- Sixteen firms have launched a bid to acquire 9mobile, Nigeria’s fourth largest network operator, according to ThisDay. In July, Etisalat Group told the Abu Dhabi Stock Exchange that it had pulled out of 9mobile, formerly known as Etisalat Nigeria. The telco had defaulted on a loan repayment scheme of $1.2 billion due to a consortium of 13 Nigerian banks, citing economic downturn and the resulting naira devaluation as the reason for their inability to repay. Companies that have tendered expressions of interest to Barclays include five telcos- MTN, Airtel, Ntel, Virgin Mobile from the United Kingdom and Vodacom of South Africa. Others are the BUA Group, Morning Side Capital Partners, Obot Etiebet & Co, Blackstone Private Equity, and Hamilton and George International.
- The NSE says it has partially lifted a suspension placed on shares belonging to oil services firm, Oando. In a notice signed by general counsel and head of regulation, Tinuade Awe, the bourse said shareholders can now trade their shares but the trading activity will not lead to a change in price. “Please be informed that effective today, Monday, October 23, 2017; the shares of Oando Plc have been placed on technical suspension. Thus, the shares will be available for trading but there will be no price movement while the technical suspension subsists,” a statement read. The regulator had suspended the company’s shares on 18 October, following a request from the Securities Exchange Commission based on the outcome of its investigation into possible breaches of the provisions of the Investments & Securities Act 2007, the SEC Code of Corporate Governance for Public Companies, suspected insider dealing, related party transactions not conducted at arm’s length, and discrepancies in the company’s shareholding structure. The following day, the Johannesburg Stock Exchange, where Oando is also listed, placed a ban on Oando citing the SEC note.
- The management of Evans Medical says Skye Bank and First Bank have taken over its assets. Adesua Akintemi, the company’s secretary, said the company had received a court order for its assets to be taken over as a result of a loan default. “Evans Medical Plc would like to announce that the company’s bankers (Skye Bank and First Bank of Nigeria) have served the company with an ex-parte order of the federal high court dated 4th July 2017, granting them the right to take over the company’s assets used as collateral against facilities granted to the company by its bankers due to loan default,” the statement read, adding that a receiver manager has also been appointed and has taken over the assets of the company. Akintemi said the company is negotiating with the banks to reach a favourable arrangement. The company, which started its Nigerian operations in 1954, is famous for its glucose product.
- Transcorp recorded ₦8.2 billion in group profit after tax, on the strength of an “improved and sustained production capacity” in their power operations, its financial results were released for Q3 2017 which ended 30 September reveal. According to a press statement, the company recorded a profit after tax of ₦8.2 billion for Q3 2017, a 158 percent YoY growth from a loss of ₦14.21 billion in Q3 2016. Transcorp’s gross profit improved from ₦19.84 billion in Q3 2016 to ₦25.62 billion, a 45 percent increase YoY in Q3 2017, along with an operating profit of ₦16.81 billion compared to ₦11.58 billion recorded in Q3 2016. Total revenue grew from ₦41.92 billion to ₦56.76 billion, signalling a 35 percent growth YoY in Q3 2017, with total comprehensive income standing at ₦10.1 billion compared to loss of ₦13.81 billion in Q3 2016. Company total assets increased to ₦287 billion, from ₦232 billion recorded in December 2016, while shareholders fund grew by ₦11 billion from ₦86 billion as at December 2016.