, all my good friends and everybody I knew were asking me why did I venture into the business?

They said all the people who ventured into it in Nigeria failed. I told them to check all the businesses I have done, that none has failed. Before I entered into vehicle manufacturing, I have seen why others failed. And I told them that I would remove that which made others to fail and I did. That’s why I started by manufacturing and not by assembling. The people who failed started by assembling vehicles in Nigeria. And in that case, if anything happened to the parent company, the assembling plant here would lose because foreigners are not interested in building anything here.

They are coming to Africa to make profit and not lose, they want to make as much profits as possible and go. They are not interested to build us.

So, to avoid the pitfalls of others, I went and studied where we had problems and I paid for professionals, expatriates who came here and trained my people. I brought them to Nigeria, about 60 of them, in the first year we started this factory. Some of them finished under one year and left by the second year, I had about 42 and in the third year, I had about 15. Today, I have only eight.

Most vehicle manufacturers are switching from petrol to electric engine. Are you thinking in that direction?

I never built engine for the first time. I only build body and buy engine. What we do here is building complete motor body. Therefore, if electric is better, what I will do is to partner with electric company to supply me electric engine. And in that case, I won’t lose anything. If electric vehicles become the new normal, we’ll switch over to electric

Where do you export to? Do you supply your vehicles to other African countries?

Yes. As of now, I have order of about $4.7million worth of vehicles from Sierra Leone. That’s what I’m producing now for Sierra Leone government. Normally, I do get order and supply from within and outside the country.

What kind of support have you received from the Buhari government?

The Federal Government is doing everything possible to support the manufacturing sector with good policies, but the problem lies in the implementation. They have done enough in terms of policies to support local content but, like I said, implementation is the problem. So, I won’t say that government is not helping. They are doing their best. If you look at the policies, they are favourable.

How’s government, especially the legislature and the executive, patronizing your company based on the ‘buy Nigeria, grow Naira’ mantra?

Didn’t you see what happened at the National Assembly recently? They decided to buy Toyota cars made in Japan, that they are too big to drive made in Nigeria cars. Didn’t you hear it in the news?

…I heard it. I also heard that it was the member representing you that objected to buying your vehicle…

I don’t know about that. Whatever the person representing me said doesn’t matter to me. All I know is that was the decision of the National Assembly. Anything all of them agreed is what they will do. You can’t tag it to somebody representing me because he’s just one person and he can’t decide for the entire lawmakers. So, if the NASS decides anything, he can’t stop them.

What would you say has been your major challenge in this business?

Well, in manufacturing, there are a lot of challenges. But when you know that such challenges would come, you make provisions for them because, if you don’t have space to accommodate any challenge, one or two problems will force you to close shop. Any manufacturer will tell you about energy or electricity situation in the country.

When we were starting the factory, we knew we had such problem. So, we planned it in such a way that power situation will not affect us. There was a time we didn’t use electricity from the national grid for four years. I ran generator for that four years.

The issue was that the electricity company was over-charging me. They were giving me more bills than what I was supposed to pay because it was based on estimated billing. They failed to realise that we have engineers here who can calculate what we use. We asked them to install prepaid meter for us but they refused. So when they wanted to act smart, we wrote them officially to disconnect us.

We bought four different sizes of generating sets for the factory according to what we were doing then. We were running the generators eight hours each everyday for four years until the electricity company agreed to install a prepaid meter for us because they found out that they were losing. So they brought prepaid meter for us and we paid. So, electricity has been our major challenge but we made provisions from the outset to accommodate it.

Another major challenge is scarce foreign exchange. It has become increasingly difficult to access foreign exchange to import some of the components we use. How can you be telling the President that you need foreign exchange? I know from his speeches, he wants manufacturers to get but some of us don’t get. We find it difficult to access foreign exchange, we don’t get at all. How can you be doing black market to do manufacturing? It is difficult. That’s why we are focusing more on export now to get foreign exchange to enable us to continue to run the factory.

What about the South-East governors, do they patronise you as one of their own?

Well, I will say that they are doing their best and even the Federal Government is doing its best in patronizing us. However, if all the South-East governors are like that of Imo, then, we don’t have problems. The present governor is number one in implementing the local content. He deserves an award for that. Go to Imo, all the vehicles they are using are made in Nigeria. So Imo has got somebody in the governor who knows what’s good to do and we appreciate him for that.

Have you considered partnering or merging with known foreign vehicle manufacturers?

Well, most of them want me to partner or merge with them. Yes, we are looking into it. I’m going to open a new factory in Imo in partnership with foreign companies. I believe the partnership will help us to develop motor manufacturing on a bigger scale in Nigeria.

Is Imo government supporting you in that project?

Yes, Imo State government has indicated interest and they are supporting us. So, with my foreign partners, we will work together and develop it there.

Talking about siting of factory, what informed your choice of siting your factories in the South-East instead of the commercial city of Lagos?

Commercial city of Lagos is too busy. I want where there will be space for manufacturing. I’m also looking at the proximity with my other companies because, the way our companies were set up, factory A can produce something for factory B and vice versa. Another reason is for easy communications and management. I’m not interested in any particular region, be it South-East, South-West or North. It doesn’t matter to me. After all, I’m from Anambra but I have only one factory in Anambra, I have one in Enugu and will soon have one in Imo and Edo. Gradually, we’ll reach there.

Nigeria’s first indigenous vehicle manufacturing company, Innoson Motors’ G40 SUV.
Do you have any interest to contest for political posts such as President, governor?

Let me make it clear here that I am not a politician and I’m not interested in politics. I am a manufacturer. I will be an industrialist until I become weak. When I grow old I go home and retire. I don’t have time for politics. There are people who are politicians, let them continue with their politics. And as for the 2023 presidential election, I’m not interested in who is coming out. When the time comes, I’ll make a choice among those contesting. And I don’t know who I will vote for; it depends on who comes out

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“We Are Not Leaving Nigeria” – Shoprite Denies Exit Rumours

by dthata
written by dthata

ShopRite Nigeria has debunked the story making the rounds that it intends to close shop in Nigeria.

The Country Director for Chastex Consult, Ini Archibong, in a telephone conversation with Vanguard, said: “Shoprite is not leaving Nigeria.

“We have only just opened to Nigerian investors which we have also been talking to just before now. We are not leaving, who leaves over a $30billion invest and close shop? It doesn’t sound right.

“We only just given this opportunity to Nigeria investors to come in and also help drive our expansion plan in Nigeria. So we are not leaving.

“I have tried to say this as too many people as I can. There should be no panic at all and all of that. There is no truth in that report.”

Recall that reports have been circulating that the retail outlet has started a formal process to consider the potential sale of all or a majority of stake in its supermarkets in Nigeria.

The report said the retailer had struggled in the Nigeria market after some South African owned retailer shops exited the Nigeria market.

The report further stated that Shoprite results for the year do not reflect any of their operations in Nigeria as it will be classified as a discontinued operation.

The report also said international markets excluding Nigeria contributed 11.6 per cent to the group sales and reported 1.4 per cent decline in sales from 2018.

South African operations contributed 78 per cent of the overall sales and saw 8.7 per cent rise for the years.

The report went further to say that as a result of the lockdown, customers’ visits declined 7.4 per cent but the average basket spends increased by 18.4 per cent.

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Shoprite Exit Will Help Local Supermarkets To Grow, They Can Go – Shehu Sani

by dthata
written by dthata

Former Kaduna lawmaker, Senator Shehu Sani, in his reaction the report on exit of retail giant Shoprite from Nigeria, has said it will provide an opportunity for local supermarkets in the country to grow.

In a tweet he shared, Sani stated that the company is free to stay if they intend doing that and if they have decided to leave teh country, then they are also free to go.

He wrote on Twitter:

If Shoprite wants to stay, they can stay; if they want to go, they can go; it will help local supermarkets to grow.

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Shoprite To Leave Nigeria After 15 Years

by dthata
written by dthata

Africa’s biggest grocery retailer, Shoprite, is exiting the continent’s most populated country, Nigeria, after 15 years.

The Cape Town-based retailer has started a formal process to consider the potential sale of all or a majority stake in its supermarkets in Nigeria, it said in a trading statement for the 52 weeks to end June released on Monday.

South African retailers have struggled in the Nigeria market and most recently Mr Price has exited the market after Woolworths did the same six years ago.

In the statement, Shoprite said the results for the year do not reflect any of their operations is Nigeria as it will be classified as discontinued operation.

International supermarkets (excluding Nigeria) contributed 11.6% to group sales, and reported 1.4% decline in sales from 2018. South African operations contributed 78% of overall sales and saw 8.7% rise for the year.

As a result of lockdown, customer visits declined 7.4% but the average basket spend increased by 18.4%.

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Adebutu, Kashamu’s Firms Fight Dirty Over Betting Game Rights

by dthata
written by dthata

The clash between betting and gambling firms owned by a Peoples Democratic Party chieftain, Senator Buruji Kashamu; and billionaire businessman and philanthropist, Sir Kensington Adebutu, has got messier.

While Adebutu owns Premier Lotto, Western Lotto belongs to Kashamu.

The battle between the companies over the rights to a Ghana-based game, leading to a N500bn suit, is now being resolved by the House of Representatives.

The House of Representatives had begun its intervention in the crisis on Tuesday. Its Committee on Inter-Governmental Affairs had met with stakeholders in the industry in Abuja, asking that a new date be fixed, pending the time the panel studied the submissions made to it.

Our correspondent obtained some of the presentations to the committee.

At the hearing were the National Lottery Regulatory Commission and Nigerian Licensed Lottery Operators’ Forum, as well as various lottery firms. Premier Lotto was represented by Ajibola Adebutu and Adebisi Adebutu, while Western Lotto was represented by its Chief Operating Officer, Usman Tajudeen; and Managing Director, Olumide Adedeji.

The House had, on March 18, resolved to intervene in the crisis.

The resolution to settle the rift was based on a motion moved by a member of the House, Akin Alabi, who equally owns a sports betting company, NairaBet, and is, incidentally, chairman of the committee.

The Economic and Financial Crimes Commission had gone after Premier Lotto, based on a petition by Western Lotto, alleging crimes ranging from tax fraud to economic sabotage. The Kashamu-owned company had also petitioned the Minister of Justice and Attorney General of the Federation, Abubakar Malami (SAN).

Western Lotto had also dragged the NLRC and 24 lottery operators, including Premier Lotto, before a Federal High Court over alleged infringement of its intellectual property rights to a gaming product known as ‘Ghana Games.’

In his submission earlier, Chairman of the NLLOF, Chima Onwuka, stated that “the problem is not between Western Lotto and Premier Lotto; it is a problem between Western Lotto and Nigerian lottery operators.”

He also lamented that the forum had been allegedly excluded from a negotiation between the NLRC and Western Lotto, despite the latter taking all of them to court.

The operators, in their written presentations, noted that the National Lottery Authority Ghana and its agent, Association of Lotto Marketing Companies, make no contribution to the development of lottery in Nigeria and have no stake in the process of lottery management and business in the country.

The NLLOF said, “The Ghana Games numbers are considered free-to-air as the numbers are freely available and used by many countries along the West African coast. No effort or value of any kind has been introduced by Western Lotto to the lottery process to warrant making him a beneficiary or recipient of royalty payment.

“In view of the fact that NLRC and NLA, Ghana were previously in discussions, which broke down due to computation of each party’s entitlements, it is unpatriotic and immoral for an operator to seek to circumvent the regulator for self- serving purposes.

“The only neutral arbiter in any industry is the regulator and lottery operators oppose the use of a consultant, which will effectively be duplication of functions of the NLRC and unnecessary expenses to the government.”

According to it, the matter of remittance (or not) of royalty to Ghana is uncomplicated and devoid of technicalities that warrant the appointment of a consultant that will “merely serve as a smokescreen for perpetuating shady deals.”

The operators stated that it was aware that Western Lotto had allegedly made no remittance to NLRC or the National Lottery Trust Fund from inception of its business to date, “in clear violation of the provisions of the Lotteries Act.”

The forum also said it would be a collective affront to other compliant lottery operators that had been performing obligations under the Act if the NLRC entered into an exclusive agreement with Western Lotto to the detriment of other operators.

It said, “In law, it is said that ‘he who comes to equity must come with clean hands.’ Western Lotto has demonstrated bad faith in its dealing with LMC Ghana and seeking exclusivity without notifying NLRC, who could have provided guidance in the matter, is not only underhanded but demeaning to Nigeria’s sovereignty.

“In conclusion, Western Lotto has gained public repute as the operator that fails to pay winnings as due, which adversely affects the fragile reputation of the lottery industry.

“Should such an operator be empowered to dictate the offerings in the industry? Should such an operator be seen at the negotiation table with the regulator? Should operators deduce that NLRC, its governing board and supervising ministry are compromised, given the facts on the ground?”

The NLLOF noted that, as integral stakeholders in the industry, it would not stand by while the collective right was abused and regulatory functions were “usurped by an entity that has made no contribution to the development of lottery in Nigeria.”

It added, “It is our prayer that this committee and, by extension, the House prevent the execution of the proposed terms of the settlement. The input of lottery operators as stakeholders and defendants in the matter should be sought and directed towards resolution of this matter.”

However, Western Lotto, in the written submission by its representatives, prayed the House to direct the EFCC to go after lottery operators allegedly short-changing the Federal Government of its due revenue.

The prayers read, “The committee should summon us (Western Lotto) and Premier Lotto, Golden Chance, Bet9ja, all other lottery operators, the EFCC – who has been investigating (the matter), the NLRC, NLTF and other stakeholders to a public hearing on the floor of the House, where all the issues will be laid bare and all the illegalities that have been going on for years will be exposed.

“Bet9ja, Premier Lotto and Golden Chance have been found culpable and have started refunding huge sums of money that were diverted back to the EFCC.

“This will enable both the government and the public to be aware of the monies they have acknowledged as being owed the government and have started refunding, as we believe that they are suppressing the actual figures which should be in the range of N200bn revenue accruable to the government.”

Western Lotto added, “Premier Lotto and Bet9ja are the racket leaders. The committee should authorise the EFFC to arrest all the culpable operators based on the evidence presented immediately after the public hearing on the floor of the House in order to commence the process of recovery of the stolen funds and other assets thereon.

“The committee and the House should support the EFCC to continue in its efforts to expose the racket, large-scale fraud and economic sabotage in the gaming industry, recover all the proceeds of crime and illegality, and bring to book all the perpetrators of this fraud against the Federal Government of Nigeria, thereby bringing about a new regime of transparency and accountability to the gaming industry.

“Lastly, this committee, on behalf of the House, should direct the EFCC and all other law enforcement agencies of the Federal Government to arrest and prosecute any operator(s) who fails to comply with the above stipulated requirements and operates outside of the circular issued by the NLRC, and continues with the illegality by playing Ghana games and/or uses its results, thereby depriving the Federal Government of its revenue.”

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Obu Mines: BUA Threatens Dangote Group With Contempt Of Court Proceedings

by dthata
written by dthata

BUA Group has warned Dangote group to remove its excavators and trenches used in barricading the entrance of Obu Mines in three days or face contempt of court proceedings.

BUA Group in a statement said that Dangote in its not so surprising tactic and in total disregard for the court and rule of law has laid siege on BUA’s Obu mines Okpella by placing excavators and creating trenches at the entrance to effectively prevent BUA Vehicles from operating at the mining sites even after a competent Federal High Court in Benin recently granted BUA rights over the mines.

While drawing public attention to the Dangote’s illegal self-help measures, BUA warned Dangote to restore access to its mining sites, by refilling the trenches and removing their excavator, within three days or it will Institute contempt proceeding against the Dangote Group and Patrick Omokagbor, an employee of the Dangote Group who coordinated the contemptuous act, acting on the instruction of Devakumar Edwin – an Indian and a director of the Dangote Group.

BUA further urged Dangote to obey the rule of law which is the pillar and foundation of any democracy noting that no one is above the law no matter how highly placed, powerful or influential. BUA also advised Dangote to Appeal the court’s judgement instead of engaging in illegal tactics.

According to the statement: “BUA Group is set to institute contempt of court proceedings against Dangote Group, Dangote Cement and two of its employees after the company flouted the recent judgement of the Federal High Court in Benin which granted BUA the rights to peaceful possession of its Obu Mines Okpella pending the determination of the other two suits before it.”

“BUA wishes to draw the attention of the general public and the relevant authorities to the brazen attempt of the Dangote Group to frustrate a recent judgment of a Federal High Court, Benin in Suit No. FHC/B/CS/101/2017: BUA v. IGP & Ors, in a bid to deprive the BUA Group of the fruit of its successful litigation.”

“It would be recalled that BUA instituted the aforementioned Suit in 2017 following the audacious and unlawful disruption of BUA operations at the mining sites in Obu, Okpella, Edo State by the Respondents in the Suit (the Nigeria Police, Dangote Industries Limited, and Dangote Cement Plc).”

“BUA Group approached the Court to protect its fundamental right to peaceful possession of the mining sites and specifically applied to the Court for an order restraining the Respondents from further interfering in any manner whatsoever with BUA’s operation of the mining lease sites. Subsequently, an order of the court was granted restraining the 1st and 2nd Respondents (The Police) as well as the 3rd and 4th Respondents (Dangote Industries & Dangote Cement Plc) from interfering with BUA operations in the mining sites, on 28th May 2020.

The judgment of the court is very clear and explicit as the court ruled inter alia:

“That an order for an interim injunction is hereby granted against the 1st and 2nd Respondents (the Police) and the 3rd and 4th Respondents who are hereby restrained from interfering in any manner what so ever with the said mining lease site pending the determination of the 2 pending suits No. FHC/B/CS/7/2016 & FHC/B/CS/74/2016 before Honorable Justice Ajoku of the Federal High Court Benin accordingly.”

“However, in total disregard of the judgment of the Court and of the rule of law, on 15th June, 2020, the Dangote Group commenced excavation and dredging of the access road and surroundings to the mining site, which the Court had hitherto restrained it from; thereby creating huge trenches to effectively prevent BUA Vehicles from operating at the mining sites (a major disruption and interference with BUA’s possessory rights).

Mr Patrick Omokagbor, an employee of the Dangote Group, coordinated the contemptuous act, acting on the instruction of Mr, Devakumar Edwin – an Indian and a director of the Dangote Group. Please see attached pictures of the trenches dug by the Dangote Group.

“It is imperative to note that the resort to self-help by the Dangote Group is not a one-off occurrence and is instead a continuous, relentless and incessant endeavour to undermine the judicial process, which BUA has submitted to. Recall that prior to the Dangote Group disrupting the operations at the mining sites in 2017, it had approached the Courts in 2016, for a restraining order against BUA in Suit No. FHC/B/CS/74/2016 – Dangote Industries Limited & Anor. v. BUA International Limited & Ors, that was initially granted ex parte, but set aside by the Court upon challenge by BUA. It was therefore after the unsuccessful sojourn to Court that the Dangote Group resorted to the illegal self-help measures to stop operations at the mining sites.

“BUA wishes to reiterate its position that no one should be above the law, no matter how highly placed, powerful or influential, as the rule of law is the pillar and foundation of any democracy. The appropriate remedy available to a party disgruntled by the judgment of Court is to file an Appeal; a right that the Dangote Group has already exercised.

“We hereby demand that the Dangote Group immediately restore the access to the BUA mining sites, by refilling the trenches and removing their excavator, within Three (3) days from date of this notice, failing which BUA shall commence contempt proceedings against the Dangote Group and the 2 named officials – Edwin Devakumar and Partrick Omokagbor”

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Okpella Mining Site: BUA Group Tells Dangote To Respect The Judicial Process

by dthata
written by dthata

BUA Group has described the publication of Dangote Group wherein it stated that BUA misinterpreted the fact about a pending court case as untrue and laden with fraught misrepresentations.

A statement by BUA Group explained that Dangote, in its hurry to twist facts, failed to justify the alleged misinterpretation in its publication but stylishly stated that it has appealed the judgement whilst accepting the recent court order, which granted BUA the right to peaceful possession and operations of three of its mining sites in Obu, Okpella in Edo State.

“In the said publication by Dangote Group, it was alleged that the initial publication of the BUA Group was riddled with misrepresentations and deliberate distortions of facts. We however note that the Dangote Group failed to identify any specific fact, which was distorted.

“On the contrary, the Dangote Group reiterated the fact that the judgment of the Court indeed restrained DIL and the other Respondents, as contended by BUA, albeit stating that the judgment of the Court constitutes complete aberrations and contains manifests contradictions; and it has exercised its legal right to appeal the decision of the Court. Whilst we consider this attempt to disparage the Court on the pages of print media as an affront, we shall not be joining issues with the Dangote Group, as we are of the view that the Court can protect itself and DIL reserves the right to appeal the decision of the Court.”

“The Dangote Group also questioned the right of BUA to institute the BUA Fundamental Right Suit on the basis that it was a clear abuse of court process as there are two other pending suits – the BUA Suit and Suit No. FHC/B/CS/74/2016: Dangote Industries Limited & Anor. v. BUA International Limited & Ors (“Dangote Suit”). This is notwithstanding that the Dangote Group itself ironically commenced the Dangote Suit during the pendency of the BUA Suit. Moreover, it is trite law that any fundamental right suit is an independent claim, which does not impede a pending dispute. In this instance, the suit was deemed necessary in view of Dangote Groups use of the Nigeria Police Force to disrupt the possessory right of BUA Group and to safeguard the lives of BUA Group’s employees. Indeed, Court confirmed this in the BUA Fundamental Rights Suit where it was stated: “that the 1st and 2nd Respondents (Police) allowed themselves to be used by the 3rd and 4th Respondents (DIL and Dangote Cement)”

“It is imperative to note that the Dangote Group’s use of the Nigeria Police Force to disrupt BUA’s operations was done brazenly after DIL had applied to Court for a restraining order against BUA in Suit No. FHC/B/CS/74/2016, which was granted ex parte, but set aside by the Court upon a robust challenge by BUA. Interestingly, the Dangote Group did not deny resorting to self-help in its publication. It is our contention that no one should be above the law, no matter how highly placed, powerful or influential as the rule of law is the pillar and foundation of any democracy.”

BUA further corrected Dangote on it claim that BUA was granted its mining lease from the Governor of Edo State restating that the authority to grant a mining license is within the sole jurisdiction of the Ministry of Mines and Steel Development through the Nigeria Mining Cadastre Office, which granted the BUA licenses. BUA also dismissed Dangote’s claim to BUA’s mining sites in Edo as absurd and frivolous as Dangote’s mining license was granted under Kogi State while BUA licenses and mining sites respectively cover and are located in Obu, Okpella in Edo State.

With respect to the Dangote Group’s interpretation of the consequence of its Appeal of the decision of the Court, it is trite law that an Appeal does not amount to a stay of execution, and the Dangote Group is only being mischievous by suggesting that BUA is refrained from taking benefit of the judgment, which was in BUA’s favor. As held by the Supreme Court in the case of Tai Ajomale v. Yuduat and Anor (1991) All N.L.R. 197:

“The successful litigant is prima facie entitled to the fruits of the judgment in his favour, it is expressly provided in Section 24 of the Supreme Court Act, 1960, that an appeal does not operate as a stay of execution.”
“The Courts have also reiterated the position of law in the case of Enabulele v. Agbonlahor (1994) 5 NWLR (PT. 342) 112 at P125, where it was held that:

“It is trite law that under Section 18 of the Court of Appeal Act, 1976, the filing of a Notice of Appeal does not operate as a stay of execution since the Court will not normally deprive a successful party of the fruits of his successful litigation”

BUA Group will not join issues with Dangote as the intention of its publication was to inform its shareholders and other stakeholders of the judgment of the Federal High Court which granted BUA’s and not commence a media trial.

According to the statement titled: RE: BUA OBU MINES, OKPELLA EDO STATE, it read: “We read with dismay the publication by the Dangote Group which purports to “set the records straight” with regards to the earlier publication of the BUA group on the recent judgment of the Federal High Court in Suit No. FHC/B/CS/101/2017: BUA v. IGP & Ors. (“BUA Fundamental Right Suit”), which restrains Dangote Industries Limited (“DIL”) and other Respondents in the suit from interfering in BUA Group’s mining sites in Obu, Okpella, Edo State.

“In the said publication by Dangote Group, it was alleged that the initial publication of the BUA Group was riddled with misrepresentations and deliberate distortions of facts. We however note that the Dangote Group failed to identify any specific fact, which was distorted. On the contrary, the Dangote Group reiterated the fact that the judgment of the Court indeed restrained DIL and the other Respondents, as contended by BUA, albeit stating that the judgment of the Court constitutes complete aberrations and contains manifests contradictions; and it has exercised its legal right to appeal the decision of the Court. Whilst we consider this attempt to disparage the Court on the pages of print media as an affront, we shall not be joining issues with the Dangote Group, as we are of the view that the Court can protect itself and DIL reserves the right to appeal the decision of the Court.

“Paradoxically, the Dangote Group’s publication was fraught with untrue statements, which it touted as the facts of the matter in an attempt to misinform the general public. Accordingly, we seek to clarify the fallacies as follows:

Title to Mining Sites

“The Dangote Group alleged that BUA claims to have been granted its mining licenses from the Governor of Edo State. In this regard, it is imperative to note that BUA has never contended that the Governor of Edo State granted its licenses, as the authority to grant a mining license is within the sole jurisdiction of the Ministry of Mines and Steel Development through the Nigeria Mining Cadastre Office, which granted the BUA licenses. Further, both the Hon. Minister of Mines and Steel Development and the Nigeria Mining Cadastre Office are defendants in Suit No. FHC/B/CS/7/2016: BUA International Limited & Anor. v. Hon. Minister of Mines and Steel Development (“BUA Suit”), wherein BUA asserts its legal and beneficial ownership of the mining sites.
“Further, the Dangote Group explicitly asserted that BUA does not have any right to the mining sites on the basis of the response of the Director-General of the Mining Cadastre Office to BUA’s application to renew its licenses. Needless to say, the Director-General’s ministry and parastatal are also Defendants in the BUA Suit pending in Court and the reaction is therefore not surprising.

“We wish to state clearly that the mining license granted to Dangote Group explicitly states that the location is in Kogi State, Nigeria, while the BUA licenses and mining sites respectively cover and are located in Obu, Okpella, Edo State, Nigeria. The Dangote Group’s attempt to lay claim to mining sites not within a geographical area covered by its license is therefore ludicrous.

“The general public is therefore advised that Dangote Group’s claims are nothing but an attempt to unilaterally determine the outcome of the very matter the Court has been approached to determine in Suit No. FHC/B/CS/7/2016 – BUA Suit, which is still pending”.

Legal Precedence

The Dangote Group also questioned the right of BUA to institute the BUA Fundamental Right Suit on the basis that it was a clear abuse of court process as there are two other pending suits – the BUA Suit and Suit No. FHC/B/CS/74/2016: Dangote Industries Limited & Anor. v. BUA International Limited & Ors (“Dangote Suit”). This is notwithstanding that the Dangote Group itself ironically commenced the Dangote Suit during the pendency of the BUA Suit. Moreover, it is trite law that any fundamental right suit is an independent claim, which does not impede a pending dispute.

In this instance, the suit was deemed necessary in view of Dangote Groups use of the Nigeria Police Force to disrupt the possessory right of BUA Group and to safeguard the lives of BUA Group’s employees. Indeed, Court confirmed this in the BUA Fundamental Rights Suit where it was stated: “that the 1st and 2nd Respondents (Police) allowed themselves to be used by the 3rd and 4th Respondents (DIL and Dangote Cement)”
It is imperative to note that the Dangote Group’s use of the Nigeria Police Force to disrupt BUA’s operations was done brazenly after DIL had applied to Court for a restraining order against BUA in Suit No. FHC/B/CS/74/2016, which was granted ex parte, but set aside by the Court upon a robust challenge by BUA. Interestingly, the Dangote Group did not deny resorting to self-help in its publication.

It is our contention that no one should be above the law, no matter how highly placed, powerful or influential as the rule of law is the pillar and foundation of any democracy. “With respect to the Dangote Group’s interpretation of the consequence of its Appeal of the decision of the Court, it is trite law that an Appeal does not amount to a stay of execution, and the Dangote Group is only being mischievous by suggesting that BUA is refrained from taking benefit of the judgment, which was in its favor. As held by the Supreme Court in the case of Tai Ajomale v. Yuduat and Anor (1991) All N.L.R. 197:

“The successful litigant is prima facie entitled to the fruits of the judgment in his favour, it is expressly provided in Section 24 of the Supreme Court Act, 1960, that an appeal does not operate as a stay of execution.”
“The Courts have also reiterated the position of law in the case of Enabulele v. Agbonlahor (1994) 5 NWLR (PT. 342) 112 at P125, where it was held that:

“It is trite law that under Section 18 of the Court of Appeal Act, 1976, the filing of a Notice of Appeal does not operate as a stay of execution since the Court will not normally deprive a successful party of the fruits of his successful litigation”

“We shall refrain from further joining issues on this particular matter as the intention of our initial publication was to inform our shareholders and other stakeholders of the judgment of the Federal High Court and not to commence a media trial with the Dangote Group”.

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Dangote Group insist on ownership of Obu-Okpella Mines

by dthata
written by dthata

The management of Dangote Group yesterday denied the claim by the BUA Group to the mining sites in Obu, Okpella, Edo State, as the latter said it relied on the Federal High Court recent judgment in Benin.

Dangote advised the regulatory agencies to disregard completely the unfounded and mischievous claim and publication by the BUA Group, saying it was riddled with misrepresentations and deliberate distortions of facts

Dangote Group in a statement signed by the Group Executive Director, Devakumar Edwin, explained that the Dangote Group, had through its lawyers vigorously defended the suit filed by the BUA Group seeking a perpetual Injunctive Order against further interferences with their purported fundamental rights to property and privacy.

He said the Group has appealed the High Court judgment, stressing that until the Appellate Court rules, BUA cannot lay claim or even operate on the mining site.

Giving details of the case, Edwin recalled that in 2014, the Dangote Group and AICO entered into an agreement for the transfer of 2541ML from AICO to Dangote Group.

“AICO, thereafter, applied to the Ministry of Mines for the approval of the transfer vide a Mining Lease Transfer Form dated July 11, 2014. In 2016, the Ministry of Mines wrote to the Dangote Group to convey the approval of the Ministry for the Transfer/Assignment of 2541ML from AICO to Dangote Group with effect from February 3, 2016.

”Following the approval of the Ministry, the Dangote Group became the legal holder and owner of the Mining Lease No. 2541ML. The 2541ML certificate was, thereafter, endorsed to reflect the transfer from AICO to the Dangote Group,” he added.

Dangote Group warned the general public and those working with BUA Group not to take any steps to enter, mine or interfere with the disputed mining leases, pending the determination of the Appeal and/or the 2 suits pending before Umar J. as any such steps will be considered a contempt of court.

He noted that the Supreme Court in the case of Governor of Lagos State v. Chief Ojukwu (1986) 1 NWLR (pt. 18) 621), held: “Once a party is aware of a pending court process, even when the court has not made a specific injunctive order, parties are bound to maintain the status quo, pending the determination of the court process.”

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France’s Telecom Operator, Orange, Plans Entry Into Nigerian GSM Market

by dthata
written by dthata

Orange, France’s largest telecom operator, believes it would benefit from having a wider footprint in Africa and will give itself a few months to make a possible move, Chief Executive Stephane Richard, told Les Echos business newspaper.

“It could make sense to be in economies such as Nigeria and South Africa,” Richard was quoted as saying. “If one considers there are things to do, the time frame I am considering is rather a few months than a few years.”

Richard declined to comment on a possible interest in South Africa’s MTN Group Ltd.

The Middle East and Africa, where Orange has a presence in 18 countries, is the company’s fastest-growing market.

The region makes a large chunk of its revenues from payment transfers – a key part of the group’s diversification into financial services.

Orange said earlier this year it was bringing its operations in the Middle East and Africa into a single entity, paving the way for a potential listing of the operations that could raise cash to invest in overseas expansion.

Richard said Orange would also be looking at bolstering partnerships with health companies or institutions.

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Nigerian Mutual Funds Hit N1.26 Trillion In 5 Months

by dthata
written by dthata

Total net asset of collective investment schemes and funds in Nigeria has risen to N1.257 trillion in the first five months of the year.

There is no doubt that COVID-19 has affected various parts of the Nigerian economy and indeed, the world economy. One industry in Nigeria that has remained resilient in spite of it all, is the mutual fund industry.

Data released by the Securities and Exchange Commission (SEC) as at May 29, 2019 showed that net asset value of mutual funds rose by N251 billion or 24.95 per cent from N1.006 trillion on December 29, 2019 to N1.257 trillion to close the first five months of the year, on May 29, 2019.

The analysis revealed that in spite of the decline of 5.864 per cent witnessed in the Nigerian equities market during the period under review, the Nigerian mutual fund managers witnessed a growth of 24.95 per cent.

Looking at how the funds flow into the sub-sector showed that Money Market Funds, Bond Market and Fixed Income Funds were the most active.

Money Market Funds up by N93.613 billion, Bond Funds rose by N81.156 billion, Fixed Income Funds appreciated by N76.979 billion, Equities Based Funds up by N331 million, while Ethical Funds increased by N121 million in five months.

On the other side, Real Estate Funds and Mixed Funds depreciated by N1.087 billion, and N121 million, respectively.

Mutual fund is a pool of funds brought together by a professional fund manager from several investors to invest in selected underlying securities. The underlying securities can be one or a combination of the following: stocks, fixed income securities, real estate and commodities. A mutual fund portfolio is structured and maintained to match different investment objectives. The type of mutual fund an individual invests in depends on their financial objectives and appetite for risk.

Meanwhile, in 2019, the Nigerian Stock Exchange (NSE) in conjunction with the Fund Managers Association of Nigeria (FMAN), the Central Securities Clearing Systems (CSCS) and the Association of Stockholding, Nigeria (ASHON) launched the Mutual Fund trading platform, with the aim to improve and enhance access of listed mutual funds to investors and to enhance visibility for the listed funds and promote financial inclusion while stimulating retail investor participation in our market.

The chief operating officer of InvestData Consulting Limited, Ambrose Omordion said that over the years, there has been a significant increase in the number of mutual funds as investors’ interest increases, saying that mutual funds have become a vehicle used by both advisors and institutions to access investible funds and diversify portfolios.

He noted that the money market fund continues to evolve and grow as seen under the period review.

Omordion said that there is a need for the government and financial/investment houses to sensitise the public of the need of alternative investments such as mutual funds and the benefits, as this will create awareness in the market and go a long way in creating strong relationship between the investors and investees.

A stockbroker and the CEO, Sofunix Investment and Communications, Mr Sola Oni stated that mutual fund is a collective investment that enables small savers to benefit from investment in blue chips across a broad spectrum of industries.

He added that although it can be abused if not properly regulated, it is a strategy for diversification by which an investor can hold shares in specialised sectors that ordinarily he cannot afford to buy as individual stocks.

Oni said that mutual trust is a form of risk management and managed by professional money managers and this enhances operational efficiency, which is easy to track.

Group managing director of Cordros Capital said that “We need a collective effort from both the regulators and the operators. The Securities and Exchange Commission has done a lot in this regard as the industry is a lot more regulated and the investing publics are better informed about the opportunities that mutual funds offer.”

Agbeyangi however, noted, “We think both the operators and regulators can still do a lot more with regards to financial literacy and adequate wealth management strategies.

“Operators also need to come out with more investment solutions that cater to the various needs of investors. Government can also look at providing incentives and enabling environment that encourage savings and investments.”

He added that the mutual funds trading platform launched in 2019, marks the beginning of a new era in Nigeria’s mutual fund industry as mutual funds can now be traded on the floor of the stock exchange, saying that investors can now buy and sell units of funds on the floor of the Nigerian Stock Exchange (NSE).

The managing director of HighCap Securities Limited, Mr David Adonri said that mutual fund investment has been widely embraced as a good investment platform in the developed economies, and serves as a vehicle for the mobilisation of capital for economic development.

He noted the investors are now embracing mutual fund instrument to diversify their investment risks especially in the equities market, explain that since investments in mutual funds are like investment in a basket of securities.

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Court Restrains Dangote, Police From Interfering With BUA Mining Sites

by dthata
written by dthata
A Federal High Court in Benin City has restrained Dangote Industries and the Nigerian Police Force from interfering with BUA Group’s operations of the disputed Okpella mining sites in Okpella, Edo State in a judgement it delivered recently.

A statement by the management of the company on Sunday recalled that BUA was legally operating on its mining sites before operations at three of those mines were abruptly disrupted by the Inspector General of Police and the Edo state Commissioner of Police on the order of Dangote Industries & Dangote Cement Plc in 2017.
According to the statement, the court ordered the Inspector General of Police as 1st Respondent, Commissioner of Police, Edo State as 2nd Respondent, Dangote Industries, 3rd Respondent and Dangote Cement Plc as 4th Respondent to steer clear of the mining sites or interfering in any manner whatsoever with BUA’s operation of disputed mining lease sites.

The statement reads: “BUA wishes to inform its shareholders, employees, customers, regulators, host communities, security agencies and the general public that the Federal High Court, Benin, in a recent judgement, has made an order which upholds BUA’s fundamental right to peaceful possession of the mining sites in Obu, Okpella, Edo State (operated by BUA Cement and which BUA became seised by virtue of mining leases granted by the Federal Government of Nigeria), without unlawful interference from the Inspector General of Police, 1st Respondent; Commissioner of Police, Edo State, 2nd Respondent; Dangote Industries, 3rd Respondent; and Dangote Cement Plc, 4th Respondent.

“It would be recalled that BUA was legally operating its various mining sites in Obu-Okpella, Edo State before the above named respondents abruptly disrupted our operations at three of those mines in 2017 during the pendency of two other matters. The 1st and 2nd Respondents at the behest of the 3rd and 4th Respondents invaded and shut down the operations. We then approached the courts to enforce our fundamental rights to the property of the mines as well as our rights to continue operating from those mines. Whilst we were awaiting judgement, we continued to sustain our operations from our other numerous mines in that area unaffected by these actions.

The statement further explained that: “After a prolonged trial, which commenced in 2017, the court not only found that we have always been in possession of the mining sites but clearly found that the 1st and 2nd respondents were used and allowed themselves to be used by the 3rd and 4th respondents to invade, and disrupt our operations in the affected and disputed mine sites during the pendency of two other matters between us and the 3rd and 4th respondents. The court accordingly granted an order restraining the first 1st and 2nd respondents (The Police) as well as the 3rd and 4th respondents (Dangote Industries & Dangote Cement Plc) from interfering in any manner whatsoever with BUA’s operation of disputed mining lease sites. The two other matters remain pending in court.

“This judgement is one major step towards the final vindication of our rights over the mining sites and in line with BUA’s position that it holds the legal mining leases to the disputed sites, and that all parties in this dispute allow the courts be the final arbiter as has been our mantra, “LET THE COURTS DECIDE”.

“We, therefore, wish to thank the Judiciary for standing firm on the side of justice in the discharge of its duties as well as the commitment of all parties in submitting wholeheartedly to the judicial process.

“BUA has now resumed operations at the Obu-Okpella mines as ordered by the court”. It concluded.

 

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High Cost Of Haulage From Lagos Port Rattles Importers, Manufacturers

by dthata
written by dthata

The cost of moving imports from Nigerian ports to other parts of the country has continued to rattle goods, manufacturers and operators of logistics.

Experts have linked the exorbitant cost of movement of goods at the ports to the high cost of goods in the country, especially imported vehicles and consumables. Daily Trust findings showed that it costs around N1.6 million to transport a 40 feet container from Lagos to Kano from the previous N900, 000. The same 40 feet container costs N1.2 million to move to Abuja from the N800, 000 that was previously charged.

A logistics expert, Alhaji Mohammed Danlami, described as “a nightmare”, the process of transporting containers and goods within and outside Lagos from the TinCan Port, in Apapa, Lagos. Truck hirers now pay at least N800, 000 per truck for intra-city haulage while inter-state cargo movement costs between N1.5 million and N2 million, depending on the location. Confirming Daily Trust’s findings, Alhaji Danlami said it costs about N180, 000 to N200, 000 to move a single vehicle out of the Port to Abuja or Kano.

He said in addition to the bad roads leading to the port, there are tankers and trucks parked by both sides of the road, narrowing it and causing heavy traffic.

He said it takes a minimum of five days for a truck driver to gain access to the port or for someone to move a vehicle out of the port due to the gridlock and the slow security checks involved. “If you don’t know your way or who to bribe, it may take you up to 10 days to gain entrance into the port. This is why haulage is now expensive and many people have gone into it to make money as well,” he said.

The Managing Director of Mardi Maritime Services Limited, Bello Jada Hamidu, said despite the presidential taskforce, the situation is getting worse. Hamidu said: “The situation at Tincan Port is the worst. We spend between seven and 14 days on the queue just to get into the port.”

He added that to deliver a 40 feet container within Lagos currently costs around N600, 000 to N700, 000. Reacting to the development, the Vice President of Abuja Chamber of Commerce and Industry on Mines, Dr. Anene Somadina, told Daily Trust that the high cost is a major concern to manufacturers and industrialists in the country.

He said the cost is finally borne by the final consumer as manufacturers factor such expenses into the cost of production. He said the high cost impacts negatively on prices of goods and services, leading to inflation.

He added that production deadlines are disrupted most times due to delay in the movement of the goods, thereby disrupting proposed supply schedules, leading to loss of revenue for manufacturers.

He called on the federal government and other authorities concerned to, in addition to fixing the roads leading to the port, decongest it and simplify all processes to promote the ease of doing business in the country.

Alhaji Abdullaziz Hassan Umar, an importer who spoke to Daily Trust in Kano, described the system as very effective, even as he decried the recent restriction on haulage of goods occasioned by restriction of movement because of the coronavirus pandemic.

“We don’t have issues clearing our goods at either the ports of origin or ports of destination provided that you operate within the ambits of the law.

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Satellite TV Company, TSTV Loses Office Due To Debt

by dthata
written by dthata

The West African Business Platform Ltd., a law firm, has taken possession of the Abuja Headquarters office of Telcom Satellite Ltd. Television (TSTV) due to its inability to pay its rent.

The Abuja Headquarters office of the television company is situated at Plot 1191, Jahi District, off Gilmore Construction Company, FCT.

The property was taken over on Tuesday following the judgment entered in favour of the plaintiff by Justice Yusuf Halilu of the FCT High Court in Nov. 2019.

Officers from the Execution Unit of the FCT High Court, including four police officers, were stationed in the premises during the takeover.

The law firm through its principal, Raphael Adakole, had filed the suit in 2018 with No. CV/2739/18 against the television company and its Abuja Managing Director, Bright Echefu.

Filing of the suit was due to the inability of the television company to meet up with the tenancy agreement entered between the plaintiff and defendants on May 1, 2017.

The law firm had particularly sought the order of the court to declare that the tenancy agreement between the plaintiff and defendants had elapsed by effluxion of time.

It also prayed the court for an order directing the defendants to give up vacant possession of all the five storey building of the office complex together with its appurtenances, fixtures and fittings thereof.

An order of the court directing the defendants to restore and reinstate the property of the plaintiff to a tenantable and good condition to the satisfaction of the plaintiff was outlined in the tenancy agreement.

The suit also contained an order of the court mandating the defendants to pay to the plaintiff the sum of N20, 833, 333, being the profit from May 1, 2018 to Sept. 2018.

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Innoson Wins Sierra Leone Oil Blocks Alongside Cluff Energy

by dthata
written by dthata

Sierra Leone has provisionally awarded licences to Cluff Energy Africa and Innoson Oil and Gas, following the conclusion of its fourth licensing round.
Cluff Energy was awarded Blocks 23, 24, 25, 36, 37, 38, 39, 54, 55, 56, 57, 74, 75, 94 and 95. Innoson was awarded Blocks 96, 97, 114, 115, 116, 117, 133, 134 and 135.

The blocks awarded were focused around Sierra Leone’s continental shelf, with Cluff taking the northern blocks close to Guinea, while Innoson’s acreage is towards the south and close to Liberia.

A statement from the presidency said there had been six applications for offshore concessions in the round, which has been launched in January 2018.

Sierra Leone carried out a detailed assessment of companies bidding, it said, including their capacity to operate in such an environment and commitment to local content.

The Cluff company was launched by Algy Cluff shortly after retiring from Cluff Natural Resources. Cluff Energy is 40% owned by Michael Spencer’s IPGL, while the remaining 60% is owned by Algy Cluff.

Cluff Energy has said it intends to have a “diversified portfolio” by mid-2020. It is focused on assets in Angola, Sierra Leone, Ethiopia, Liberia and Mauritania, the company said, aiming to begin production “quickly and efficiently”.
Innoson is based in Nigeria and is part of the IVM Innoson Group, which works in a number of sectors including car manufacturing and wood processing. The oil and gas unit was established in 2019

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South African Insurance Group, Sanlam Takes Full Ownership Of FBN Insurance In Nigeria

by dthata
written by dthata

South African Insurance group Sanlam becomes the only shareholder in the Nigerian life insurance company FBN Insurance and its subsidiary FBN General Insurance.

The acquisition follows a deal signed between FBN Holding (parent company of FBN Insurance and FBN General Insurance) and Sanlam which grants the South African company the ownership over the 65% stake held by FBN Holding in the two branches.

Before the agreement was signed, Sanlam held 35% in FBN Insurance. The transaction, conducted through Sanlam’s business cluster focused on emerging markets, Sanlam Emerging Markets (SEM), has received all the necessary regulatory approvals.

This confers the ownership of FBN Insurance (Life) and its subsidiary, FBN General Insurance Limited, on Sanlam.

The deal, which was sealed via a Share Purchase Agreement (SPA), took effect from June 1.

Let’s note that FBN Holdings started the process of selling its shares in the capital of FBN Insurance since April 2020. The operation is in line with the development strategy of the Nigerian group. The financial details of this sale have not been disclosed.

The divestment, however, has no impact on FBN Insurance Brokers Limited as it remains a subsidiary of FBN Holdings.

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Alan Sinfield Appointed As New CEO Of 9mobile

by dthata
written by dthata

On Monday June 1, 9mobile announced the appointment of Alan Sinfield as its substantive Chief Executive Officer.

According to the telecommunications firm, the new CEO brings a wealth of global operational expertise to the organisation having held leadership roles at numerous mobile, fixed-line and broadband data operators as well as retail, media, and wholesale distribution businesses across emerging markets in Asia, Africa, the Middle East, and Europe. Sinfield succeeds Stephane Beuvelet, who held the position in an acting capacity when the new board took over the company’s management in November 2018.

Sinfield brings extensive international and operational experience from wireless telecom, fintech, and banking sectors to his new role at 9mobile.

His global experience covers countries such as the United Kingdom, Germany, Portugal, Slovakia, Iraq, Qatar, Myanmar, South Korea, Cambodia and Hong Kong. He was previously the Chief Executive Officer at Amara Communications Co. (ananda), a 4G LTE mobile broadband operator in Myanmar, and before this, he was the Chief Executive Officer of Cadcomms (qb), in Cambodia, among other CEO positions he previously held.

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Most Valuable Currencies In Africa (see Nigeria’s Position)

by dthata
written by dthata

A country’s currency tells a lot about its economy and living standards of the people. There is a common misconception that the biggest and most popular nations often have the best currencies; this is false – especially when Africa is concerned.

How do you think the big countries rank concerning their currency in Africa today? Most people believe that countries like South Africa and Nigeria have the most valuable currencies in the African continent.

But in reality, it is not true. Many other currencies are more valuable, especially from countries, you would least expect. The South African Rand comes 8th on the list, while the Nigeria which is popularly known as the so called ” gaint of Africa ” didn’t even make it to the top 10.

Many critics have argued that the dependence of African economies and currencies on America, Europe, and Asia, is the biggest reason for its failure.

To help you get a better understanding of the situation, we compiled a list of the strongest currencies in Africa 2020. Each currency was rated against the official exchange rate of the United State dollar today at the time of writing this article.

Some names on the list would surprise you as many people do not expect them to have stronger currencies above the bigger and more popular nations.

Note: The conversion rates highlighted in this article are as of the 29th of May, 2020 and are subject to changes as exchange rates are volatile.

Below are the countries with the most valuable currency in Africa 2020:

1. Libyan Dinar (1 USD = LYD 1.42): The Libyan Dinar has been the strongest currency in Africa for a very long time. In Libya, the Central Bank of Libya (CBL) has a programme that only sells a limited number of dollars to its citizens.

However, the continuous war and violence that engulfed the country since the assassination of longtime leader, Mummar Gadaffi, has affected the economy of the country drastically. 1 LYD = 272.89 NAIRA.

2. Tunisian Dinar (1 USD = TDN 2.87): Tunisia was under the French colony and used the French franc as its currency for many years.

But in 1960, the country replaced the franc with the dinar abbreviated as DT. The country’s monetary policy where it is illegal to export or import dinars or convert them to other currencies has enabled the Tunisian Dinar to be among the highest in Africa. 1 TND = 134.85 NAIRA.

3. Ghanaian Cedi (1 USD = GHS 5.77): For many years, Ghana’s currency experienced lots of volatility until the Bank of Ghana replaced the Cedi in 2007.

Today, the government’s spending programmes and job growth have enabled the currency to remain strong in Africa.

Furthermore, the Cedi is more valuable because of the country’s GDP per capita, which is the currently largest in West Africa. 1 GHS= 67.16 NAIRA.

4. Moroccan Dirham (1 USD = MAD 9.89): The Moroccan Dirham is the de-facto medium of exchange in the Western Sahara region.

Its de-facto state makes it one of the highest currencies in Africa. In the past, the currency exchange rate went for 1 USD to 9.87 MAD. Currently, 1 MAD = 39.58 NAIRA.

5. Botswana Pula (1 USD = BWP 11.84): The Botswana Pula is valuable because of the country’s strong economy and relatively stable democracy.

Furthermore, it is an attractive currency because traders trade it on the Johannesburg Stock Exchange, which is the largest stock exchange in Africa. Before 1976, the Pula’s exchange rate and valuation were on the same basis as the Rand. 1 BWP = 32.74 NAIRA.

6. Eritrean Nakfa (1 USD = ERN 15.00): The Eritrean Nakfa is the legal tender for Eritrea.

It has enjoyed stability over the years because the country’s government does not float the currency.

Instead, it prefers the stability of having a fixed exchange rate. 1 ERN = 25.83 NAIRA.

7. Egyptian Pound (1 USD = EGP 15.83): The Egyptian Pound has been gaining value over the years because of its unofficial use in Sudan and the Gaza Strip.

Also, the EGP has gained in value after the government reduced interest rates to attract domestic and foreign investments.

Like other African currency symbols, the Egyptian pound has several, including E£ and LE. 1 EGP = 24.48 NAIRA.

8. South African Rand (1 USD = ZAR 17.55): For many years, the price of gold determined the value of the ZAR because it was the country’s main export.

But developments throughout the world over the years have determined the price trajectory of the Rand.

Although it is valuable, and one of the few African currencies used in Kenya, the ZAR experiences some volatility as it is linked to the rest of the world.

Also, South Africa’s political landscape is not as stable and that subjects the legal tender to price fluctuations. Note that several countries in South Africa have pegged their currencies to the rand at a rate of 1.

The Namibian Dollar, the Lesotho Loti, and the Swazi Lilangeni are all pegged to the rand at the same rate. This means that their value depends on the value of the ZAR, which is 14.87 units per USD. 1 ZAR = 22.10 NAIRA.

9. Seychellois Rupee (1 USD =SCR 17.58): The Seychellois Rupee is the legal tender for Seychelles.

It is among the highest currencies on the continent because of the country’s strict monetary policy.

Also, SCR is more valuable due to the country’s market-based economy. Foreign investments have also helped to refurbish the economy and expanded small-scale manufacturing, farming, and fishing. That has diversified Seychelles’ GDP, hence its valuable currency. 1 SCR = 22.08 NAIRA.

10. Zambian Kwacha (1 USD = ZMW 18.33): The Zambian Kwacha has an attractive value because the country is the largest producer of copper in Africa.

Copper is a commodity. That means the currency can experience volatility depending on the shifts in the commodity prices on the global copper market. 1 ZMW = 21.14 NAIRA.

NIGERIA is popularly referred to as the ” giant of Africa “, because of her immense population. This nation is blessed with human resources and abundant natural resources like crude oil, bitumen, natural gas, arable lands and so on. Yet, the NIgerian Naira ( NGN) ranks among the 10 weakest currencies in Africa and among the 20 weakest currencies in the world. This has led many people to ask: ” what is the problem with Nigeria?”

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Chevron To Fire 6,750 Staff In A Major Sack

by dthata
written by dthata

The United States super oil major, Chevron Corporation, has slated 6,750 staff for sack in one of the biggest global mass disengagement of work force. The mass sack, the company with third biggest Joint ventures in Nigeria said, represents a cut of between 10 per cent and 15 per cent of its worldwide workforce as part of an ongoing restructuring at the second-largest U.S. oil producer.

Spokeswoman for Chevron, Veronica Flores-Paniagua, confirmed this, while maintaining that Chevron, which has 45,000 employees, expects to remove about 10 to 15 per cent of its global staff to “match projected activity levels.”

The oil producer previously disclosed a 30 per cent reduction in its 2020 spending and some voluntary job cuts amid this year’s sharp drop in oil prices and lower demand for oil and gas due to the COVID-19 pandemic. Chevron has been widely seen as the standard bearer of financial discipline in the oil industry and was among the first to make significant budget cuts as oil demand plummeted. Last year, it abandoned a takeover bid for Anadarko Petroleum Corp rather than get into a bidding war with Occidental Petroleum Corp.

Chevron pocketed a $1 billion break fee while Occidental has faced investor wrath for its ill-timed deal. U.S. crude oil prices have nearly halved this year to about $33 a barrel as the COVID- 19 pandemic slashed travel and led to stay-athome orders that have cut oil demand by as much as two million barrels per day. Chevron this month said it would reduce planned U.S. shale output by about 125,000 bpd.

The about 4,500 to 6,750 job cuts envisioned are to “address current market conditions,” with varying impact on each business unit and region, said Flores- Paniagua. Most reductions will take place this year. “This is a difficult decision and we do not take it lightly,” she added. At its annual shareholder meeting on Wednesday, No. 1 U.S. oil producer Exxon- Mobil Corp said it had not yet taken steps to reduce its workforce.”

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Lagos BRT Buses May Withdraw Services Next Week

by dthata
written by dthata

Primero Transport Services Ltd., operator of the Lagos Bus Rapid Transit (BRT) may withdraw its services on May 25, due to logistics problems and other issues, an authoritative source disclosed on Friday.

The source said that the company might likely run out of diesel and other supplies that would likely disrupt BRT operations.

“Primero is planning to withdraw all its buses from the road from May 25. The company is running out of diesel.

“Suppliers have not been supplying diesel fully because the firm is owing them. The company is currently running at a loss.

“Primero will run out of the supply of diesel and other supplies by Monday. So it is not likely the buses will run,” the source re-stated.

Efforts to talk with the Managing Director of the company, Mr Fola Tinubu, on the development was not successful.

On May 15, NAN reported a shortage of BRT buses across various routes, presence of long queues and an increase in awaiting time at BRT stations in Lagos.

BRT users have been complaining over the shortage of buses since the easing of the current lockdown on May 4.

On May 15, Tinubu said: “the way we are operating now is as if we are just running a social service for the people.

“Twenty passengers in the bus on the same old fare is not sustainable. We are piling up losses that we need to address urgently.

“Creditors are calling us. We need to address that urgently. The way it is right now is not sustainable.

“That was why we have limited buses on the roads. Every bus that is going up and down now is incurring so much loss.”

The Lagos State Government had directed the 70-capacity buses to carry only 21 passengers.

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Do Not Employ Masters Degree Holder For The Role Of SSCE Holder – Akin Alabi To Employers And Business Owners

by dthata
written by dthata

Nairabet Founder and a member of the house of representatives, Akin Alabi,  has advised employers against recruiting a Masters Degree holder for the role of an SSCE holder.

In a series of tweets, Akin Alabi stated that such a decision will be regretted later on by the employer and employee..

He also criticized such employment which he described as exploitation.

He wrote: “If you have a vacancy for a secondary school certificate holder and a masters degree holder shows up, do not hire him or her. Hire the secondary school certificate holder. If you hire the masters degree holder, you will both regret it at the end of the day.

Firstly, I think you are just being a bad person taking advantage of people by filling your low paying vacancy with a masters degree holder. Except you increase the pay, you are just a terrible person for trying to pay minimum wage to a masters degree holder.

Secondly, the masters degree holder will only have temporary joy. When he settles into the low paying and low ranking job, dissatisfaction sets in. He would have superiors that are Bsc Holders.

He will have school certificate holders as work mates. Maybe some of them as superiors because they got there before him. He will begin to lament. He will say he is better than those earning more than he is. He will begin to spread the dissatisfaction round your organization.

It begins to spread like cancer. If it gets on social media, woke people will have your time. How can your have a masters degree holder in such a position? Why don’t you promote him? Why don’t you increase his pay?

They will begin to organize your business and life for you. If you have a new role, you will almost be forced to elevate that person even if he is not qualified. Imagine having a masters degree holder for a low position for years. You now have a vacancy for a masters degree holder, you know you will be automatically tied to elevating him, even if he is incompetent.

So if you want school cert, hire school cert. Don’t feel smart hiring beyond the pay or level you are offering. You will regret it”.

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Mark Zuckerberg Reveals Facebook Is Considering Permanent ‘Work From Home’

by dthata
written by dthata

Half of Facebook’s workforce could shift to permanent home working by the end of the decade, founder Mark Zuckerberg has revealed, according to the Press Association.

The social network’s chief set out his vision to employees on Thursday, prompted by the coronavirus crisis which has forced companies across the globe to embrace remote working in recent months.

Zuckerberg said it is “quite possible” that over the next five to 10 years about 50% of staff at the company could be working from home, though he warned that those interested could see salaries cut if they decide to be located away from big cities where living expenses tend to be higher.

The tech giant also plans to “aggressively open up” remote hiring, though the process will be staggered, starting with experienced engineers living in the US and Canada.

“This is fundamentally about changing our culture, in the way that we all are going to work long-term, so I think I’m optimistic about this direction, but I want to make sure that we move forward in a measured way,” Zuckerberg said.

“At the same time, I also want to emphasise that I just think Covid is going to be with us for a while to come.”

The 36-year-old hopes that the move will help retain workers that want to live in areas further away from offices, while attracting new talent from further afield.

More than 95% of Facebook’s staff are currently working from home due to Covid-19.

The success of permanent remote working would “rely on the honour code”, Zuckerberg said, adding it was vital for tax and accounting purposes for people to declare their locations.

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Investors Rush To Nigeria – Bloomberg

by dthata
written by dthata

Nigeria’s early move to tap cheap loans has improved its risk perception among foreign investors, leading to a fall in the country’s borrowing costs.

Yields on Nigeria’s dollar bonds maturing in 2047 fell from an all-time high of 13.2% on March 19 to 9.1% on Wednesday. This is as the West African nation presented a revised $27 billion budget to cabinet that kept spending intact, with a proposed record deficit of 5.4 trillion naira ($13.9 billion), which will be financed mainly from new debt.

Nigeria’s economy has been hit by the coronavirus pandemic and the slump in the price of oil, the nation’s top export. The plunge in crude has forced the central bank to devalue the naira, while inflation has been above its target band for almost five years.

Africa’s largest economy has lined up ambitious borrowing plans in its domestic bond market and has secured $3.4 billion from the International Monetary Fund. It expects $3.5 billion from other lenders and has used the collapse in oil prices to scrap fuel subsidies that cost the country at least $2 billion a year.

Support from the IMF and the other development institutions, along with a nascent recovery in oil prices has boosted investor confidence, according to Edwin Gutierrez, the London-based head of emerging-market sovereign debt at Aberdeen Standard Investments.

“Nigeria has been an outperformer of other sub-Saharan African credits during that time,” Gutierrez said.

Nigeria bond yields down from highs in March even with more borrowing planned
Still, this doesn’t reduce Nigeria’s underlying weak fundamentals given the wide deficit and low foreign-exchange reserve buffers amidst low oil prices, said Mohamed Abou Basha, the director and head of macroeconomic analysis at EFG-Hermes.

Africa’s largest crude producer, which relies on sales from the commodity for about half of government revenue, projects that its oil earnings will drop by at least 80% this year.

The deficit could widen to 6.8% of gross domestic product from 4.8% in 2019, according to the IMF, and unless Nigeria gets a waiver from creditors, interest payments could eat up 96% of the federal government’s revenue, up from 58% in 2019.

“If secured, multilateral loans would cover around 21% of the general government deficit in 2020,” Fitch Ratings said in a report published Monday.

Yet investors seem unconcerned. The cost of protecting Nigeria’s debt against default has dropped by 520 basis points since March 18, an indication that creditors are feeling more secure holding the country’s debt.

Risks have also receded in the past few weeks after the IMF disbursed its loan to Nigeria. Despite the country’s public debt set to rise to 34.8% of GDP this year, from 29.1% in 2019, according to the IMF, it’s a relatively low level when compared with most emerging markets.

In a report last month, the IMF said it believes Nigeria’s debt is sustainable and there is adequate capacity to repay the fund.

“Nigerian authorities have done well to take the IMF loan, to unify the exchange rate and to suggest that the fuel subsidy is gone forever,” Renaissance capital analyst Charles Robertson said in a briefing last week. “That is an improvement for Nigeria” in the medium term, he said.

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Lagos State Records ₦282.6 Billion Q1 2020 Revenue

by dthata
written by dthata

Not many nations within the African continent can boast of the feat Lagos state has attained over the past decade. The state rivals economies of nations as it ranks the top 10 of the largest African economies. The success of the state is, however, punctuated by high poverty levels and a range of infrastructural deficits. The onus thus falls on the state to make do with its available resources towards meeting all the needs of the state and this is what the Ministry of economic planning and budget (MEPB) as headed by Commissioner, Sam Egube, seeks to attain with the state’s financial resources. Given the ongoing pandemic, the job of the state in mitigating the far-reaching effect on businesses and individuals alike has been further heightened.

The recently released financials for Q1 2020 reveal an actual revenue for the quarter of ₦282.6 billion, a figure 101% higher than the actual revenue of 2019 which stood at ₦140.7 billion and 6% higher than the budget for 2020 which stood at ₦267.8 billion. The revenue for the quarter consists of ₦100.3 billion on internally generated revenue, ₦141 billion on capital receipts, and ₦41.2 from federal transfers.

Capital expenditure for the quarter was N72.1 billion, 11% higher than the actual of 2019 which stood at ₦65 billion and 54% less than the budget for 2020 which was set at ₦177.8 billion – a deficit attributed to economic changes resulting from the Covid-19 pandemic. In the following abridged transcript, Mr. Egube, offers insights into the performance of the budget and speaks extensively about the implication of the pandemic on industries within the state and new mechanisms to be employed by the state government.

Let’s start with a brief overview of the quarter 1 financials. How do you rate the overall performance?

The first quarter is typically a very slow one. The budget performed at 51% and that is understandable because the later part of March experienced the Covid-19 pandemic and subsequently the lockdown. So a lot of the transactions that were ready to go into execution were not able to go. We achieved and surpassed our target for 2020 Q1.

This is good as it just shows that some of the performance-enhancing mechanisms that we have put in place are working. We will continue to put pressure on those performance metrics and we do this through the peer reviews we have on our revenue which the governor himself sits in. The goal is to ensure that revenue is being driven so that we’ll have what we need to have to spend on both recurrent and capital expenditure.

The report disclosed that the Covid-19 pandemic will affect the resources of IGR – and expectedly so, which is why it is also surprising that the state was able to outperform despite the fact that a number of key industries have slowed down during this period. What is the state’s stance on this?

Yes, we expect the full implication of the Covid-19 slowdown to begin to show up in the second quarter. The latter part of Q1 is where you would see the beginning of the Covid-19 lockdown. So, we’re expecting a shakedown. We’ve done our own models also within the state to see how badly hit the Covid-19 pandemic will have hit us. It’s a global phenomenon. It’s not something the world has gone through and it’s not something that is completely understood yet.

But for an import-dependent country like us, our supply chain is going to be deeply affected as our production also will slow down. A slowdown of production across the world also means reduced energy demand and that begins to put pressure on our crude oil sales. What you then begin to see is that prices begin to topple down from our expected benchmark of ₦57/ barrel.

All of these slowdowns are going to cause the GDP of the state and of the nation to shrink. We have taken a more optimistic positioning to say it will shrink by 3%. 3% means a ₦2.3 trillion loss in output by the entire state. Unemployment go up as companies not producing will either begin to contemplate paying less than the salaries they ought to pay or actually lay off workers. With this happening, IGR will reduce and it is going to lead to an increased physical deficit that will force a re-order, a reevaluation, or a reprioritization of the budget. We need to spend on what will bring the greatest impact on the economy especially because resources are thinning out.

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Beautiful Nigerian Business Mogul And Philanthropist, Dr. Jack-Rich Featured In Forbes China May Issue

by dthata
written by dthata
Dr. Elizabeth Jack-Rich, the vibrant and energetic Business Mogul and philanthropist, known for her great passion in empowering women/youth in Nigeria and shouldering the mission of helping fellow citizens achieve shared prosperity.

Thus, highlighting the spirit of a new generation of Nigerian leaders. Dr Jack-Rich dexterously featured in Forbes China May Issue 2020, in which she admonished about her passion and aim for the Nigerian women and women around the globe. For the comprehensive write up, kindly check this link.

 

Source: www.forbeschina.com/business/48698

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Meet Abdulwasiu Sowani, The Billionaire Who Bought Forte Oil From Femi Otedola

by dthata
written by dthata

His name is Abdulwasiu Sowani, a silent billionaire and sharp Manager of Human resources. He is the new holder of Forte Oil plc, a downstream oil and gas company formerly belonging to Femi Otedola.

Right after the sale of the oil and gas sector, Sowami took possession of a 74.02% equity stake in the Forte Oil PLC downstream operations through his firm, Ignite Investments and Commodities Limited.

One of the foremost leading downstream oil and gas companies in Nigeria is Forte Oil Plc leading , it’s publicly on the list of The Nigerian Stock Exchange.

Abdulwasiu Sowami is now the Chairman of Ignite Investments and Commodities Limited and Forte Oil Plc.

Surprisingly, He is also the proprietor of Prudent Energy Limited, one of the local oil firms that has been given the licence by NNPC to lift 950,000 barrels of crude oil in a contract duration of two years.

Abdulwasiu Sowami finished from the University of Maiduguri, and he’s a Master’s degree holder in Corporate Governance from Leeds Beckett University, UK.

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CBN Governor Accuses Nigerian Business Moguls Of Using Illegal Markets (Video)

by dthata
written by dthata

CBN Governor, Godwin Emefiele, has accused some local and foreign investors of buying dollars from the parallel market, popularly referred to as ‘black market’,  As the apex bank struggles to stabilise the currency exchange rate.

A dollar was sold for N460 at the parallel market on Wednesday, which is higher than the interbank rate of N361 to a dollar. More so, the dwindling oil prices caused by the Coronavirus pandemic have greatly affected the country’s economy and have reduced the dollars in circulation.

The situation was also compounded by the suspension of sales of foreign exchange to Bureau de Change operators by the CBN.

POLITICS NIGERIA reports that the investor and exporters window is also badly affected by the liquidity crisis in the foreign exchange market.

However, since the demand for dollars by importers, foreign investors in the debt market who want to repatriate their funds, is higher, many have resorted to buying from the parallel market, which takes its toll on the country’s economy.

The Virtual Meeting

In video footage exclusively obtained by POLITICS NIGERIA, the apex bank’s Governor warned the investors against buying dollars from the parallel market.

He spoke at a virtual meeting held sometime in May 2020, with some foreign and local investors including Africa’s richest man, Aliko Dangote; Huawei, a telecommunications company and Herbert Wigwe, the managing director of Access bank group.

Mr Emefiele said: “We’ve seen your account already but we are appealing to you to stop and do what is right and what is legal so that Nigeria can be a better place for you to live in.”

“Don’t go into illegal business. Do your business legally and make your money. I repeat and I know it. I know some of you are involved. Stop now! By you going to the parallel market, you are helping to overheat that market.”

He also spoke about the implications, which is losing their earnings as a result of overheating the market.

“Not only that you’ll lose money (because you would have bought at a price that is not realistic)… I can tell you that you are going to lose money.”

“We are seeing some of those transactions and I feel I need to call you guys for this meeting let us talk. Don’t overheat the market by sounding desperate and buying dollars at those exorbitant prices.”

He then promised that the apex bank will provide more liquidity for the investors to stop patronising the parallel market.

“We have taken note of some of you- on what you need. Go ahead and do your business. Nothing will stop your forward. Your forward will be at the committed price. We are going to provide more liquidity to the market so that you people can stop going to the parallel market. Don’t go there!” he said.

Watch the Videos below;

https://youtu.be/3n4i9SlenyA

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Kim Kardashian Sells Out Of Her Coronavirus Fashionable Face Masks Range In Minutes

by dthata
written by dthata

In just under 30 minutes, fans got their hands on the new range of fashionable face masks to wear amid the ongoing pandemic.

The businesswoman, 39, designed the face masks to match her SKIMS Solution wear range to ensure her fans were keeping up their stylish looks amid the COVID-19 outbreak.

Kardashian’s customers had a choice of five shades made out of the make-up mogul’s shapewear’s seamless material.

Her decision to launch face masks comes as the state of California has made it compulsory to wear face masks in public.

The masks – which were available in five nude colours – retailed at $8 each.

A set of four would set customers back for $24 (AU $37.40).

Kim named her mask collection Seamless Face Masks.

She promised the buyers the masks were “breathable, soft, and comfortable” as well as being “designed for all-day wear”.

Kim’s company SKIMS has cemented its status in the fashionable spheres for its shapewear and undergarments to enhance the customer’s figure.

 

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Nigeria Running Out Of FOREX – John Campbell, Ex-US Ambassador

by dthata
written by dthata

A former United States Ambassador to Nigeria, John Campbell, says Nigeria is experiencing a shortage of Foreign Exchange due to the fall in international oil prices.

He said the dip in oil prices occasioned by the coronavirus pandemic has had a negative effect on the Federal Government’s revenue and its access to US dollars through oil exports.

This was contained in a piece by Campbell published on the website of the Council on Foreign Relations, a US nonprofit thinktank.

The PUNCH reports that oil closed at about $60 per barrel in December 2019 but has since plunged to about $25 per barrel in May 2020.

The former American envoy to Nigeria said, “Driven in part by the need for dollars, the government devalued the Nigerian currency, the naira, to 360 to the U.S. dollar, down from 306. That, apparently, was not enough. As of May 12, the naira is traded at 445 to the dollar on the street, and the one-year forward trading rate is 514 to the dollar, which means traders expect the exchange rate to fall even further.

“The Lagos stock exchange index is down about 12 percent since the start of the year. Because it is denominated in naira, and the naira has been devalued, the loss in value is even greater in terms of international currency. There are anecdotes (impossible to quantify) that rich Nigerians are getting out of the market and doing what they can to shelter their assets abroad—an old song in times of instability, whether economic or political.”

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Jeff Bezos Could Become World’s First Trillionaire By 2026

by dthata
written by dthata

Amid the collapsing economy due to the coronavirus pandemic, Jeff Bezos is expected to come out smelling like a rose — and reach the exalted status of the world’s first trillionaire, according to research.
The Amazon founder — whose fortune is estimated at $143 billion, up from $125 billion on April 12, according to the Bloomberg Billionaire’s Index — was trending on Twitter after recent research suggests he could achieve that feat by 2026.

The e-commerce giant’s sales topped $75 billion in the first quarter, driven by spiking demand during the pandemic that has kept people at home and depending on at-home delivery services, according to Marketwatch.

Comparisun, a small-business advice platform, said it analyzed market capitalization of the 25 highest-valued companies on the New York Stock Exchange according to Macrotrends, and the net worth of the world’s 25 richest people according to Forbes.
It then calculated the average yearly percentage growth over the last five years and applied that growth rate to come up with an idea of how that value would change in the future, according to the report.

Bezos, who owns an 11 percent stake in Amazon, has been the world’s richest person since 2017. He also is one of the world’s five richest people who hasn’t lost money this year as a result of the coronavirus pandemic, according to Esquire.

If his net worth does reach $1 trillion, he’d be worth more than the individual GDPs of 179 countries with a combined population of 3.4 billion — 43.7 percent of all humans alive, the outlet reported.
It’s also worth noting that Bezos also had to relinquish much of his wealth to his wife from a divorce proceeding last year.

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Uber Sacks 3,500 Employees Via A Zoom Call

by dthata
written by dthata

‘Today will be your last working day with Uber.’ Watch as choked up executive tells 3,500 rideshare employees they are being laid off effective immediately over a three-minute ZOOM call

At least 3,500 Uber employees learned that they were being laid off in a three-minute Zoom call last week.

DailyMail.com obtained video of the call where Ruffin Chaveleau, head of Uber’s customer service, broke the news.

‘We are eliminating 3,500 frontline customer support roles,’ Chaveleau said. ‘Your role is impacted and today will be your last working day with Uber’.

The cuts were be made among customer support and recruiting teams, meaning driver number will be largely unaffected.

A former Uber employee, who asked to remain anonymous, slammed the company for laying off so many people on a Zoom call and for the lack of notice.

https://youtu.be/BzmLyLHRrG4

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Sunti Sugar To Retain All 2,400 Staff Despite COVID-19 Challenges

by dthata
written by dthata
The raging coronavirus pandemic is leaving in its trail, job losses and economic instability, however, the Sunti Golden Sugar Estate, a Nigerian company has said it is retaining all its 2,400 employees and keeping the facility at full operation.

According to Joseph Umolu, the company’s director, Corporate and Legal Services, Sunti had just concluded its crushing season, harvesting 146,200 tons of sugar cane and producing 15,860 tons of sugar. He further stated that the company also produced 9,640 tons of molasses and 11,600 MWh of electricity generated using bagasse (sugar cane fibre) as fuel. The company is now entering its cultivation season and plans to maintain high levels of employment to ensure a seamless process.

“At this time, when COVID-19 is causing so much job insecurity, Sunti has maintained its staff strength to do the cultivation of sugarcane, gapping, irrigation, weeding and fertiliser application, as well as maintaining the factory during the off-crop” he said in a press statement.

The sugar company, which is a subsidiary of the Flour Mills of Nigeria Group (FMN) also says it had employed strategic measures initiated by the FMN group to ensure the safety and welfare of employees, suppliers, customers and other stakeholders.

According to Umolu, the new health and safety strategy was part of the general measures being deployed by the FMN Group to keep all its facilities, including the Sunti Golden Sugar Estate safe from the COVID-19 virus.

He stressed that before the pandemic, the Sugar estate already had strict health and safety measures in place, therefore all it needed to do was to upscale the measures to comply with recommended COVID-19 safety protocols.

“Sunti already operates under the highest health and safety standards even before the coronavirus lockdown policy by the Federal Government.

“To help employees deal with the growing pressure of working during the current period, Sunti Golden Sugar Estates has issued palliative food products to all its employees as well as created a strategic food reserve for employees, should the disease persist and conditions become tougher,” he said.

He added that despite the restricted movement, the estate being in the essential food sector had continued full operations to ensure the availability of sugar in Nigeria.

Umolo also noted that the community had not been left out, stating that the 26 communities that makeup Mokwa had benefitted from 4,000 cartons of noodles as part of FMN’s N400m food relief programme. The company also utilised more local contractors during its harvest, thereby creating more jobs for the community.

 

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Firstbank Cardholders Record ₦1.18 Trillion In Transaction Value During Lockdown

by dthata
written by dthata

First Bank of Nigeria Limited says Nigerians with its cards used them 105 million times to make payments or withdrawals worth about N1.18 trillion throughout the lockdown.

FirstBank’s Chief Executive Officer, Adesola Adeduntan, also disclosed that the bank’s 53, 000 agents across the country processed about N512 billion worth of transactions with differing values while the lockdown lasted.

He noted that the bank was “able to actively support her customers, their families and businesses through these challenging times.”

Adeduntan further noted that approximately 12.6 million withdrawals to the tune of N156 billion were carried out across FirstBank’s ATMs nationwide.

“Our customers made transfers over 106 million times with a total value of about N8.18 Trillion across our digital channels. We have also recorded over 275,000 new sign-ups to alternative channels covering our Firstmobile, USSD and First-Online platforms,” he said.

While calling on lovers of stress-free banking to get on board, the FirstBank CEO assured existing customers of the bank’s relentless efforts to ensure that banking transactions continue seamlessly, adding that COVID-19 will not slow down her activities and efforts at staying true to her brand promise to her customers.

FirstBank cards come in a wide range of categories, each fulfilling tasks which are flexible, offer comfort and stress-free banking.

The range of cards available to customers of FirstBank are categorised into three broad groups — Debit, Credit and Prepaid cards. The grouping covers outstanding cards offerings such as Naira MasterCard, Verve Card and the pioneering Visa Multi-Currency Card.

Others are Expressions MasterCard, Platinum MasterCard, Visa Infinite Credit Card, Visa Gold Credit Card, Naira Credit Cards (Visa Classic and Platinum), Visa Prepaid Card and Verve Prepaid Card.

FirstBank’s Naira MasterCard and Verve Card are secured by Chip and PIN technology with local POS/Web limit increase available upon request. The Naira denominated MasterCard comes with various benefits such as online purchases, bills payments and cash withdrawals at ATMs world-wide. The various transaction limit(s) on Naira MasterCard issued by the bank are N150,000 for ATM transactions, N2,500,000 for POS and N1,000,000 for web transactions.

The FirstBank Verve Debit Card works with Chip and PIN technology to secure transactions. It allows the cardholder to conveniently pay for goods and services and is accepted by all ATMs, POS, Web, Mobile, Kiosk, and bank branch connected to the Interswitch network in Nigeria.

It is available to all account holders and enables daily transaction limits of N150,000, and N500,000 on ATM and POS channels respectively. Customers can transact up to N1 million on the web in a single transaction.

FirstBank cards also offer the Card Protection Transactions feature, which allows the cardholder to activate or deactivate it for all types of transactions, channels and locations, through the Card-in-Control Service on the Firstmobile app.

Another card innovation service by FirstBank is the Visa Gold Card, which offers higher daily spending capacity and limit on ATM, POS and Web. With the Visa Gold Card, the customer is assured of $1,000 daily ATM withdrawal, $10,000 POS transaction and $5,000 on the web at any location around the world. It is a dollar denominated international Premium Credit Card issued in partnership with Visa International.

Moreso, it guarantees access to international emergency services such as Emergency Card Replacement and Emergency Cash Advance in situations where the card gets lost or damaged. The Visa Gold card comes handy when making airline bookings with its smooth seamless purchase options.

Also, among FirstBank’s super cards is VISA Debit Multi-Currency Card. First of its kind to be offered by any financial institution in Nigeria, the card is an enhancement to the existing Visa Debit Dual Currency card and can be linked to any or all NAIRA, USD, EURO and GBP accounts. It is an international card with Chip and PIN technology which can be used to make payment anywhere in the world and across all channels – ATMs, POS & Web.

With the Visa Debit Multi-Currency card, cardholders can make daily withdrawals to the tune of N150,000 (local) and $1,000 (international) from the ATM. However, on the web, a total of N1,000,000 is permitted locally while $6,250 is allowed on the international corridor daily. POS transaction limit is N2,500,000 (local) and $2,500 (international).

The Platinum Debit MasterCard is a premium Debit Card denominated in Naira. It is linked directly to a customer’s Naira denominated current and/or savings account. It offers a convenient alternative to the use of cash, and cheques by giving direct access to funds in cardholders’ accounts across all channels like ATM, POS, web etc.

Like other card types, its transactions are easily monitored via the FirstBank FirstMobile App or FirstBank Internet Banking service and offers 24-hour access support for all card-related complaints through First Contact. It is a card linked to a Naira denominated account, and it is valid for three years.

It is designed to suit the lifestyle of senior and management executives of multinational companies and leaders across various industries and sector of the global economy. Its daily limits include; ATM: N300,000; POS: N3million; Web: N2,000,000 as well as Cross-border TXN limit: $500 monthly.

Speaking further, Adeduntan highlighted that the contactless capability of the bank’s Visa and MasterCards support less human-to-human contact in executing transactions, in the same way that the debit cards have remained the base channel for self-onboarding to any digital channel such as USSD, Firstmobile, FirstOnline etc.

FirstBank has also initiated value added services attached to the cards including discount at merchants location such as Jumia Friday, Health Plus, among others.

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Apple Set To Return Workforce To The Office By Summer

by dthata
written by dthata

The tech giant was one of the first to sound the alarm about the coronavirus. Now it’s becoming one of the first to return to its offices.

Companies around Silicon Valley are reconsidering their work-from-home strategies amid the coronavirus pandemic, telling employees they can work remotely after the crisis subsides. Apple is reportedly taking a different tack, sharing plans to potentially bring employees back to its offices by the summer.

The iPhone maker is planning to open its offices in phases, according to a report in Bloomberg, which cited people familiar with the plan. The phase, which “has already begun in some regions globally,” focuses on staff who can’t work remotely or have faced challenges working away from the office. In July, the company plans to open offices more broadly. The plan is subject to local stay-at-home orders, Bloomberg’s sources said.

Apple’s plan to bring employees back to its offices comes as governments continue to grapple with how to return to normal life amid the continued outbreaks of the novel coronavirus, which has so far has killed more than 293,000 patients and infected more than 4.2 million people worldwide, according to data compiled by Johns Hopkins University.

Apple’s move also marks a seeming departure from some other tech firms, such as Facebook and Google, who told employees they can work remotely through the end of the year. Twitter has offered to allow remote work for some employees permanently.

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Dollar Sells For N445 As Forex Scarcity Persists

by dthata
written by dthata

The dollar exchanged for N445 in the parallel market on Monday due to scarcity and shrinking liquidity in the forex market.

The extension of the ban placed on flights in the country by the Federal Government, as part of efforts to curtail the spread of coronavirus, further affected the access to forex by the bureau de change operators.

The President, Association of Bureax De Change Operators of Nigeria, Alhaji Aminu Gwadabe, said, “The extension of airport lockdown as well as sale of forex to the BDCs pending when air travels resume has impacted the naira negatively from N425/$ to $445/$ in the parallel market.

“However, the assurances of the CBN governor to foreign investors on ease of exit have helped to flatten the curve at N445/$ without any sign of further depreciation at the close of business today.

“The persistent dollar scarcity with shrinking liquidity in the market is one of the major unintended consequences of the shutdown of the BDCs window.”

Deposit Money Banks had however commenced forex sales to customers wishing to pay school fees and the SMEs making essential imports needed to revamp economic activities across the country.

This followed the commencement of forex sales by the Central Bank of Nigeria to all commercial banks for sale to parents and the SMEs as part of efforts to gradually ease the effects of the COVID-19 lockdown.

The CBN stated that it had resumed the provision of over $100m per week for school fees and the SMEs.

Unity Bank Plc said in a statement that it had received the supply of foreign exchange from the CBN to adequately meet eligible demands from customers.

ABCON stated that it was important for the CBN to resume the sale of forex to the BDCs in order to defend the value of the naira and infant industries.

The Director, Corporate Communications, CBN, Isaac Okorafor, had stated, “The CBN has also made complete arrangements to resume foreign exchange sales to the BDC segment of the market for business travels, personal travels and other designated retail uses, as soon as international flights resume.”

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We Have Enough FOREX, CBN Tells Investors

by dthata
written by dthata

The Governor of the Central Bank of Nigeria, Godwin Emefiele, has told investors not to panic, saying the CBN has enough foreign exchange to meet repatriation. He also assured them of the security of their investments in the country despite dwindling revenue from the sale of crude oil globally.

A statement on Sunday from the CBN quoted Emefiele as saying that “investors interested in repatriating their funds from the country were guaranteed to get their money, notwithstanding the drop in the revenue from crude oil.” He said the CBN had put in place policies to ensure an orderly exit for those that might be interested in doing so.

He, however, urged investors to be patient as such repatriations were processed owing to the CBN’s policy of orderly exit of investments. Recalling a similar situation that occurred in 2015 over declining revenue, Emefiele said the CBN was able to settle all commitments in an orderly manner.

He said the foreign exchange available would be devoted to strategic importation or service obligations that were priorities. On the plans of the apex bank to tackle the economic impact of the COVID-19, he said the CBN, in collaboration with the Ministry of Industry, Trade and Investment, was committed to galvanizing the manufacturing sector in a bid to reset the economy.

While disclosing that the CBN had met with the banks, manufacturers in the health sector and the larger manufacturing group, he said the challenge posed by the pandemic necessitated that the fiscal and monetary authorities must work together to moderate the health and economic impact of the COVID-19.

He said the COVID-19 presented Nigeria with an opportunity to reset the economy and as such, there was need for the country to prepare itself to get the manufacturing sector to work, while the banking sector supports the economy.

With the revenue drop from crude, Emefiele said Nigeria had no choice but to diversify its economic base.

According to him, the time has come for Nigerians to produce what can be produced in the country and consume what is produced in the country.

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Business

Nigerian Billionaires Lose Billions Amid Coronavirus Pandemic

by dthata
written by dthata

The year 2020 began with lots of predictions and promises, but the volatility in the stock market (which was occasioned by the Coronavirus pandemic) was not top on the list.

On February 27, Nigeria recorded the index case of the Coronavirus pandemic, an Italian who visited the country for business reasons. A month later, the federal government was preparing to announce a lockdown of the economy as part of measures to curb the seemingly unpredictable increase in the spread of the Coronavirus.

The lockdown which commenced 2 days after the announcement brought a lot of uncertainty into the financial markets, and this definitely comes with huge consequences for individual and corporate investors.

For many investors around the world, the first four months of the year was a bad one. There were fluctuations and sudden declines in stock prices. And for top Nigerian billionaires, it was definitely more of the losses than the gains. This article examines how they performed in the last two months, from February 29 after the index case was Q1 2020.

Alhaji Aliko Dangote

Being the richest man in Nigeria is no mean feat, yet Dangote has been able to maintain this title for years without breaking a sweat. However, the Coronavirus pandemic has taken a bite out of the billionaire’s billions.

By the end of February 2020, Dangote’s 14,500,315,501 direct shares in Dangote Cement Plc worth N2,465,053,635,170 at the share price of N170 per unit, while the 27,642,637 shares which he controls through Dangote Industries Limited were worth N4,699,248,290 at the same share price.

By implication, the total worth of his shareholding in Dangote Cement Plc as at February 29, 2020, was N 2,469,752,883,460‬—over N2.4 trillion.

The value slid downwards hitting N129.70 at the end of March, before rising slightly to N130 at April 30.

At this time, Dangote’s indirect shares were worth N3,593,542,810 while his direct shares were worth N1,885,041,015,130 summing up to N1,888,634,557,940 (over N1.8 trillion).

By comparing N 2,469,752,883,460‬, the value as at February 29, with N1,888,634,557,940 as at April 30, we can see that the billionaire’s assets in Dangote Cement Plc crashed by N 581,118,325,520 (N581 billion).

By any standards, this was no small loss.

Stock prices at Dangote sugar also suffered a similar fate. Starting at N14.00 per unit on January 1, the stock experienced fluctuations before closing the quarter at N10.00 per unit. Dangote’s 8,775,541,295 direct and indirect shares were valued to be worth N122,857,578,130.00 (N122.85 billion) at a share price of N14.00 on January 1.

Twelve weeks later, with the stock price down to N10.00 per unit, the worth of the same shares had dropped to N87,755,412,950.00 (N87.75 billion), a heartbreaking loss of N35,102,165,180.00 (N35.1 billion).

Stock prices at Dangote sugar, however, took a different trend for this period, starting at N12.1 on February 29 and appreciating almost 3% to 12.45 at the end of April.

Tony Elumelu

Entrepreneur billionaire and Chairman of United Bank for Africa Plc, Tony Elumelu also had some losses during the two months in review.

TOE, as he is called, directly owns a total of 190,100,234 units of shares in the bank, and 2,114,110,884 units of indirect shareholding in the company. This brings his total shareholding to 2,304,211,118 units of shares. By the close of trading on February 29, UBA’s shares were worth N6.7, meaning Elumelu’s total stocks in the bank was worth N15,438,214,490.6 (N15.43 billion).

There was not much movement in the share values for UBA plc as it started N6.7 on February 29 and ended April at N6.05. This means that by April 30, Elumelu shares (multiplied by the share price of N6.05 per unit) were worth N13,940,477,263.9 (N13.94 billion), showing a loss of N1,497,737,226.7 (N1.49 billion). This loss was a 9.7% depreciation of his share value, but N1.49 billion was no small loss for TOE.

Jim Ovia

The founder of Zenith Bank, Jim Ovia is one of Nigeria’s top billionaires. He directly owns 3,546,199,395 units and indirectly owns 1,513,137,010 units of shares. With over 5 billion units of direct and indirect shareholding in the bank, he is the biggest shareholder. Zenith Bank’s shares closed at N18.5 on February 29, danced a little way up and a little way down, before sliding continuously to close at N14.3 as at April 30.

As at February ending, Ovia’s total 5,059,336,405 units of shares were worth N93.59 billion (N93,597,723,492 at the share price of N18.5 per unit. By April 30, following the crash in prices, the worth of the same shares had dropped to N72,348,510,591.5 (N72.35 billion). Subtracting the latter value from the first, one can see that the worth of Jim Ovia’s stocks dropped by a whopping N21.2 billion (N21,249,212,901).

Among all the billionaires, Jim Ovia suffered the greatest percentage loss in the worth of his assets, 22.7%.

A heart-rending drop for him!

Herbert Wigwe

Access Bank’s Group CEO, Herbert Wigwe had a total shareholding of 1,441,522,910 units as at December 2019, before selling off a total of 55,611,001 indirect shares in four transactions, all in January 2020.

The depletion of his indirect holding through Trust and Capital Limited left him with 1,385,902,910 total shares made up of 1,184,680,195.5 units indirect holding and 201 million (201,231,713) direct shares. ‬

Share prices of Access bank closed at N8,2 on February 29 and dropped to N6.6 on April 30. His 1.39 billion shares were worth N 11,364,477,653.80 on February 29, and crashed by 19% to become N 9,147,018,599.40 on April 30.

Wigwe is N2.22 billion poorer because of the COVID-19 induced stock crisis.

Alhaji Abdulsamad Rabiu

According to the Cement Company of Northern Nigeria Plc (CCNN) 2018 financials, Abdulsamad Rabiu had 12,752,801,231 units of shares. However, CCNN has since then been merged with the Obu Cement to give birth to BUA Cement. Since the merger, the new entity BUA cement has not released any financial statement so there was no way to confirm what Rabiu’s stakes are in the company presently.

However, BUA cement had its stock close at N37.15 at the end of February 29, 2020. This value dropped by 12.25% over the weeks to hit N32.6 by 30 April.

By implication, whatever the number of shares the billionaire had with the company, the value has dropped by over 12% in the COVID-19 dominated weeks.

Note that the stocks started the year at N18.10, meaning that the billionaire has lost even much more than we have captured.

Austin Avuru

Having dispensed of a few shares in 2019, co-founder of Seplat Austin Avuru ended the year with 58,970,463 indirect shares in the oil and gas company.

Avuru’s shares, when multiplied by the share price of N605 gives a naira value of N 35,677,130,115 as of February 29.

Taking it two months forward, a stock price of N494.4 as at April 30 shows that the value had depleted to N29,154,996,907.20

Avuru lost about N6.5 billion (N 6,522,133,207.80) to the stock price decline.

Mike Adenuga

Mike Adenuga is the Chairman of Conoil Nigeria Plc, and directly owns 516,298,603 units of shares. He also has 103,259,720 units of indirect shares through Conpetro Limited, making for about 74.4% of Conoil’s issued share capital.

Conoil’s stock prices started at N18 per unit and only dropped a little to close at N17.4 on April 30.

Multiplying Adenuga’s 103,259,720 indirect shares by the stock price of N18 gives us a naira value of N1.86 billion (N 1,858,674,960) as at February ending, but the slight decline in stock value reduced the worth of these shares to N1.79 billion (N1,796,719,128).

Adenuga lost N61.9 million (N61,955,832) in his indirect shares to the COVID-19 crisis.

The 516,298,603 direct shares fell from N9.29 billion (N9,293,374,854) to N8.9 billion (N8,983,595,692.2) by end of April—a difference of N309 million.

From these figures, we can see that Adenuga’s had a loss of N371 million (N371,734,993) within the period under review.

 

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