Economy
Otedola Joins FBN Holdings Board, as Shareholders Okay N150bn Capital Raise
By Adedapo Adesanya
After much tussling, FBN Holdings Plc has held its 11th Annual General Meeting (AGM) with a considerable number of shareholders approving the payment of a 50 Kobo dividend and the raising of N150 billion in capital through a rights issue.
The yearly gathering was held virtually and coordinated by the Chairman of FBN Holdings Plc, Mr Ahmad Abdullahi.
At the meeting held on Tuesday, August 15, 2023, shareholders elected Mr Femi Otedola and Mr Samson Oyewale Ariyibi into the board of the group.
Speaking at the event, Mrs Bisi Bakare, a shareholder, commended the board and management of FBN Holdings Plc for paying a 50 Kobo dividend to shareholders.
She also welcomed the new board members, especially Mr Otedola, and made a case for an improvement in the gender diversity of the board and management.
She also lauded the Financial Holding Company for significantly increasing its gross earnings in the 2022 financial year.
The external auditor KPMG, represented by Mr Kabir Okunlola, stated that the financials of FBN Holdings Plc, as of December 31, 2022, represented a true and fair view of the company’s separate and consolidated financial position.
Mr Umar Farouk, the Chairman of the Statutory Audit Committee, in his statement, said the internal control mechanism was effectively monitored, and there was clear satisfaction with the level of insider-related parties’ compliance with the regulatory provisions of the Central Bank of Nigeria.
He also commended FBN Holdings Plc for its impressive H1, 2023 financial result and called for a hybrid format for future AGMs.
He also asked how the planned capital raising of N150 billion will reposition the financial holding company to be more viable and increase dividend payments in the future.
In his remarks, Mr Patrick Ajudua, a shareholder, expressed delight that First Bank, a subsidiary of FBN Holdings Plc, increased its customer base from 36 million to 41 million in the year 2022.
He also acknowledged that the bank’s non-performing loans dropped from 6.1 per cent to 4.3 per cent and commended the board for the dividend of 50 kobo.
Responding to observations and questions from the shareholders, Mr Nnamdi Okonkwo, the Group Managing Director of FBN Holdings Plc, said the Holdco had a track record in dividend payment and has been increasing it over the years.
He assured FBN Holdings Plc was committed to meeting the 35 per cent affirmative action for gender inclusion in the board and management. In the area of service delivery, he said the financial group has developed customer service improvement projects that will create value by leveraging innovation and technology.
Speaking on the N150 billion capital raise, the GMD said, “We are raising capital to brace up for the Basel III requirement, strengthen our balance sheet position, take advantage of business opportunities that can bring more profit and build a strong capital base.”
Business Post gathered that about 1,679 out of 1,700 shareholders voted to approve the N150 billion FBN Holdings Plc capital raising, which is 98.76 per cent of the votes counted.
Similarly, a total of 1,684 shareholders of the 1,702, which is 98.94 per cent, voted in favour of the resolution to approve the 50 Kobo dividend payment.
By Adedapo Adesanya
Central Securities Clearing System (CSCS) Plc kept the NASD Over-the-Counter (OTC) Securities Exchange in the green territory by 0.04 per cent on Friday, July 16.
The securities depository company added N2.50 to its share price to settle at N95.14 per unit from the preceding session’s N92.64 per unit.
However, FrieslandCampina Wamco Nigeria Plc slid during the session by N5.85 to N141.81 per share from N147.66 per share.
But when the bourse closed for the day, the market capitalisation increased by N1.08 billion to N2.593 trillion from N2.592 trillion, while the NASD Security Index (NSI) appreciated by 1.80 points to 4,320.67 points from 4,318.87 points.
During the session, the value of securities slid by 38.9 per cent to N63.5 million from N104.1 million, the volume of securities went down by 34.5 per cent to 1.2 million units from 4.8 million units, and the number of deals declined by 15.4 per cent to 33 deals from 39 deals.
Great Nigeria Insurance (GNI) Plc was the most traded stock by value on a year-to-date basis, with 3.4 billion units valued at N8.4 billion, followed by Infrastructure Credit Guarantee (Infracredit) Plc with 2.3 billion units worth N6.5 billion, and CSCS Plc with 75.4 million units traded for N5.3 billion.
GNI Plc also ended the day as the most traded stock by volume on a year-to-date basis, with 3.4 billion units exchanged for N8.4 billion, followed by Infracredit Plc with 2.3 billion units sold for N6.5 billion, and Resourcery Plc with 1.1 billion units transacted for N415.7 million.
By Dipo Olowookere
The bulls regained control of the Nigerian Exchange (NGX) Limited on Friday after surrendering power to the bears a day earlier as a result of mild selling pressure.
Yesterday, the Nigerian bourse rebounded by 0.54 per cent, mainly due to the gains recorded by First Holdco and others.
Data harvested by Business Post indicated that the industrial goods and energy sectors were flat, while the banking index chalked up 3.13 per cent. The insurance space expanded by 1.08 per cent, and the consumer goods counter rose by 0.21 per cent.
Consequently, the All-Share Index (ASI) went up by 1,316.52 points to 243,462.13 points from 242,145.61 points, and the market capitalisation grew by N850 billion to N157.057 trillion from N156.207 trillion.
The market breadth index was bullish during the last trading session of this week, printing 31 appreciating stocks and 23 depreciating stocks, representing strong investor sentiment.
First Holdco led the advancers’ log after it climbed 9.97 per cent to N95.95, Haldane McCall appreciated by 9.94 per cent to N3.65, LivingTrust Mortgage Bank soared by 9.73 per cent to N3.72, LASACO Assurance jumped by 5.26 per cent to N2.00, and Thomas Wyatt gained 5.10 per cent to quote at N3.09.
On the flip side, Red Star Express declined by 9.50 per cent to N20.00, Omatek slipped by 6.08 per cent to N1.70, C&I Leasing shrank by 5.93 per cent to N5.55, Jaiz Bank crashed by 5.03 per cent to N8.50, and Livestock Feed fell by 3.89 per cent to N8.65.
As for the activity chart, market participants bought and sold 685.9 million equities for N42.7 billion in 44,134 deals on Friday versus the 498.5 million equities worth N34.9 billion traded in 39,484 deals on Thursday, implying a rise in the trading volume, value, and number of deals by 37.59 per cent, 22.35 per cent, and 11.78 per cent, respectively.
Investors’ darling for the day was First Holdco, with a turnover of 225.9 billion units valued at N21.0 billion, Guinea Insurance sold 53.4 million units for N45.2 million, Zenith Bank traded 41.5 million units worth N4.7 billion, Access Holdings exchanged 29.1 million units valued at N720.6 million, and UBA exchanged 27.5 million units for N1.2 billion.
By Modupe Gbadeyanka
The Africa Association of Professional Freight Forwarders and Logistics of Nigeria (APFFLON) has appealed to the Nigeria Customs Service (NCS) to deepen its sensitisation on the newly introduced Green Tax Surcharge Policy.
The chairman of APFFLON, Mr Akeem Ayobiojo, made this plea on behalf of his colleagues on Tuesday, July 14, 2026, at the Customs House in Abuja, during a stakeholders’ engagement with the agency.
He also called for improvements in the administration of Pre-Arrival Assessment Reports and Post Clearance Audit and the African Continental Free Trade Area (AfCFTA).
Mr Ayobiojo stated that freight forwarders were happy to work with the customs, commending the organisation for implementing Chapter 99, describing it as a major relief for manufacturers.
He, however, emphasised that a deeper understanding of the new tax was necessary for his members, saying more predictable procedures would reduce delays and unexpected costs for importers and freight forwarders.
In his remarks, the Comptroller-General of Customs, Mr Adewale Adeniyi, assured manufacturers, freight forwarders and other players in the nation’s trade sector that the NCS would continue to engage them on fiscal policies affecting their businesses, saying sustained dialogue remains key to resolving implementation challenges and improving the country’s trading environment.
He also promised them the service’s resolve to enhance and facilitate trade, acknowledging that, “Your feedback is important because it helps us understand what is happening in the field, and where necessary, we will take your concerns to the Federal Ministry of Finance and other relevant government institutions.”
Speaking about Authorised Economic Operator (AEO), Mr Adeniyi further explained that Nigeria would not lower the standards required under the Authorised Economic Operator Programme as the initiative is guided by global benchmarks established by the World Customs Organisation (WCO).
On her part, the Deputy Comptroller-General of Customs for Tariff and Trade, Ms Caroline Niagwan, clarified that electric vehicles can be imported without payment of duty only by holders of Import Duty Exemption Certificate (IDEC) issued by the Federal Ministry of Finance.
She also urged importers facing classification disputes to take advantage of the Advance Ruling system, noting, “Once an Advance Ruling is issued based on genuine documentation, importers have certainty on classification, valuation or origin before the goods arrive, thereby reducing unnecessary disputes during clearance.”
