Economy
CCNN, Obu Cement to Merge, List New Entity on Stock Exchange
By Modupe Gbadeyanka
Months after merging with Kalambaina Cement owned by BUA Group, the board of Cement Company of Northern Nigeria (CCNN) is considering another merger with Obu Cement Company Plc.
In a notice to the Nigerian Stock Exchange (NSE) on Wednesday, CCNN said it has already gone far with the proposed transaction, noting that it presently needs the authorisation of respective shareholders of the companies involved in the deal.
From the disclosure, CCNN said after the completion of the merger, the company will be delisted on the stock exchange, while the new entity, Obu Cement Company, will join the local bourse.
CCNN said it has already secured the requisite pre-merger approvals from the Federal Competition and Consumer Protection Commission (FCCPC) and the Securities and Exchange Commission (SEC), while it has received a ‘no-objection’ from the NSE.
It said the merger became necessary in order to capture the cement industry in Nigeria. The company said its shareholders will receive shares of Obu Cement in the ratio stated in the respective Scheme Documents.
“The boards of Cement Company of Northern Nigeria Plc (CCNN) and Obu Cement Company Plc (Obu Cement) are exploring a merger of both entities (Proposed Merger) due to a joint aspiration to ensure that the enlarged company is well positioned to grow and expand in the Nigerian cement industry.
“The requisite pre-merger approvals have been obtained from the Federal Competition and Consumer Protection Commission (FCCPC) and the Securities and Exchange Commission (SEC), while a no-objection to the Proposed Merger has been obtained from the Nigerian Stock Exchange (The NSE).
“Furthermore, the order from the Federal High Court (FHC) to convene the separate Court-Ordered Meetings of CCNN and Obu Cement has been obtained.
“Shareholders and other stakeholders are further advised that under the terms and conditions of the Proposed Merger, all the assets, liabilities and undertakings of CCNN, including employees, real property and intellectual property rights, will be assumed by Obu Cement upon completion of the Proposed Merger. “The consideration to shareholders of CCNN will be ordinary shares of Obu Cement. Obu Cement will remain the surviving entity. Consequently, CCNN will be delisted from The NSE and Obu Cement will be listed on The NSE in its place.
“The share exchange ratio, as well as other terms and conditions of the Proposed Merger are provided in the respective Scheme Documents which will be dispatched to all shareholders of CCNN and Obu Cement. The respective Board of Directors recommend the Proposed Merger to shareholders and will be seeking their support and approval at the respective Court-Ordered Meetings.
“The completion of the Proposed Merger is subject to the approval of the respective shareholders of CCNN and Obu Cement and the final regulatory approvals from the SEC, the FCCPC, The NSE, Federal Inland Revenue Service, as well as the sanction by the FHC.
“Further developments will be communicated to shareholders and other stakeholders in due course,” the notice said.
By Dipo Olowookere
A total of 12.153 billion shares worth N176.058 billion exchanged hands in 224,146 deals last week on the floor of the Nigerian Exchange (NGX) Limited compared with the 5.359 billion shares valued at N139.053 billion traded in 261,869 deals in the preceding week.
The surge in activity level was triggered by large-ticket transactions in Fortis Global Insurance, Cornerstone Insurance, and Consolidated Hallmark, accounting for 9.488 billion shares worth N36.219 billion in 1,781 deals, contributing 78.07 per cent and 20.57 per cent to the total equity turnover volume and value, respectively.
Analysis showed that the Financial Services space accounted for 11.212 billion shares valued at N88.991 billion in 102,246 deals, contributing 92.25 per cent and 50.55 per cent to the total trading volume and value, respectively.
The ICT sector traded 246.127 million shares worth N51.605 billion in 27,169 deals, and the Services industry transacted 198.195 million shares worth N1.995 billion in 13,747 deals.
In the week, 26 equities gained weight as in the previous week, while 59 equities shed weight versus 63 equities a week earlier, and 62 equities remained unchanged versus 58 equities in the previous week.
Trans-Nationwide Express chalked up 32.09 per cent to trade at N2.84, International Energy Insurance rose by 31.68 per cent to N5.32, Sovereign Trust Insurance expanded by 13.77 per cent to N1.90, Chams grew by 12.25 per cent to N4.58, and CWG increased by 9.74 per cent to N21.40.
On the flip side, AVA Capital lost 34.55 per cent to close at N7.20, Unilever Nigeria declined by 18.94 per cent to N118.30, Zichis depreciated by 15.08 per cent to N18.30, Thomas Wyatt slipped by 14.33 per cent to N2.75, and Dangote Sugar weakened by 11.58 per cent to N64.55.
Business Post reports that Customs Street was under selling pressure last week, depleting the All-Share Index (ASI) by 1.20 per cent to 242,619.20 points and cutting the market capitalisation by 1.19 per cent to N156.624 trillion.
In the same vein, all other indices finished lower while the sovereign bond index was flat.
By Aduragbemi Omiyale
FGN bonds worth N1.1 trillion would be offered for sale to investors by the Debt Management Office (DMO) today, Monday, August 17, 2026.
The debt instruments would be sold through a primary market auction in three tenors: 10, 15, and 20 years. They are all re-opening notes, meaning they have been issued before and do not have the full term.
According to a circular from the debt office,
Business Post reports that the DMO is selling N250 billion worth of the 10-year note with a coupon of 22.60 per cent, while the N750 billion worth of the 15-year paper with a coupon of 15.45 per cent is to be auctioned, and N100 billion worth of the 20-year instrument with a coupon of 16.2499 per cent is on sale today.
To subscribe to the bonds, investors are required to pay N1,000 per unit, subject to a minimum subscription of N50 million and in multiples of N1,000 thereafter. The notes can be purchased through primary dealer market makers, which are the main commercial banks and others.
It was stated that successful bidders will pay a price corresponding to the yield-to-maturity bid that clears the volume being auctioned, plus any accrued interest on the instrument because the papers are reopening, as their coupons (interest) are already set.
Bondholders will receive their interest payment twice a year, with the bullet repayment on the maturity date.
The FGN bond qualifies as securities in which trustees can invest under the Trustee Investment Act. It also qualifies as government securities for tax exemption and can be used as liquid assets for liquidity ratio calculation for banks.
After the exercise today, the bond will be listed on the Nigerian Exchange (NGX) Limited and the FMDQ Securities Exchange to allow for trading in the secondary market, where it can be liquidated before maturity.
The FGN bonds are backed by the full faith and credit of the Federal Government of Nigeria and are charged upon the general assets of Nigeria.
By Aduragbemi Omiyale
Analysts at Coronation Asset Management have predicted that the July 2026 inflation rate should come at 15.80 per cent, lower than the 15.91 per cent recorded in June 2026.
The National Bureau of Statistics (NBS) is expected to release the actual rate today, Monday, August 17.
Coronation explained that it projected a pullback in the rate because of “three primary forces: a fresh energy price shock stemming from renewed Strait of Hormuz hostilities and a domestic refinery pricing disruption, seasonal harvest-related relief on food prices, and continued relative exchange rate stability.”
The organisation noted that the disinflation trend in the first half of the year remained last month, with the fuel price shock denting the pace of improvement rather than reversing it.
Regarding energy prices, Coronation reported that prices were stable in July, although this coincided with Dangote Refinery’s brief switch to dollar-denominated PMS pricing between July 13 and 22, which sharply reset ex-depot prices higher before naira-based sales resumed at N1,215 per litre following government intervention.
As for the exchange rate, it was also stable last month between N1,362/$1 and N1,383/$1 at the official market.
However, Coronation stressed that the month-on-month inflation may stay marginally firmer into August as the fuel price shock continues to pass through transport, logistics and services pricing, before the year-on-year rate resumes a steadier easing bias in September–October, conditional on Hormuz tensions not escalating further and Dangote Refinery maintaining naira-based pricing.
But it warned that a renewed dollar-pricing episode or a sustained Brent move above $95 per barrel would risk pushing the year-on-year print back toward 16.5 per cent to 17.0 per cent, while a durable de-escalation could see it drift toward 15.0 per cent to 15.3 per cent by October.
“For policy determination, this reinforces our view that the resumption of MPC rate cuts is unlikely before Q4 2026 at the earliest. The MPR has held at 26.50 per cent since February, and we expect the committee to maintain that stance through its next meeting, with any easing conditional on both core inflation turning over and energy-driven cost pressures visibly fading.
“We continue to favour the front end of the curve (1Y T-Bills) over 5–10-year bond instruments, where investors positioning for an early start to a sustained easing cycle may need to defer that thesis further,” their analysts stated.
