Diamond Bank:

Diamond Bank Plc Q3 2010 Results (127).

Diamond Bank Plc Q3 2010 Results Conference Call Presentation (363).

EcoBank:

FCMB:

First Bank:

First Bank of Nigeria Q3 2010 Detailed Results (134).

First Bank of Nigeria Q3 2010 Press Release (192).

First Bank of Nigeria Q3 2010 Results (122).

First Bank of Nigeria Q3 2010 Results - Notes To Balance Sheet (117).

First Bank of Nigeria Q3 2010 Results - Notes To Profit And Loss (108).

Oceanic Bank:

Skye Bank:

Skye Bank Q3 2010 Financials Results (115).

Skye Bank Q3 2010 Results (128).

Skye Bank Q3 2010 Results - Balance Sheet (166).

Sterling Bank:

Sterling Bank Q3 2010 Results (127).

UBA:

Afrinvest 2010 Banking Sector Report

Here are some charts from the report:

Market share by total assets and total deposits:

Bank share by shareholder funds and total loans:

Bank Capitalization:

Market share by gross revenues:

Operating statistics:

Earnings Update Report on First Bank Plc which highlights the latest interim results and an update on our Full Year ’10 earnings outlook on the company.

Q2’10 Results:

1. First Bank reported a 6.7% decline in gross earnings to N122.3bn (US$812.6m) from N131.1bn (US$871.1m).
2. PBT however went up by 637.4% to N31.7bn (US$210.6m).
3. The bank recorded a profit margin of 25.9%, an improvement from the 24.7% recorded in Q1 ‘10.

FY’10 Outlook:

1. This recent performance reveals the challenges faced by many banks in growing top-line numbers as a result of a slowdown in credit expansion, amongst other factors.
2. We reiterate our positive stand on the bank’s earnings potential riding on the back of its strong balance sheet.
3. We however review our forecast of gross earnings down from N277.6bn (US$1.8bn) to N249.8bn (US$1.7bn) while we review PBT up from N51.2bn (US$340.2m) to N56.3bn (US$374.1m). We also establish a 12-month price target of N17.50 and upgrade our recommendation on First Bank to a BUY.

You can download the report below:
Afrinvest – First Bank 6M 2010 Report

Ghana came in first in the region. Nigeria was second.

And here is the report on Nigeria:
Doing Business In Nigeria 2010 (222)

Nigeria’s Securities and Exchange Commission approved SW8 Investment Ltd. as the main investor in Wema Bank Plc, said Lanre Olori, a spokesman for the regulator.

SW8 will buy 2.7 billion shares in Wema for an undisclosed sum to provide liquidity for the lender, Olori said in a phone interview today from the capital, Abuja.

“There has been heavy transaction volumes on Wema, so it’s proper for us to put the records straight to avoid all kinds of speculations,” Olori said.

As many as 2.35 billion Wema shares changed hands in so- called crossed deals on the Nigeria Stock Exchange in Lagos at 2.85 naira each on April 17 as groups boosted their holdings in a bid to take control of the lender. The average day’s volume prior to that was around 100,000 shares.

In crossed deals, the stocks to be traded aren’t available to all potential buyers. The seller and the buyer come together beforehand to agree to effect the transaction at the best market price of the day. Yesterday, a further 300,156 shares were traded in crossed deals at 2.58 naira a share.

Wema Bank was originally formed by the O’dua Group, which represented the governments of western Nigeria. In the banking consolidation that took place in 2005, it was ruled that no state government could hold more than 10 percent in a bank, whereupon the Central Bank of Nigeria ordered the group to reduce its shareholding in Wema to 10 percent from 40 percent. The former management of the bank warehoused the shares, which are now being sold to the core investor.

Access Bank (ACCE.LG) and First Bank (FBNP.LG) both said this week they were adopting international financial reporting standards (IFRS), joining Guaranty Trust Bank (GTB.LG) as the few Nigerian financial services firms to have done so.

One of the major complaints of international investors has been the lack of openness in Nigerian institutions. The move by these banks will help ease that fear. And I believe that more companies will move to adopt these standards.

1. Nigerian Breweries to pay another interim dividend: NIGERIAN Breweries Plc has declared another interim dividend of N14, 368,868,446, that is, N1.90 per ordinary share of 50 kobo each in the share capital of the company. This was made known recently, in a statement from the company signed on behalf of the Board of Directors, Mr. Uaboi G. Agbebaku, the company secretary/legal adviser.The dividend is payable on Tuesday, 6th January, 2009, out of the amount standing to the credit of the profit and loss account, to all shareholders registered in the books of the company at the close of business on Friday, 26th December, 2008.
   This will be the second time that the company will be paying interim dividend to its shareholders in the current financial year following the earlier interim dividend paid in October. The company had in October, 2008, paid an interim dividend of N7,562,562,340, that is, N1.00 per ordinary share of 50 kobo each in the share capital of the company.
2. UBA declares bonus of 1 for 4, share price adjusted: As a result of the cash dividend and bonus share declaration, and in accordance with the rules of the Nigerian Stock Exchange (NSE), the share price of United bank for Africa plc (UBA) share price was adjusted on Tuesday to reflect bonus share issue. Consequently, UBA share price opened at a new price of N11.56 on Tuesday from the closing price of N15.20 at the end of trading on Monday.
   The bank had declared a final cash dividend of N0.75 per share, and a bonus of one share for every four held. Payment will occur on January 8,2009.
   According to Victor Osadolor, group chief finance officer, UBA paid an interim cash dividend in June 2008. After taking into account the interim dividend and bonus share issue, this translates into an effective total dividend for the year of N1.37 per share.
   David Ellis, head, investors elations, noted that the bank’s stock remained one of the most actively traded stocks in the financial service sector. Estimated return on investment on the bank’s shares is in excess of 80 percent 2008, made up of 75 percent scrip issue and 8.8 percent yield on cash dividend.
3. Acen shareholders okay acquisition by Sovereign Trust: After several rebuffs by the shareholders of Acen Insurance plc on acquisition bids by insurance companies who made it through the recapitalisation deadline, an approval has finally been granted for its acquisition by Sovereign Trust Insurance plc.
   The acquisition would now progress based on a share exchange of one Sovereign Trust share for 85 shares in Acen Insurance. Some shareholders of Acen had express concern over the basis of the exchange, but were consoled by the fact that the position was better than an outright loss in investment. Their fears had been heightened by the fact that Acen Insurance had been de-listed from the Nigerian Stock Exchange (NSE).
   It would be recalled that the company was de-listed by the NSE about two months ago for falling short of certain listing requirements.
4. Afribank introduces Visa Credit Card: Afribank Nigeria Plc has introduced a Visa Credit Card into the global banking market.A statement on Thursday said the Afribank dual currency credit card was the first in Nigeria, which did not require customers to provide collateral.
   According to the bank, it is specifically designed to meet the varying needs of modern banking customers at home and abroad, and is available to both customers and non-customers of the bank.The statement said the bank had in the past two years taken giant strides to ensure that its fast growing customer base enjoyed world-class services in a bid to confirm its leadership in e-commerce.
   Afribank introduced the Visa Credit Card, an international credit card, issued in partnership with Visa Incorporation, as part of its ongoing aggressive transformation effort.
   It is a dual currency credit card, globally recognised as a card payment system for acquiring goods and services from merchant locations and obtaining cash from automated teller machines carrying the Visa logo.“With Afribank dual currency Visa credit card, the world opens up as holders can visit countries abroad without the burden of carrying cash, shop in stores abroad, on the Internet, by telephone or mail order,” the statement said.
5. SEC appoints Vetiva market maker: IN line with the decision of the Securities Exchange Commission (SEC) to stimulate activities on the floor the Nigerian capital market in the wake of the global economic slide, Vetiva Capital Management Limited has been appointed market makers.
   Market makers are wholesale operators who ensure that there is liquidity in the stock market by either buying shares when there is a glut or selling shares when there is scarcity. The need to evolve the market maker strategy was reached last August as part of the recovery measures to stem the persistent fall in the share prices at the stock market.
6. Regency Alliance pays N350 million claims: IN conformity with its quick claims settlement policy, Regency Alliance Insurance Plc paid about N350 million as claims to its customers between January and September 2008.
   In a press release by the company’s Group Head, Corporate Planning, Mr. Adeniyi Ojebisi, claims payments are now being made within 24 hours of receipt of discharge vouchers.
   This payment of claims without tears, he states, is aimed at providing succour for policyholders as fast as possible.
   Among those whose claims were paid include The Bank of Industry, Delta State Oil Producing Areas Development Commission, SevenUp Bottling Plc, UBA Plc, Nigerian National Petroleum Corporation and Wema Bank.They also include West African Seasoning Co. Limited, Nigeria Aviation Handling Company Plc, Olam Nigeria Limited, Alhaji Ganiyu Ogunwale, Mr. Alex Toju Amorghoye and Mr. Femi Williams.
7. Oasis Insurance gets new helmsman: IN restating its commitment towards greater efficiency and profitability, the Board of Directors of Oasis Insurance Plc has appointed Mr. Babatunde Olarinde Oshadiya as the new acting managing director of the company. Oshadiya took over from Mr. Segun Durojaiye, who until his resignation last week, directed the affairs of the company for eight years.
   Babatunde Oshadiya, a 1985 graduate of Insurance from the University of Lagos, is a tested professional with over two decades experience in insurance practice. He is an associate of both Chartered Insurance Institute of London (ACII) and Nigeria (ACIIN).
   Prior to his appointment, he had served as the executive director, Marketing of the company between August 2007 and October 2008 and was formerly the managing director of ACEN Insurance Plc.
   Oshadiya worked in various sector of the industry from broking, insurance supervision to marketing. He had before this appointment worked at Hapatomah Insurance Brokers, Jos, Insurance Department, Federal Ministry of Finance (now NAICOM), Metropolitan General Insurance, NEM Insurance Plc and ACEN Insurance Plc where he was the managing director.

A turnover of 1.1 billion shares worth N7.2 billion in 25,472 deals was recorded this week, in contrast to a total of 987.5 million shares valued at N8.44 billion exchanged last week in 19,885 deals. There were no transactions in the Federal Government Development Stocks, State Government Bonds, and Industrial Loans/Preference Stocks sectors.
The Banking subsector was the most active during the week (measured by turnover volume), with 383.23 million shares worth N4.3 billion exchanged by investors in 14,364 deals. Volume in the Banking subsector was largely driven by activity in the shares of Spring Bank Plc. Trading in the shares of the Bank accounted for 120.12 million shares, representing 31.34% of the subsector’s turnover.
The Insurance subsector, boosted by activity in the shares of Investment and Allied Assurance Plc and Universal Insurance Co. Plc, followed on the week’s activity chart with a turnover of 360.9 million shares valued at N468.6 million in 1,923 deals.
Last week, the Banking subsector led on the activity chart and was followed by the Insurance subsector.

Price Movement
The All-Share Index dropped by 13.3% to close on Friday at 41,884.10. The market capitalization of the 197 First -Tier equities closed lower at N8 trillion.
Two (2) stocks appreciated in price during the week, lower than the three (3) in the preceding week. Nigerian Bag Manufacturing Co. Plc led on the gainers’ table with a gain of N0.24 to close at N3.90 per share while FTN Cocoa Processors Plc followed with N0.12 to close at N2.03 per share.
Ninety – One (91) stocks depreciated in price during the week, higher than the seventy-four (74) in the preceding week. Chevron Oil Nigeria Plc led on the price losers’ table, dropping by N37.26 to close at N345.04 per share while Guinness Nigeria Plc followed with a loss of N21.33 to close at N86.25 per share. Other price losers in the Top 10 category include:
1.    Oando Plc – N15.77
2.    Conoil Plc – N10.22
3.    Union Bank of Nigeria Plc – N7.12
4.    Nigerian Breweries Plc – N6.27
5.    Zenith Bank Plc – N5.97
6.    First Bank of Nigeria Plc – N4.80
7.    Lafarge WAPCO Plc – N4.77
8.    BOC Gases Plc – N4.77
The price of Guinness Nigeria Plc was adjusted for a final dividend of N6.00 per share as recommended by the Board of Directors.

Delisting
The African Paints Plc N20 Million Redeemable Debenture Stock 1997/2000 was delisted from the Daily official List on October 30, 2008 on receiving confirmation from the Trustee that the Debenture had been fully redeemed. By this action, the number of listed corporate bonds and securities dropped to 43 and 302, respectively.

Company News

1. UNION BANK OF NIGERIA PLC: Audited result for the year ended 31st March 2008 shows Gross Earnings of N113 billion as against N89.24 billion in 2007. Profit after tax stood at N26.85 billion compared with N13.9 billion in 2007. The Directors are recommending a dividend of N1.00 per share and bonus of 1 for 6. The date of closure of register of members is November 17, 2008 while payment date is December 3, 2008. The Annual General Meeting is scheduled to hold at the Auditorium of Giginya Hotel, Bye-Pass Road, Sokoto on Wednesday, November 26, 2008
2. ACCESS BANK PLC: Unaudited result for the half year ended 30th September 2008 shows Gross Earnings of N46.2 billion, as against N23.43 billion in the comparable period of 2007. Profit after tax stood at N11.5 billion compared with N5.32 billion in 2007.
3. THE TOURIST COMPANY OF NIGERIA PLC: Audited result for the year ended 31st December 2007 shows Turnover of N1.5 billion as against N1.23 billion in 2006. Profit after tax stood at N123.8 million compared with loss after tax of N296.62 million in 2006. The date of closure of register of members is December 1, 2008.
4. COSTAIN (WA) PLC: Audited result for the year ended 31st March 2008 shows Turnover of N3.8 billion as against N3.02 billion in 2007. Profit after tax stood at N353.22 million compared with N108 million in 2007.
5. PREMIER PAINTS PLC: Audited result for the year ended 31st December 2007 shows Turnover of N186.02 million as against N203.1 million in 2006. Profit after tax stood at N6.11 million compared with loss after tax of N16.6 million in 2006. The date of closure of register of members is November 13, 2008. The Annual General Meeting is scheduled to hold on December 11, 2008.
6. ECOBANK TRANSNATIONAL INCORPORATED: Unaudited result for the third quarter ended 30th September 2008 shows Gross Revenue of N97 billion (US$824.51 million), as against N60.3 billion (USUS$473.83 million) in the comparable period of 2007. Profit after tax stood at N12.22 billion (US$103.93 million) compared with N10.00 billion (US$78.61 million) in 2007.
7. UAC OF NIGERIA PLC: Unaudited result for the third quarter ended 30th September 2008 shows Turnover of N28.1 billion, as against N22 billion in the comparable period of 2007. Profit after tax and extra-ordinary items stood at N3.7 billion compared with N2.3 billion in 2007.
8. UACN PROPERTY DEVELOPMENT CO. PLC: Unaudited result for the third quarter ended 30th September 2008 shows Turnover of N11.15 billion, as against N4.1 billion in the comparable period of 2007. Profit after tax stood at N2.6 billion compared with N788.24 million in 2007.
9. ASO SAVINGS & LOANS PLC: Unaudited result for the half year ended 30th September 2008 shows Gross earnings of N5.34 billion, as against N3.01 billion in the comparable period of 2007. Profit after tax stood at N1.02 billion compared with N557 million in 2007.
10. PRESCO PLC: Unaudited result for the third quarter ended 30th September 2008 shows Turnover of N2.83 billion, as against N1.9 billion in the comparable period of 2007. Profit after tax stood at N811.54 million compared with N267.14 million in 2007.
11. CHEMICAL & ALLIED PRODUCTS PLC: Unaudited result for the third quarter ended 30th September 2008 shows Turnover of N1.8 billion, as against N1.5 billion in the comparable period of 2007. Profit after tax stood at N435.54 million compared with N711 million in 2007.
12. RED STAR EXPRESS PLC: Unaudited result for the half year ended 30th September 2008 shows Turnover of N2.04 billion, as against N1.6 billion in the comparable period of 2007. Profit after tax stood at N190.4 million compared with N148.2 million in 2007.
13. NEM INSURANCE PLC: Unaudited result for the third quarter ended 30th September 2008 shows Gross Premium of N3.3 billion, as against N2.02 billion in the comparable period of 2007. Profit after tax stood at N623.04 million compared with N330.05 million in 2007.
14. LASACO ASSURANCE PLC: Unaudited result for the half year ended 30th June 2008 shows Gross Premium of N2.42 billion, as against N1.6 billion in the comparable period of 2007. Profit after tax stood at N657 million compared with N560.03 million in 2007.
15. OASIS INSURANCE PLC: Unaudited result for the third quarter ended 30th September 2008 shows Gross Premium of N626.8 million, as against N380.3 million in the comparable period of 2007. Profit after tax stood at N121.5 million compared with N81.42 million in 2007.
16. TRANS-NATIONWIDE EXPRESS PLC: Unaudited result for the third quarter ended 30th September 2008 shows Turnover of N355.12 million, as against N287.2 million in the comparable period of 2007. Profit after tax stood at N45.84 million compared with N44.23 million in 2007.
17. ETERNA OIL & GAS PLC: Unaudited result for the third quarter ended 30th September 2008 shows Turnover of N10 billion, as against N4.1 billion in the comparable period of 2007. Profit after tax stood at N86.3 million compared with loss after tax of N101.95 million in 2007.
18. UNION VENTURES & PETROLEUM PLC: Unaudited result for the half year ended 30th June 2008 shows Turnover of N46.53 million, as against N31.7 million in the comparable period of 2007. Loss after tax stood at N1.3 million compared with N3.15 million in 2007.
19. CHAMPION BREWERIES PLC: Audited result for the year ended 31st December 2007 shows Turnover of N1.62 billion as against N1.1 billion in 2006. Loss after tax stood at N330.74 million compared with N422.54 million in 2006.

Company Forecasts

ASO SAVINGS & LOANS PLC: The Company forecasts a Gross Earnings of N8.23 billion and profit after tax of N1.53 billion by the third quarter ending December 31, 2008.

Report On the OTC Market for FGN Bonds
A turnover of 226.1 million units worth N229.45 billion in 1,546 deals was recorded this week, in contrast to a total of 376.7 million units valued at N382.5 billion exchanged in 3,587 deals during the week ended Thursday, October 24, 2008. The most active bond (measured by turnover volume) was the 5th FGN Bond 2013 Series 1 with a traded volume of 19.7 million units valued at N18.7 billion in 94 deals. This was followed by the 4th FGN Bond 2010 Series 4 with a traded volume of 18.9 million units valued at N19.5 billion in 121 deals. Twenty-Seven (27) of the 42 listed FGN Bonds were traded during the week.

Foreign Banks Grant Intercontinental Bank $2 Billion Confirming Line
Source – AllAfrica Posted to the web on Oct 20, 2008

1. More leading global financial institutions have established confirming lines of credit with Intercontinental Bank Plc, just as several existing lines are also being increased bringing its portfolio of such resources to $2.1billion.
2. The Belgium financial giant, ING, has opened a confirming line of $50 million with the Nigerian bank just as its German partner, BHF Bank, increased its credit lines for the bank to $15 million.
3. Among major global banks with similar relationships with Intercontinental Bank are, Citibank, Deutsche Bank, BNP Paribas, ANZ, Commerzbank, HSBC etc.
4. This development came at the heels of the bank’s impressive financial results for the half year ended August 31, 2008, which show gross earnings rising to N121 billion, representing a growth of over 99 per cent against the N60.9 billion achieved in the corresponding period of 2007.
5. Shareholders funds also rose to N213 billion, while deposit base stands at about N1 trillion.
6. The results, which were approved by the Nigerian Stock Exchange (NSE), last week also show a profit before tax of N24 billion, an increase of 63 per cent from N14.7 billion in the previous year.
7. Fitch Ratings, a leading global financial rating agency, has recently affirmed Intercontinental Bank Plc’s National Long-term ratings at A+. The interpretation, according to analysts, is that the bank is a low risk and very safe financial institution.
8. The agency also affirmed the bank’s international rating at B+, which is the highest for any Nigerian bank as at date by Fitch Ratings.
9. Standards & Poor (S &P), another leading international rating agency, has also pronounced the bank’s international rating as BB-, which is the highest for any Nigerian bank as Nigeria’s sovereign rating is capped at BB-.
10. The S & P Rating statement in London listed Intercontinental Bank’s strength as strong market position, robust funding and liquidity as well as good capitalisation.
11. According to S & P, “Intercontinental Bank is a tier 1 Nigerian bank with a good presence in the high end corporate, commercial, public and retail sectors. It was the first Nigerian bank to reach the N1 trillion deposit mark due to a strong retail deposit portfolio. Intercontinental funding and liquidity profile is robust with a large liquid asset cushion”.

May & Baker – Strengthened On Diversification, Scale
Source – AllAfrica

1. In its latest audited reports to December 31, 2007 May & Baker recorded a turnover of N3.859 billion from N2.253 billion achieved in the comparable period of 2006.
2. That represents positive variance by 71.3 percent. Profit before tax advanced by 49.5 percent to attain N398 million in 2007 against N266 million the previous year.
3. From principally pharmaceutical company status, M&B has spread tentacles to manufacturing, food production, diagnostics and medical equipment.
4. The new growth areas are expected to leapfrog the company’s earnings. Its instant noodles brand, Mimee was launched in March last year. It was followed by the launch of Crunchmee snack noodles. The two products have since penetrated many homes across the country and serving as revenue booster to M & B.
5. The acquisition of WHO standard drug production facility is another plus for the company, being in the WHO list of international suppliers. The organization can now bid and supply WHO sponsored drugs in Nigeria and offshore markets.
6. M & B became Africa’s first private vaccine production company in 2005 by acquiring 51 percent share in Biovaccines Nigeria Limited, a partnership with the Nigerian Federal Government.
7. Last year, it invested heavily in setting up an Anti-retroviral AVR plant to produce drugs for the HIV/AIDS pandemic. The plant has since commenced production and showing great prospects.
8. The pharmaceutical component of the company’s business generated a turnover of N2.6 billion at the end of the 2007 financial year, thereby passing a Gross Profit of N1.3 billion to the consolidated income statement.
9. The Food business driven by the fast selling Mimee and Chrunchmee recorded sales worth N1.2 billion on a gross profit of N224.5 million. The third income stream – water, released N70 million by turnover and N19 million in gross profit to the consolidated profit and loss account.
10. Net profit margin declined from 9.40 percent to 5.40 percent thereby shedding 24.60 for the full year.
11. The value of trade debtors increased almost two folds from N249 million to N734 million.
12. Bank overdrafts almost doubled from N395 million to N735 million just as the value of trade creditors increased by 60 percent to N341 million against N134 million the previous year.
13. May & Baker’s working capital position declined by 16.7 percent to N1.094 billion against a higher N1.313 billion in 2006. It was also noticed that cash balances at year end also dropped from N1.019 billion to N622 million.
14. Nevertheless, the company’s balance sheet remained strong during the review period with total assets less current liabilities of N2. 877 billion (2006: N2.977 billion) and a net worth of N2.615 billion (2006: 2.617 billion).
15. Profit after tax declined, to close at N208.3 million against N211.4 million in 2006.

Market capitalisation drops by N2.84trn in six months -SEC
Source – Businsses day

1. Financial crisis that hit the capital market has left in its trail a loss of N2.84 trillion or 23.5 percent between March and October, Securities and Exchange Commission (SEC) Monday told House of Representatives.
2. Prior to the crisis, market capitalisation of Nigerian Stock Exchange (NSE) was N12.1 trillion.
3. Alfaki Musa al-Faki, SEC director-general during a presentation on the “Capital market: Recent developments” to the House Committee on Capital Market, noted that during the six month period market capitalisation dipped by 23.5 percent from N12.1 trillion in March, when the price drop started to N9.26 trillion by October 15. Between January and October 15, it had gone down by 13.4 percent.
4. According to him, the NSE All Share Index also dropped from 63,016.6 point in March to 43,492.56 points, representing a decline of 31 percent as at October 15, while 25.7 percent was lost between January to October 15; loss of 25.7 percent was recorded between January and October 15.
5. Al-Faki, who argued that the slide was the normal trend in the capital market, emphasized the need for investors to engage in long-term investment rather than short-term.
6. The director general however noted that the market capitalisation grew from N2.5 trillion in 2005 to N12.1 trillion by March 2008, a five fold increase in five years, while the trading value also increased from N254.7 billion, a daily average of N1.06 in 2005 to N2.086 trillion, a daily average of N8.62 billion in 2007.
7. According to him, All Share index moved from 24,085 point as at December 2005 to 63,017 points at the end of March 2008, representing 161.64 percent, while new issues rose from N405.84 billion in 2005 to N1.34 trillion in 2007, representing 230.86 percent.
8. Udo Udoma, NSE chairman, while responding to questions on the ‘Market Makers’ from the members of the committee, explained that participation was open to banks and interested private sector operators, adding that the guidelines was not limited to only banks.
9. Statistics on the world stock exchanges index monitored by NSE between December 31 2007 and October 8, revealed thus: US (-30.2); China (-57.4); Japan (-32.8); France (-41.1); Germany (-42); Poland (-41.6); Russia (-66.7) while Turkey (-53.9), while Nigeria recorded -23.5 losses.
10. Other countries on the loser??s chart are South Africa (-46.4; Saudi Arabia (-44.5; Egypt (-43.6); Mexico (-44); Chile (-37.1); Brazil (-54.5); Singapore (-42.4); Malaysia (-36.5) India (-54.2); Nairobi -28.2; Congo -24.4, except Ghana which recorded a positive index of 64.
11. Some of interventions taken by government to address the lingering crisis include the inauguration of presidential advisory committee; issuance of an exemption to the provisions of relevant sections of the Companies and Allied Matters Act 1990, on share buy-backs to permit quoted companies to buy-back up to 20 percent of their shares by the office of attorney-general of the federation.
12. This, according to him, would require the approval of the SEC before any quoted company is allowed to undertake any share buy-back.
13. On its part, NSE had on Wednesday, August 27, slashed downward its fees by 50 percent, while arrangements are ongoing to establish a capital market stabilisation fund in order to effectively and prudently intervene in the nations stock market.
14. Aliyu Wadda, chairman of the House Committee, insisting on the need for government??s intervention, however warned government against use of tax money.
15. Wadda also explained that the Commission had no statutory right to jerk up the 15 percent share buy-back without the existing law, which regulates the operations of the commission.

CBN orders banks to submit account details of wonder banks
Source – Vanguard Posted to the web on Oct 22, 2008

1. The Central Bank of Nigeria (CBN) has directed banks to submit the account details of 28 fake finance companies/ fund managers also known as wonder banks
2. The companies are:
   Art Master & Co. Ltd;
   Cyber International Ltd;
   Fortune Access Interlinks Network;
   Gold Power Unique Services Ltd;
   Gorutrans Nigeria Co. Ltd;
   Interglobal Investment Ltd;Money Field Ltd;
   New Freedom Diversified Investment Ltd;
   Open Gate Multipurpose Investors Ltd;
   Orion Express Global Services Ltd;
   Pennywise Investment Ltd;
   Positive Move International Nigeria Ltd;
   Precious Golden Profile;
   Real and Cool Wealth International Ltd;
   Shola Olanrewaju Ayinke (Sefteg Nigeria Company);
   Silvertrust Global Investment;
   Successpoint International Investment Ltd;
   Torid Investment Ltd;
   Treasured Fund Assets Ltd;
   Vikel Petroleum Ltd;
   Wealth Concepts Global Ltd;
   Wealthgage Multibiz Int. Ltd;
   Wealth Interlink Agency Ltd;
   Wealth Solution Ltd;
   Wealth Transfer and Logistic Ltd;
   Wilson O. Wilson (Doing business in the name and style of Wilamas Ventures) Wisdom Investments Nigeria Ltd;
   Nospetco Oil and Gas Ltd.”

Okitipupa reduces debt profile
Source – Guardian Newspapers

1. DESPITE a low capital base of N48 million, Okitipupa Oil Palm Plc has succeeded in reducing its accumulated losses from N241.6 million as at December 31, 2003 to N147.4 million as at December 31, 2007.
2. The chairman of the company, Vice Admiral Akin Aduwo (rtd), while addressing shareholders at its yearly general meeting in Akure recently, explained that the company, which has been under receivership until April 15, 2004, during which income and expenditure of the company were prepared by limited liability companies, has returned to profit making in 2004, eight months after the repositioning exercise.
3. By the new management of the company in rehabilitating the plantations, as well as the Ipoko Mills-in-house to consolidate on this, the chairman said the company is putting measures in place to rescue the company’s plantation from being exploited by unauthorised persons.
4. He added that the board of directors of the company could not recommend dividend to the shareholders due to the losses incurred in the past years.
5. On the future plans of the company, Aduwo said the company would commence a complete elimination of unwanted trees in more than 8,000 hectares of plantation, after which the company would company would embark on the modernisation of the Okitipupa and Ipoko Mills cable, which according to him is capable of processing 25 tones of fresh fruit bunches in at tour.
6. The energy saving project of the company, made through the conversion of wastes to generate steam and electricity would also be included.
7. The project, when completed would generate profit; enhance steady growth and help to reduce the accumulated losses of the past years.

Chams set to make world record in ICT market
Source – Guardian Newspapers

1. IN a strategic move to attain the Vision 2020 goal of the Federal Government in the ICT sector, Chams Nigeria Plc, in Lagos, launched ChamsCity Network into the ICT market.
2. According to the Assistant General Manager, ChamsCity, Chams Plc, Mr. Sola Bickersteth explained that the company was set to commission the world’s largest ICT centres, starting with Lagos and Abuja before the end of this year and every major city across Nigeria before end of 2009.
3. Sola said that the centres would demonstrate various futuristic services such as digital identity management and electronic payment solutions that the company was well known for.
4. Sola explained that each centre will be equipped with about 1,000 computers, which are higher than the present record setting location in New York City that contains 850 computers, according to the Guinness book of world records.
5. The Managing Director of Supercard, Mr. Femi Williams said access to each centre would be only after registering your fingerprint in the centre’s database and using a bank card to create a virtual wallet for payment of services within the ChamsCity location.
6. Williams added that regarding the registering of biometrics information of all visitors to ChamsCity, the challenges posed by 419 will be easily addressed as every visitor would be accounted for, right from the time of entrance to the computer used and online activities.
7. “The same biometric technology has been successfully used by the company in partnership with some European embassies to weed out fraudulent visa applicants,” he said.
8. The network is designed to empower government agencies, education institutions, professional organisations and associations, financial institutions, IT service providers, corporate organisations and even small businesses to experience economic growth by being able to provide more efficient services to large populations and customers using information and communications technology, specifically, identity management, electronic payments and online transactions system.
9. ChamsCity locations are ideal for state governments, who wish to conduct digital citizen registration, mass social service enrolments, electronic payment collections etc.
10. Educational institutions, who wish to conduct online classes and entrance tests and regular examinations, large corporations conducting pre-qualification employee tests and staff training, utility and telecoms services providers wishing to provide online bill payment and pre-paid services, service providers wishing to extend their services to multiple locations, embassies that wish to conduct visa screening exercises, event managers wishing to sell tickets online, Conference managers using modern ICT tools.
11. Chams Plc, the largest provider of digital identification systems in Nigeria and an operator of the new General Multi-Purpose Identification Card in partnership with the Federal Government of Nigeria.

SEC, NSE meet to review capital market
Source – Guardian Newspapers

1. The Board of the Securities and Exchange Commission (SEC) and the Council of the Nigerian Stock Exchange (NSE), yesterday, met to review the situation in the Nigerian capital market.
2. In a statement made available to The Guardian in Lagos yesterday by the SEC’s spokesman, Mr Lanre Oloyi, stakeholders in the Nigerian capital market, met yesterday to review the current meltdown in the Nigerian Stock Exchange.
3. According to him, the meeting, which was held at the Commission’s corporate headquarters in Abuja, yesterday, saw the stakeholders reviewing the performance of listed companies on the Exchange.
4. “The Board of the Securities and Exchange Commission (SEC) led by its Chairman, Senator Udoma Udo Udoma accompanied by the Director-General, Musa Al-Faki and other Executive and Non-Executive Commissioners yesterday, met with the Council of the Nigerian Stock Exchange (NSE) to review the situation in the Nigerian capital market”, he said.
5. The meeting also had in attendance, the President of the Council of the Exchange, Chief Oba Otudeko, the Vice President, Alh. Aliko Dangote, the Director-General, Prof. Ndi Okereke-Onyiuke and other members of the council.
6. The statement reads: “At the end of the meeting, the SEC and the NSE expressed satisfaction with the performance of the companies listed on the Exchange as shown by their various results up to the last quarter”.
7. “The SEC and the NSE are of the view that the capital market will soon pick up in response to the positive performance of the companies”, it added.

IFC converts Access Bank’s debt into equity
Source – Guardian Newspapers

1. THE Nigerian capital market has received a boost with the International Finance Corporation (IFC) converting its debt stake in Access Bank Plc into equity.
2. The News Agency of Nigeria (NAN) reports that the regulatory agents of the capital market have welcomed the announcement by IFC of the decision to convert the debt to equity.
3. The IFC had in 2006 advanced a $15-million Unsecured Variable Rate Redeemable Convertible Loan Stock to Access Bank. The conversion saw additional 71,756,590 new shares of Access Bank added to the existing shares of the bank quoted on the Nigerian Stock Exchange.
4. NAN gathered that the move by the IFC followed the growing profile of Access Bank and its prospects in the Nigerian economy.
5. Reacting to the conversion, the National Co-ordinator of the Independent Shareholders Association (ISAN), Mr. Sunny Nwosu said that the conversion was a remarkable development for Access Bank and the Nigerian capital market.
6. “ISAN appreciates the position of IFC in the emerging markets, particularly the Nigerian capital market. The conversion will also go a long way to attest to the nation’s good economic fundamentals and the need for investors’ confidence,” Nwosu said.
7. “If IFC is converting its debt to equity in Access Bank now, it shows the highest sense of confidence on the Nigerian economy in the international arena,” he said.
8. NAN recalls that Access Bank had last week opened its UK office, following authorisation in August by the Financial Services Authorities (FSA) to operate a full service-banking subsidiary in the UK.
9. The Governor of the Central Bank of Nigeria (CBN), Prof. Chukwuma Soludo had endorsed the offshore banking of Access Bank and assured that the bank would go places given its pedigree and reputation in terms of the quality of its staff and exceptional services of the bank.
10. He said that the bank would soon become a role model to other banks in view of its acceleration locally and internationally within a very short period of operation.

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1. Increasing focus on developing the non-oil sector, combined with growth in key sectors such as Telecoms and Building Construction have boosted non-oil sector earnings and growth.

2. A look at the growth patterns and trend of the insurance industry in various developing markets (we examined Brazil, Russia, India, China and Kazakhstan) showed some underlying similarities; as well as other key factors, which have aided strong for the Insurance Sector in these countries.

3. The Nigerian Insurance Industry has evolved over the past two years following the announcement of new capitalization requirements for companies operating the sector. With the conclusion of the consolidation exercise, the number of players dropped from 103 to 49.

4. Activities in the sector have, however, noticeably increased; with enhanced public awareness of the sector and their operations, rapid expansion and strategic business acquisitions, improved visibility and strict supervisory regulation.

5. They examined 2 key pointers namely; (i) the transformation cycle for the banking sector following its recapitalization; and developmental trends of the insurance sector in other emerging markets. It is believed that in the short to medium term, the same pattern of profitability and growth, as experienced in the Insurance sector. Though most of them are trading at relatively high PEs now, they believe some select few, who will be able to implement an optimal insurance business model will in the very near future, start to post earnings that will justify these market valuations.

6. Vetiva also believes that in the longer term, an in-depth look at past and current trends in emerging/developing markets will provide a close enough road map for the Nigerian Insurance Sector, in the near to medium term. Some of the trends identified include the following: (i) similar capitalization evolution patterns; (ii) use of technology as a major means of increasing public access to insurance products; (iii) the eventual entry of foreign players into the market, barring any entry restrictions and (iv) life insurance having the higher proportion of total premiums.

7. This report takes an in-depth look at 15 insurance companies. There are quite a few other key players in the market, for whom we have not provided coverage in this report, due mostly to inaccessibility of adequate data on them. They are by no means of any less significance than those, which are covered herein.

8. As at august 2005, prior to the announcement of the recapitalization directives, there were 22 insurance companies with a market capitalization of N28.94 billion listed on the Nigerian Stock Exchange. Now there are 26 active companies with a market capitalization of N683.1 billion, a 2,260% growth over two and a half years, with quite a few still expected to be listed this year.

9. A quick ranking of the companies in the insurance sector report universe, based mainly on key operating ratios, rank Custodian & Allied, Crusader, Sovereign Trust and STACO as premium performers on a majority of the operating ratios.

10. The analysis considered company operating ratios (based on available data), cost trends, growth trends and resulting valuations. We, however, note that the analysis was based on 2006 audited results; which is currently the most recent information available for many insurance companies. We look forward excitedly to the release of their 2007 results, and an update to this report.

Nigeria ’s Industrial And General Insurance Plc (IGI) has acquired 35 percent majority stake in Society Nouvelle d’Assurance du Rwanda (SONARWA), Rwanda ’s largest insurance company.

The acquisition is in line with IGI’s regional expansion programme which had seen IGI holding majority shares in the National Insurance Corporation (NIC) Limited, Uganda; Network Insurance Company Limited, Ghana (now renamed IGI Ghana Limited); Network Life Assurance Company Limited, Ghana; and Gamstar Insurance Company Limited, Gambia.

Announcing IGI’s stake in SONARWA at a formal ceremony held in Kigali , Rwanda, Remi Olowude, executive vice chairman, IGI said the acquisition was an opportunity for the company to contribute to the progress of Rwanda ’s economy.

"Our partnership with SONARWA is in line with our stated goal of expanding in the continent and bringing our expertise to affect the lives of the people of the continent, while helping to develop their economies," he said.

Olowude emphasised that IGI will not relinquish its responsibility of effectively managing SONARWA to ensure that it turns out to be one of the biggest insurance companies, not only in the East African region, but in the entire African continent.

"We will ensure that SONARWA achieves its target growth within the shortest possible time," he stated.

The new acquisition in Rwanda would allow IGI to extend its acknowledged expertise in the insurance business to Rwanda , one of the fastest growing economies in East Africa , whose insurance market is one of the most vibrant in the region.

Under the terms of the Strategic Partnership arrangement with SONARWA, IGI is required to nominate three directors to the board and to appoint a new management to run the company’s day-to-day operations.

IGI brings to SONARWA a wide berth of experience acquired from the Nigerian insurance market, Africa’s largest insurance market where IGI has been able to increase its market share rapidly within a short period of time.

The stake in SONARWA is IGI’s third strategic investment in East Africa in the last three years.

In 2005, IGI purchased the Ugandan Government’s 60 percent stake in NIC Uganda. NIC had since been turned around into a profitable company which paid dividends to its shareholders for the first time in 2006.

It has also acquired a banking license in Uganda and the roll-out arrangements have been concluded for the new venture, Global Trust Bank Limited, to commence trading soon.

Since its emergence in the Nigerian insurance market 16 years ago, the company has shown clear sign for greatness .Records showed that in the last five years, i.e., between January 2002 and December 2007, the company paid claims amounting to N16.4 billion. It also generated Gross Premium Income in excess of N7.29 billion in 2007. With Shareholders’ Fund now in excess of N23 billion and Assets Base of more than N32.75 billion, IGI Plc is now the biggest and most capitalized insurance company in Nigeria .

BIG TREAT PLC.
2007 AUDITED ACCOUNT FOR YEAR END MAR 2008

DIV – 10K.
C/DATE 07/07/08
P/DATE 18/07/08.

NIGER INSURANCE PLC
AUDITED FULL YEAR ACCOUNT FOR THE YEAR ENDED 31ST DECEMBER 2007

PROPOSED DIVIDEND 15K
CLOSURE DATE 23RD JUNE 2008
PAYMENT DATE 31ST JULY 2008
AGM: 38TH ANNUAL GENERAL MEETING THURSDAY 10TH JULY 2008 AT 11.00 A.M AT TRANSCORP HILTON ABUJA.

PRESTIGE ASSURANCE PLC
ACCOUNTS FOR THE YEAR ENDED 31ST DECEMBER 2007

PROPOSED DIVIDEND/SHARE 20K PER SHARE
PROPOSED BONUS ISSUE 1 FOR 4 CLOSURE
DATE TO BE ADVISED LATER AND
PAYMENT DATE TO BE ADVISED LATER.
AGM 31ST JULY 2008