Business News
Alert: These stocks have been placed on full suspension for non-compliance
The Nigerian Stock Exchange (NSE) yesterday placed the shares of the following companies on full suspension.
1) African Alliance Insurance Plc
2) Cornerstone Insurance Plc
3) R. T. Briscoe Plc
4) Royal Exchange Plc
5) STACO Insurance Plc
6) Standard Alliance Insurance Plc
7) Universal Insurance Company Plc
8) Veritas Kapital Assurance Plc
The NSE also stated that the suspension would only be lifted upon the submission of relevant accounts, which complied with all applicable rules of the Exchange.
Full suspension means there will be no trading in the company’s shares, and their share prices will be frozen.
Usual suspects abound
Some of the suspended firms are perennial offenders. African Alliance Insurance has been suspended several times in the last few years.
An X compliance report released in April this year, revealed the company was fined N46.1 million in 2017. The company in July 2013 was among several firms fined by the NSE for late submission of their audited results.
In July 2017, the company once more fell under the NSE hammer as it was suspended for non-submission of its audited results. It blamed the delay in the submission of results on a delay by a foreign subsidiary, which was yet to release its results.
Signs of a deeper issue
The non-release of their results are a sign some of the companies are struggling. Most recent results by R.T Briscoe for the 9 months ended September 2017 show the firm made a loss after tax of N1.7 billion.
The company also has negative retained earnings of N8.5 billion and negative cash flow. In essence, it is surviving on bank loans.
African Alliance Insurance ‘s most recent results for the 9 months ended September 2017 show it made a loss after tax of N2.1 billion and negative retained earnings of N24.8 billion.
Universal Insurance, a sister company to African Alliance has also performed poorly. The company made a loss after tax of N237 million for the half year ended June 2017. Universal also has negative retained earnings of N2.9 billion as at June 2017.
African Alliance Plc was incorporated as a private limited liability company in 1960. The company became a Public Liability Company following the successful completion of a private placement exercise in June 2008.
Investors are perhaps better off avoiding these companies pending when their suspension is lifted and they publish their most recent results. Being suspended also means you cannot purchase their stock and can’t sell either.
Economy & Politics
Lagos to shut down Marine Beach bridge for emergency repairs
The closure will allow the Federal Ministry of Works to carry out emergency repairs on the bridge, in line with the government’s vision of providing a better transportation system in the state.
Lagos state government has announced that the Apapa Marine Beach bridge will be closed for five months, from Wednesday 27th May, to Wednesday 21st October, 2020.
The closure will allow the Federal Ministry of Works to carry out emergency repairs on the bridge, in line with the government’s vision of providing a better transportation system in the state.
In a statement from the Lagos state Ministry of Transportation, the Commissioner, Dr. Frederic Oladeinde, noted that the repairs were long overdue, and necessary to ensure safety of Lagosians, given the number of motorists that use the route.
READ MORE: Nigerians knock Fashola over comments on “bad roads”
The Commissioner noted that the repairs included bearing and expansion joint replacement and would be executed in two phases, taking one lane of the bridge at a time.
“The first phase will involve handling the lane inbound Apapa while the second phase will be designated to work on the lane that conveys vehicles outside the axis,” he said.
Alternative routes
Oladeinde noted that alternative routes around the bridge had been improved to make them motorable, and ease movements for road users.
READ ALSO: Osinbajo sets up committee on reopening of Nigerian economy, suspends loan deductions for states
To manage the construction period, the statement noted that Traffic Management Authorities would be hard at work to ameliorate the expected traffic issues and supervise other arrangements.
“Motorists inwards Wharf road will be diverted to the other section of the bridge outwards Apapa, a contraflow of 200metres has been put in place for vehicles to realign with a proper direction inwards Ajegunle or Wharf road, Apapa, while Motorists descending to Total Gas under bridge will drive without any hindrance,” it read.
The Commissioner called for the understanding and cooperation of motorists and road users during the period to ensure a smooth flow of plans.
Economy & Politics
Fayemi set to activate digital economy with N5billion broadband infrastructure
Governor Fayemi plans to activate Ekiti state’s digital economy, this would help generate healthy competition within the ICT sector
Ekiti state government has concluded plans to create a digital hub, with the laying of a 606-kilometer broadband infrastructure.
The project is expected to lift the state from 16% internet penetration to 90% and is estimated to be worth N5 billion, with the Federal Government contributing N1.1 billion of the total sum.
Digital economy: Ekiti to lay 606km broadband infrastructure – https://t.co/Ot67wFn6yL pic.twitter.com/ligXcgeQDM
— Government of Ekiti State (@ekitistategov) May 24, 2020
This plan is part of the memorandum of Understanding (MoU) which the state Governor signed with O’odua Infraco Resources Limited, a consortium that develops high speed and efficient Fibre Optic Cable (FOC) Open Access Network (OAN) across the South-West region of Nigeria.
According to the Managing Director of O’odua Infraco Resources Limited, Mr Sammy Adigun, the project will be officially flagged off in October and completed within 14 months.
(READ MORE: What Nigeria stands to gain from new National Broadband Plan)
This decision is a follow-up to the recent crash of Right of Way charges from N4,500 to N145 per meter for broadband infrastructure, and in line with one of the five pillars of Governor Kayode Fayemi’s development plan for Ekiti state.
The Governor noted that these decisions would help generate healthy competition within the ICT sector, thus activating Ekiti state’s digital economy and digital education.
Fayemi noted that the project execution, as well as the broadband policy in the state would be coordinated and supervised by a Digital Infrastructural Committee, made up of various relevant government institutions critical to the implementation of the project.
READ MORE: NCC, Infracos to boost broadband infrastructure with N265 billion
“For us the roadmap is first the fibre connectivity itself, the second is the adequate data center infrastructure, the third is the e-learning programme which will cover our educational institutions, then our safe city, our security programme will also be included.
“With our geographical land information system (GIS), we would digitalize all our land records, and of course, commercial investment as well as digitalisation of our government assets and our health education initiative,” Fayemi explained.
Economy & Politics
NCC reacts to claims that minister chased Diaspora Commission’s staff from office complex
The NCC denies claims of the video on social media, pointing out that the staffs of NIDCOM were not sent packing from the digital economy complex
The Nigerian Communications Commission (NCC) has reacted to claims by the Chief Executive of Nigeria Diaspora Commission (NIDCOM), Abike Dabiri-Erewa, that her staff members were chased out of its premises by armed men on the orders of the Minister for Communication and Digital Economy, Isa Pantami.
The NCC, through a press statement on May 24, 2020 signed by its Director, Public Affairs, Dr. Henry Nkemadu, has said that nothing of such happened as it denied claims in a video making rounds on social media that the staff of NIDCOM were sent packing from the digital economy complex.
According to the press statement from NCC:
“Following the completion of the NCC building at Mbora, Abuja designated as NCC Annex and the acute shortage of accommodation space for the staff of the commission in the NCC head office at Maitama, Abuja, the Board of the commission directed the decongestion of the Head office building. Some of the departments of the NCC had started moving to the new office complex of 5 floors when discussions were held between the NCC and the Diaspora Commission to enable the Diaspora Commission also utilize any free offices within the complex.
“The fifth floor allocated to them had to be used to accommodate other departments from the NCC headquarters to ease the congestion. NCC’s offer to house the Nigeria Diaspora Commission was predicated on the long held position of the NCC that agencies of government will achieve more through strategic collaboration, partnership, synergy and sharing to the extent allowed by relevant laws.”
(READ MORE: PenCom dissolves interim management committee for First Guarantee Pension, appoints new board)
NCC disclosed that it had secured approval for the commissioning of the office complex by President Buhari, and also the launching of 4 important projects of NCC, together with the renamed Ministry of Federal Ministry of Communication and Digital Economy.
It also stated that the offer to NIDCOM had not been withdrawn, but had only hit a bump arising from the preparation for the visit of President Buhari to launch the projects and inaugurate the complex. It said that the Board and Management of NCC took a decision to ensure that every activity in the building was in line with the Federal Government’s agenda.
Going further, the statement reads:
“Incidentally, after the offer of the office spaces to the Diaspora Commission, the Director General, Mrs. Abike Dabiri-Erewa had not visited the complex to take possession of any of the offices and also the commission had not started using any of these spaces as offices.
‘’As is usual in ensuring security and accountability before, during and after presidential visits, the building had to be cleared to allow for only known and identifiable persons to have access within the complex. Therefore, the Honourable Minister of the Federal Ministry of Communications and Digital Economy Dr. Isa Ali Ibrahim Pantami could not have sent armed men to drive the staff of the Diaspora Commission out of the Communication Economy Complex.”
As with every path to success challenges are bond to surface what have been the major challenges since the establishment of the Nigerians in Diaspora Commission – Hon. Abike Dabiri-Erewa, Chairman/CEO of Nigerians in Diaspora Commission. pic.twitter.com/x2yp5CDGs0
— CBN Gov Akinsola Ak🇳🇬 (@cbngov_akin1) May 23, 2020
The statement also pointed out that as at that time, only NCC staff were accredited to have access within the premises and that all properties belonging to NIDCOM were safely warehoused in some of the offices within the complex.
