Profiles
CEOs of some NSE companies that may declare losses for 2018 (Part 1)
It is the dream of every shareholder to earn dividends at the end of every financial year. In fact, the whole essence of investing is to earn returns on investments.
It is the dream of every shareholder to earn dividends at the end of every financial year. In fact, the whole essence of investing is to earn returns on investments. But sometimes, it becomes impossible for shareholders to receive dividends, especially so whenever companies run at a loss. After all, it is from earned profits that dividends are paid.
We are currently at the peak of the audit period, when companies disclose their financial statements for the previous year. And as the results continue to pour in, millions of shareholders are hopeful for the best. Unfortunately, some of these shareholders would not be getting any dividend this year. The reason is simple – the companies they have invested in might be declaring losses instead of profits.
Seeing as the typical Chief Executive Officer is the poster child of the company he or she leads, it is only apt that this article focuses on them and how their leadership styles, more or less, failed to produce the desired results for investors. Today is Tuesday, which means that it’s time for CEO profile. So, here are your CEOs of the week.
Mrs Rose Okwechime, the CEO of Abbey Mortgage Bank Plc
Appointed in 1992, Mrs Okwechime has been the Managing Director/Chief Executive Officer of Abbey Mortgage Bank Plc for nearly thirty years. And inasmuch as she must have done well for the company over these years, available figures suggest that the company might run at a loss when it finally announces its 2018 result.
According to the company’s unaudited financial report for the third quarter ended September 30th, it recorded a gross earning of N982.4 million, as against N1 billion worth of revenue that was generated during the comparable period in 2017. In the same vein, the company recorded a 294.17% loss after tax of N95.7 million. It had made a profit tax of N49.2 in Q3 2017.
Based on the foregoing, the chances that the company could avoid a 2018 loss depends entirely on if it had performed incredibly well during the last three months of the year.
Regardless, it is important to note that Mrs Okwechime is an experienced professional with many years of experience. For almost a decade, she worked at the Bank of England as a cost analyst, after which she went ahead to work in a number of other companies, including Deltic Energy Limited, and Africa International Bank. Mrs Okwechime currently sits on the board of United Bank for Africa as a Non-Executive Director.
She is an alumnus of the Ogun State University, where she graduated with an MBA degree in banking and Finance in 2000. She also studied Business Programmes at the International Institute for Management Development.
Mrs Abosede Ayeni, the Chief Executive Officer of Tantalizers Plc
Much like Abbey Mortgage Bank Plc, Tantalisers Plc is expected to declare a loss for the year ended December 31st, 2018. And when this happens, Mrs Ayeni will be the woman many investors would be looking to for some explanations. After all, she is the person in charge.
Unaudited results so far released by the fast food company shows that though it recorded a total revenue of about N1.1 billion for Q3 2018, it ran at a loss of N213.5 million as against a profit after tax of N760 million during the same period in 2017. Based on these, the possibility of a full year loss abounds.
Mrs Abosede Ayeni is the founder and current Chief Executive Officer of Tantalizers Plc. She is an alumnus of the University of Ife, graduating in 1979 with a B.A in Language Arts. In 2006, she bagged a Master’s in Business Administration (MBA) degree from the Pan African University. Prior to starting Tantalizers in 1997, she worked in Lever Brothers Nigeria Limited, and Senkay Nigeria Limited.
Chief Suresh Murli Chellaram, the CEO of Chellaram Plc
All things being equal, Chellarams Plc will declare a loss after tax at the end of its 2018 financial year which will end in March this year. So far, the conglomerate’s third quarter 2018 financial report shows that though it generated some N3.3 billion worth of revenue, its profits are in the negative. As a result, it reported a loss after tax of N1.1 billion. The loss, most likely, might continue till the end of the financial year unless something drastic happens between now and March ending.
The company’s Chief Executive Officer is Mr Suresh Murli Chellaram. He studied at the University of California, graduating in 1976 with a degree in Business Administration.
His professional career spans decades as a top executive in the company. First, he headed Chellarams Group USA until 1984 and later joined Chellarams Nigeria Plc. He was appointed as the company’s Managing Director in 1989. He has since played a major role towards the transformation of the company.
Asides being successful in boardrooms, Mr Chellaram is also a philanthropist who is affiliated with quite a number of charities in Nigeria and elsewhere. He has also been involved in the Nigeria Economic Summit Group, the Young Presidents Organisation, etc.
The CEO of Austin Laz & Company Plc
According to its recently disclosed financial report for the period ended September 30th, only a total revenue of N297.1 million was recorded for Austin Las & Company Plc. The company also recorded a loss after tax of N25.3 million. This puts it in the list of companies Nairametrics expects to report overall loss for full-year 2018 – except, of course, something unexpected happens along the line.
The company’s CEO is Dr Austin Lazarus Ashinmonye, who has been occupying the position since 1982. Available information says that he is an accomplished engineer who designed/invented the first ice block making machine in Nigeria.
To be continued…
Profiles
Jimoh Ibrahim: The successes and controversies of a billionaire entrepreneur
With investments in several sectors, Jimoh Ibrahim has had his own fair share of wins and loses.
One Nigerian businessman who has recently found himself faced with a series of controversies is Barrister Jimoh Ibrahim. An astute investor with interests in the oil and gas, hospitality, aviation, banking, real estate, insurance, publishing and the media industry. Ibrahim recently had a bulk of his assets seized by the Asset Management Corporation of Nigeria (AMCON) over a N69.4 billion debt.
Though his assets are said to run into millions of dollars, everyone is looking to see how the 53-year-old businessman will pull through this major dip. Barrister Jimoh Ibrahim is Nairametrics founder of the week.
READ: AMCON debt could rise to N6.6 trillion by 2024 – Expert
Education
A native of Okitipupa in present-day Ondo State, Ibrahim was born on the 24th of February 1967 to Alhaji Yakubu and his wife, Omofemiwa Jimoh. The family was a big one with his father having seven wives and several children.
Ibrahim started schooling at Igbotako and finished his secondary school at Saint John’s School before proceeding to bag his Law degree and then, Masters in Public Administration (MPA) at Obafemi Awolowo University in Ile-Ife (now in Osun State). He then headed for Harvard University in Cambridge, Massachusetts, USA for a combined Master of Laws & International Taxation (LLM/IT).
Ibrahim earned an Executive Master of Business Administration (EMBA) degree at the University of Cambridge Judge Business School and a Master of Science in Programme Management at Saïd Business School, University of Oxford.
He attended various executive education programmes including the University of Cambridge Advanced Leadership Programme (ALP), University of Oxford Negotiation Programme, University of Oxford Advanced Leadership and Management programme, Harvard Business School Senior Executive Leadership Program for the Middle East and the University of Cambridge programme on How to Lead Successful Projects. Ibrahim also attends the guest category of the annual meeting of the World Bank/IMF.
READ: Oba Otudeko: A self-made billionaire entrepreneur
Early business and career moves
Ibrahim picked an early interest in making money out of his knowledge, even as an undergraduate. He first observed that only the federal and state governments had laws, and so proposed organising law seminars across local governments in Nigeria, to teach them how to make their own laws. Simple as this might have seemed, he made quite some money from it. He also made some money from organising workshops for top government officials.
One might imagine what the young man was thinking as an undergraduate, but it was clear to him even at that age that he did not have to wait till he left school to make money. He also used his fathers’ bricklaying materials to execute some small scale contracts which he secured.
Ibrahim always had his eyes prowling in search of opportunities. When it came to his notice that the federal government was having challenges recovering its withholding tax from multinational oil companies, he sent in a proposal on how he could help recover the funds. He executed the proposal to the letter, recovering billions of naira for the government and earning himself a fortune as well.
In his capacity as a tax professional, he also worked with the International Monetary Fund (IMF) and was a part of the Harvard team that backed the tax reforms in Bangladesh.
The full-fledged entrepreneur
As a businessman, Jimoh Ibrahim is known to have interests in key business outfits across several sectors and uses the Global Fleet Group, where he sits as chairman and chief executive officer, as the umbrella company for his investments. Global Fleet is now a diversified conglomerate with presence in several countries.
He started out the Global Fleet Oil and Gas in 2004 as a petroleum marketing company. The company did not focus on setting up fuel stations, but instead set out to buy out other fuel stations. Within a year, they bought about 150 stations and started averaging about $1 million daily in oil and gas sales. Since then, the company has acquired more fuel stations.
Ibrahim founded Energy Commercial Bank, Accra, Ghana in 2009 and it is considered an arm of the Energy Group, one of the largest Africa conglomerates with diversified interest in banking and financial investment. The Group also acquired 100% of the Oceanic Bank (STP) in June 2011, changing its name to Energy Bank Sao Tome & Principe (STP) and making it another arm of the Energy Group and a subsidiary of the Global Fleet Group.
Air Nigeria was established in 2010 as Virgin Nigeria, with Ibrahim as a major shareholder. Ibrahim is also the Group Managing Director of NICON Insurance and one of its subsidiaries, Nigeria Reinsurance Corporation in Lagos state.
In the hospitality industry, Ibrahim acquired the former Le Meridian Hotels in 2003 and changed its name to NICON Luxury Hotel.
Ibrahim is also the owner of Global Media Mirror, publishers of the National Mirror, and has acquired 51% of Newswatch Communication Limited to give him a substantial stake in Nigeria’s media industry.
Ibrahim served as the Chairman of the board of the Corporate Affairs Commission (CAC) in Nigeria, from April 2009 to December 2012. It was quite a turbulent tenure that saw the CAC workers embarking on industrial action in May 2011 to push for his removal.
In 2011, he was also appointed the Honorary Consul of Sao Tome and Principe to the Federal Republic of Nigeria.
The controversial loan and seizure of assets
On November 4 2020, a federal high court sitting in Lagos granted an interim order allowing the Asset Management Corporation of Nigeria (AMCON) to take possession of twelve prime assets belonging to Barrister Ibrahim and freeze all accounts belonging to him and his companies over a N69.4 billion debt.
In compliance with the court order, AMCON took possession of all the assets through its Debt Recovery Agent – Pinheiro Legal Partner, and also took shares belonging to Ibrahim and his two companies as domiciled in Nigerian Re-Insurance Company Plc, NICON Insurance Company Plc, Nigeria Stockbrokers Limited (NSL) and NICON Trustees Limited.
READ: AMCON sets to publish names of prominent Nigerians owing N5 trillion
The properties affected include the building of NICON Investment Limited at Plot 242, Muhammadu Buhari Way, Central Business District, Abuja; NICON Hotels Limited building at Plot 557, Port-Harcourt Crescent, off Gimbiya Street, Abuja; the building of NICON Lekki Limited also at No. 5, Customs Street, Lagos; the building of Abuja International Hotels Limited located at No. 3, Hospital Road, Lagos; as well as a property at Plot 242, Muhammadu Buhari Way, Abuja.
The former Allied Bank Building on Mile 2, Oshodi ExpressWay, Apapa Road, Lagos; Energy House located on No. 94, Awolowo Road, Ikoyi, Lagos; NICON Building at No. 40, Madeira Street, Maitama, Abuja; a Residential Apartment at Road 2, House A14, Victoria Garden City, Lagos; NICON Hotels Building at Plot 3, Road 3, Victoria Garden City, Lagos as well as the NICON Luxury Hotel’s Building, Garki I, FCT, Abuja were also affected.
Ibrahim and his companies sued to recover the seized assets on grounds of “non-disclosure and misrepresentation of material facts” requesting an indemnity of N50 billion from AMCON, but the Federal High Court declined his application, upholding the subsisting order.
The case between Barrister Jimoh Ibrahim and AMCON has been a longstanding one dating as far back as 2016. The loan was one of the 393 loans AMCON purchased from Union Bank of Nigeria plc during the first phase of Eligible Bank Assets (EBA) purchases. Since then, attempts made to recover the loan have proved futile. AMCON also seized assets belonging to other debtors in the same year, taking advantage of the amended Act, which had been signed into law by President Muhammadu Buhari.
READ: NASS pledges support to AMCON on debt recovery
In his response to the asset seizure, Ibrahim had said there were no grounds for such an action since his organization already had over £220 million as bank deposit in Union Bank. “The order is discharged already as Union Bank is owing us £220 million that is over N150 billion; four times over what AMCON is claiming, so AMCON is pursuing nothing,” he said.
Another hearing has been fixed for March 9, and while AMCON pushes on with its moves, Ibrahim is clearly not going to give up without a fight.
Other interests and Honours
Jimoh Ibrahim has been conferred the honour of the Officer of the Order of the Federal Republic OFR, and Commander of the Order of the Federal Republic CFR. He has also received honorary doctorate degrees from the Obafemi Awolowo University, Ile Ife, Osun State; Covenant University, Ota, Ogun State, Ladoke Akintola University, Ogbomoso, Oyo State and the Ondo State University.
In 2003 and in 2016, Ibrahim attempted to become the governor of Ondo State, on the platform of the All Nigeria People’s Party (ANPP) and the People’s Democratic Party (PDP) respectively but was not successful. He has authored three books.
Profiles
Iyinoluwa Aboyeji is redefining the future of startup investments
After founding several start-ups, Aboyeji now manages Future Africa as General Partner of the company.
It is no longer news that young people especially under 30 entrepreneurs are tackling the world’s biggest challenges with innovative creations. They create companies and organizations aimed at solving the problems confronting society today.
Among them is Iyinoluwa Aboyeji who is a young Nigerian entrepreneur and co-founder of Andela, an engineering and service business that helps companies to build remote teams quickly at a cost-effective rate.
Aboyeji is also the founder and former managing director of Flutterwave, a technology that uses digital payments infrastructure that assists banks and businesses to build seamless and secure payments for their customers.
READ: Andela launches Pan-African technology hub in Kigali for software developers across the continent
In March 2019, he founded Future Africa, an innovation fund that provides capital and coaching to innovators.
As a young boy, he was involved in lots of innovative creations and as such co-founded quite a number of companies. Among them was the Bookneto Inc. alongside Pierrie Alrs, a social learning platform for sharing and organizing learning resources within learning communities. It allowed users to manage course interactions and the ability to see questions, insights, and discussions on course material from students taking related courses at other schools.
In 2014, he met with Jeremy Johnson, a technology entrepreneur and enthusiast who shared the same passion and drive as him. They both started Andela, a company that invests in African software engineers to help companies solve the technical talent shortage and build high-performing distributed engineering teams.
READ: Iyinoluwa Aboyeji steps down as Flutterwave CEO
The rise of Andela attracted investments from both local and international investors. Aboyeji worked with Andela for two years after which he resigned and moved on to his next venture. Before he resigned, the company raised $24 million Series B funding from investors including Facebook’s Mark Zuckerberg and former US Vice President, Al Gore.
In 2016, Flutterwave was launched. Flutterwave is a platform that partners with businesses to process payments globally. It allows for payments to be made and accepted anywhere around the world on its integrated platform.
Aboyeji was the CEO of Flutterwave for two years before resigning in October 2018. Under his leadership as CEO, Flutterwave had become one of the fastest-growing payments technology business of all-time, attracting significant investments from Y Combinator, Greycroft, Greenvisor Capital, and Mastercard.
READ: Meet Omowale David-Ashiru, the first female Andela Nigeria Country Director
Flutterwave is currently valued at $150 million, and it is also Y Combinator’s most valuable startup in Africa.
He moved further to work as the Deputy Director-General on Oby Ezekwesili’s presidential campaign from 2018 to February 2019.
In March 2019, Aboyeji founded Future Africa and became a General Partner of the company. Future Africa is a platform for providing capital, coaching, and community to innovators and entrepreneurs looking to solve problems throughout the continent.
Some of the start-ups in their portfolio include; Lori Systems, Andela, Flutterwave, Eden, MAX, and Kobo360.
Izev baker
February 19, 2019 at 10:17 am
In addition no where was “the leadership style” of the these CEO stated in the article contrary to the claim of the writer. So the question is what is really his agenda???
Izev baker.
February 19, 2019 at 10:21 am
I really don’t understand the basis of naming (and otherwise shaming) the CEOs of the various companies.
Yes these are public companies and are answerable to their shareholders. However, the way it is being reported is a bit amateurish and not professional. A loss can be as a result of external factors and uncontrollable variables. It can even be delibrdel and strategic with the intention of taking a pain now or restructuring to position for better returns in future.
It would be better if more objectivity was utilize in in composing this post….there was no information on the causes or reasons for the losses. Seems more like a very subjective piece crafted with the intention to malign individuals and blackmail corporates into paying for AD space and paid for promotional news.
This is a clear journalistic hacket job and tabloid style piece.
Nairametrics is far better than this.