jay bee:

^^^^
Does that even make any sense?
Who is trying to finish who and how?

Ade1966:

Ordinarily, I would have expected  a detiled due diligence before tying up this transaction. Tinubu as an accountant must have done all this. I hope this is not sensational reporting.

manny4life:


The company he paid $300+ to (bellview). His $300+ million is GONE, where does he want to get his money back from? In fact he is sinking more money into the company than he bought it for. That's a not-so-good scenario.



His an accountant, not a financial analyst or associate or an M & A expert. He wouldn't have noticed it but only on the surface. Company valuation goes more than just punching in numbers into calculator or better yet just plugging in number into Excel Spreadsheet. They have to identify potential risk factors and how to mitigate such risk which in this case he DID NOT do. Even me myself, I questioned this transaction because it did not add up. Bellview has a bad debt profile, it had a worse credit standing, so how the f/u/c/k do you pay 300+million for a bad company? Using pennies on the dollar principle, Bellview should be worth at least $10biilion or more for him to buy it at $300+million, but that is not the case. Bellview doesn't worth that much, so the question is WHAT HAPPENED?

jay bee:

Are you basically saying Tinubu will pay over $300 million for image rights a zilch assets? How is that even possible?
Pardon my ignorance 

manny4life:


The company he paid $300+ to (bellview). His $300+ million is GONE, where does he want to get his money back from? In fact he is sinking more money into the company than he bought it for. That's a not-so-good scenario.



His an accountant, not a financial analyst or associate or an M & A expert. He wouldn't have noticed it but only on the surface. Company valuation goes more than just punching in numbers into calculator or better yet just plugging in number into Excel Spreadsheet. They have to identify potential risk factors and how to mitigate such risk which in this case he DID NOT do. Even me myself, I questioned this transaction because it did not add up. Bellview has a bad debt profile, it had a worse credit standing, so how the f/u/c/k do you pay 300+million for a bad company? Using pennies on the dollar principle, Bellview should be worth at least $10biilion or more for him to buy it at $300+million, but that is not the case. Bellview doesn't worth that much, so the question is WHAT HAPPENED?

manny4life:


To answer your question, I'm afraid but if that's what you will call it then "YES". Ask any M&A or financial associate, when dealing with a company with bad debt, it's often best to hire forensic analyst and auditors, they are best in identifying questionable items obviously these guys don't come cheap but they find every loophole and fraudulent accounting going on.

How that is possible, companies blanket their liabilities; in accounting, you have managerial and financial accounting, most fraudulent accounting is done on the managerial side, which is fed into the financial accounting side. What they report to the govt is the cooked up part of the managerial side, so a forensic financial examiner is NOT necessarily looking at financial statement, they are looking at the managerial side and it's loophole. If you want scenarios of fraudulent accounting, I can explain for you.

Eko Ile:




You sidewalk analysts sabi make me laugh sha.

What part of the deal were you part of or the sent you quarterly reports on the project so you know the ins and outs.


All these ill-informed ignorants sabi waka past their own lazy brains,

Eko Ile:




You sidewalk analysts sabi make me laugh sha.

What part of the deal were you part of or the sent you quarterly reports on the project so you know the ins and outs.


All these ill-informed ignorants sabi waka past their own lazy brains,

jay bee:

GBAM
Perception just wouldn't cut it without hard facts.

manny4life:


Make you laugh, I know right,

Dumb dumb, you don't have to be part of an M & A transaction to deduce if something will go wrong or not. For the record, quarterly reports of ANY company is posted on their website. According to Financial Accounting Standards and feds, financial reports of publicly traded companies are disclosed to the public or you can request if you wish. Stop acting like an ill , how can I blame you, you never gave me your PayPal address so I can give you $8 to get your "fish inventory" for your trade. Now, if u had the brains, somneone paying $200+million for a company with bad debts in billions not dollars but Naira, shouldn't that send a signal?

manny4life:


I'm not asking for perception to cut it without hard facts; bottom line is you can see what is happening, someone obviously did not do their job right or did not do it at all. I'm no Astrophysicist, BUT common sense do tell some analyst that you can easily determine something using financial ratios. You paying $300+million, what is their asset to liability ratio? So what exactly are you such amount for?

manny4life:


Make you laugh, I know right,

Dumb dumb, you don't have to be part of an M & A transaction to deduce if something will go wrong or not. For the record, quarterly reports of ANY company is posted on their website. According to Financial Accounting Standards and feds, financial reports of publicly traded companies are disclosed to the public or you can request if you wish. Stop acting like an ill , how can I blame you, you never gave me your PayPal address so I can give you $8 to get your "fish inventory" for your trade. Now, if u had the brains, somneone paying $200+million for a company with bad debts in billions not dollars but Naira, shouldn't that send a signal?

jay bee:

Precisely what kinda signal? What if he has re-arranged a more suitable repayment plan with its creditors?
We are talking about $200 million not naira and you sincerely believe any right thinking person will chuck all that into a drain?

Do you have this Info?

manny4life:


Signal I mean, any irregularities, or otherwise. The question here is not if he had pre-arranged credit settlement with debtors, what I'm arguing is that the debt profile for this company was high enough for Mr. Tinubu to have even offered to pay such enormous amount. My point is that purchase to debt was really high, I would be expecting something a lot less lower.

jay bee:

I understand your point bro. I'd just prefer if you back up your claim with numbers. You know what they say about numbers, It sure doesn't lie

luluosas:

Tinubu’s Takeover Of Bellview In Jeopardy As Planes Remain Grounded
Font size: THEWILL. 10/07/2011 20:03:00

BOLA TINUBU'S FIRST NATION AIRWAYS.

SAN FRANCISCO, July 10, (THEWILL) – Former Lagos State Governor Asiwaju Bola Tinubu’s acquisition of defunct Bellview Airlines Limited owned by Mr. Kayode Odukoya may be in jeopardy in spite of the billions of naira the politician has invested in the airline renamed First Nation Airways, THEWILL can authoritatively report.

Aviation sources last week told THEWILL that Bellview’s huge debt portfolio which was not fully disclosed to the former Lagos State Governor before the takeover has been responsible for the delay in the operations of First Nation Airways.

THEWILL gathered that the defunct Bellview owes both federal government and foreign aviation agencies millions of United States dollars in unpaid fees, making it impossible for the new carrier to be issued an Air Operators Certificate (AOC) by the Nigerian Civil Aviation Authority (NCAA) headed by Dr Harold Demuren.

Checks revealed that Tinubu had completed the takeover of Bellview in the third quarter of 2010 and had leased 3 A320 aircrafts from Newport Beach California based Aviation Capital Group. The Aircrafts which were delivered since early April have been grounded at the Murtala Muhammed Airport in Lagos incurring more fees in the process.

Sources close to Tinubu informed that the former governor has been frustrated following revelations of the true state of the financials of the defunct airline. It is however unclear how he intends to deal with the problem.



Tinubu however has a very deep pocket following several sweet heart deals he has cornered for himself from the government of Lagos State which he essentially controls. Amongst the controversial deals include internal revenue generation for the state, which Alpha Beta Consulting, a company he operates through fronts pockets about N2 billion naira monthly in commission payments.

Tinubu also has a huge interest in the controversial Lekki toll road and the new Eko Atlantic through fronts like the Lebanese based Chagouri family, who helped late military tyrant General Sani Abacha successfully plunder most of Nigeria’s wealth.

The former Lagos State Governor and founder of the Action Congress of Nigeria (ACN) also owns The Nation Newspaper.

Source: http://thewillnigeria.com/business/9092-Tinubus-Takeover-Bellview-Jeopardy-Planes-Remain-Grounded.html

mbulela:

we have to be more discerning in what we believe.not every thing written in the media deserves a response.
Tinubu must be a very dumb fellow to spend millions of dollars buying an airline without due diligience.
the BAT i see is not dumb and if he was he can't be that dumb.
these folks have just added two and two and arrived at 37.
they deserved to be flogged.this story is not even worthy of a beer parlour talk less a pub.

manny4life:

Just like I thought; eko-ile where are you?


Nigerian businessmen who don't think before making business decisions. I said this before, now it's happening. How can someone purchase an airline for $350million without proper company valuation. I kept doubting how someone paid this amount, did not follow process, I mean little was done. I'm no expert on M & A, but I do know that in finance before you acquire a company; there are tons of financial documents the company will release disclosing the health of the company. Acquiring a $300+ company doesn't take a month; it take month(s) because of negotiation particularly debt before getting regulatory approval.

I questioned if Mr. Tinubu hired experts to analyze this company,  some said he hired them and some said am I better than those he hired? I said well those analyst lied to him because the numbers did not add up, some people called me "bad and hateful", when acquiring a company with a bad debt profile, you will proceed with caution, I mean how did they miss this?


Mr. Tinubu, this one is your fault.

You do proper company valuation when you earn your income genuinely. but what if you earn your income via looting , you don't need any valuation cos you get donations from other Acn governors.

Gbenge 77:

He should invest his loot somewhere else.He should invest his loot somewhere else.