‘NSE’s dual listing scheme with LSE to boost capital formation, liquidity’

The Nigerian Stock Exchange (NSE) has announced that its dual listing between NSE and London Stock Exchange (LSE) would facilitate seamless cross-border access for the nation’s bourse, to ultimately drive deeper markets that enable capital formation for businesses, through creation of larger liquidity pools and greater competitiveness for Nigerian investors.

This synergy, according to the Chief Executive Officer of the NSE, Oscar Onyema, would enhance capacity and promote diversity of investment products to meet the needs of a wide range of investors and issuers.

Addressing participants during the second NSE/LSE conference held in Lagos yesterday, Onyema explained that as government grapples with the task of articulating a clear economic blue print for the short to midterm within which credible fiscal and monetary policies can emerge, the need to leverage and embrace the globalisation of economies and financial markets becomes clearer.

One of the things that Nigeria (and Africa) needs to sustain its growth, is a solid and vibrant capital market ecosystem that will attract investment and unlock the potential that exists in the economy, ” he said.

According to him, in order to position the nation’s capital market as the sustainable financial centre in West Africa, and for Africa, there was need to facilitate the drive for wealth creation for Nigeria, while providing the platform to which global savings can be channelled. We must use this opportunity to partner with each other, to enable us further unlock our growth potential, and advance the development of our financial and capital markets.”

He urged all stakeholders to create synergies that would unlock the growth potential and advance the development of the nation’s capital markets.

According to him, the first quarter of 2016 has been a wild ride for most economies and markets because asset prices collapsed during the period.

Onyema said that capital markets were critical to sustainability of growth and development in any economy.

He explained that Nigeria needed to sustain its growth through a vibrant capital market ecosystem that would attract investment and unlock the potential that exists in the economy.

Onyema added that capital markets increase the proportion of long-term savings that would be channelled to long-term investments.

He added that Nigeria remained top of mind on the African continent for investors in spite of the intricacies facing the economy and markets.

The Chief Executive Officer and Director of International Development, LSE Plc., Nikhil Rathi explained that London market attracts issuers all over the world that wants to access capital within the world.

“We have analysts that understands Africa and wants to invest in Africa market and that make a difference. Investors can be able to access capital quickly. We witness the highest capital raising last year.”

He explained that dual listing enables the market to target different ranges of investors, adding that it would also fast track the country’s SME’s growth.
Source:© Copyright Guardian Online

SEC recovers 1,662 investors share certificates from ACMCL

The Securities and Exchange Commission (SEC) has announced that it has recovered 1,662 share certificates from Alliance Capital Management Company Limited (ACMCL), urging the company's investors to come forward and claim their certificates.

Clients of ACMCL are also advised to visit the Commission's website for their names and thereafter visit the Commission's Head office or any of its zonal offices nearest to them to collect their certificates .

SEC had received about 250 complaints against ACMCL between June 2007 and March 2010, bothering on failure, refusal, and neglect to forward to Registrars, certificates received from Investors/Clients for verification and lodgment in the Central Securities Clearing System (CSCS).

The Commission conducted preliminary investigation and the matter was referred to the Administrative Proceedings Committee, which disqualified the Managing Director, Edward Koki from participating in the capital market for life in line with the Provisions of Rule 20 (B) of SEC Rules and Regulations 2007. The operator's license was also withdrawn by the Commission.

The Commission subsequently recovered the 1,662 share certificates belonging to various investors from the firm.
According to SEC, the collection period, which started from April 8, 2016, will lasts till July 8, 2016, which is exactly three months from the date of the announcement.

"Please you are advised to come with proof of ownership and a valid means of identification such as international passport, driver's license, national I.D card or permanent voter's card," SEC advises.

Source:© Copyright Guardian Online

Registrar explains shrinking of union bank’s shares

GTL registrar has provided explanation to some shareholders' complaints about the reduction in the number of shares they hold in Union Bank Plc. without their permission.

Specifically, some shareholders, led by one Mr. E.O. Orefuye, have complained to The Guardian's Capital Market Complaint/Feedback desk that the number of the shares they acquired in Union Bank Plc. were reduced and that they were not privy to the decision to reduce the number of their share holding in the bank.

For example, Orefuye said his own total units of more than 23,000 ordinary shares were shrunk to only 4,000 without justification.

Based on the complaints, The Guardian contacted GTL registrar, which handles Union Bank register of shareholders.An official of the firm, Mr. Olorunyomi Iwanefu said the decision to tamper with the number of shares each shareholder has in the bank was done after the statutory due process was strictly adhered to.

According to him, a court ordered meeting of Union Bank of Nigeria Plc's shareholders, which was held on September 30, 2011, deliberated on the issue of Union Bank's recapitalisation exercise, which was in line with the Central Bank of Nigeria's directive and the share capital of Union Bank of Nigeria Plc. was reconstructed at a ratio of 3:16 basis, that is 3 new shares for every 16 old shares held.

He said the total shareholding of the shareholder (Mr. E.O. Orefuye) on the records of GTL before the reconstruction was 22,064 units and after reconstruction, his current shareholding is 4,137 units of ordinary shares.

Iwanefu, while saying the transaction was done in line with the investment law in the country, advised any shareholder, who has complaints to feel free to contact them (registrars) for solutions to such complaints, adding that the Securities and Exchange Commission (SEC) and the Nigerian Stock Exchange (NSE) will not permit any shareholder in the equities market to be cheated.

Source:© Copyright Guardian Online