Chinese firms to take over troubled banks - As Shareholder group takes CBN to Court

http://tribune.com.ng/13092009/news/news2.html

Problems over the sale of Nigeria’s five troubled banks will soon be over as some Chinese firms have indicated interests in buying over the banks. The latest development is not unconnected with the reception and enquiries that greeted the CBN team that’s attending the World Economic Forum in China.

A source, who refused to give details nor names of the Chinese investors, told Sunday Tribune that the CBN will give an update on the affairs in the troubled banks soon.

The CBN settled for China following poor response from UK investors at the recent London road show. However, CBN’s Head of Corporate Affairs, Mr. Mohammed Abdullahi, denied that the bank team went to China to auction the five banks, but rather to attend the Forum and meet with global industry players.

According to him, “the CBN Governor is presently participating at the World Economic Forum in China. The annual forum has nothing to do with the search for foreign investors in any of the Nigerian banks as being insinuated.”

He added that the concern of the CBN for now is to continue to ensure that Nigerian banks remain safe and sound, and that when the affected banks are due for recapitalization in future, the CBN will inform the public and the process be made open and transparent to group of investors.

He, however, reiterated CBN Governor’s statement that there is no law in Nigeria barring foreign investment in Nigerian banks, but insisted that the CBN will ensure that only investors interested in the development of the economy will be entertained.

Reacting, a foremost shareholder group in the country, Proactive Shareholders Association of Nigeria (PSAN), said it had concluded plans to take the apex bank to court.

In a letter signed by both Oderinde Taiwo and Kenneth Amanze, the National Coordinator and National Publicity Secretary respectively, addressed to its Lawyer, Barrister Nnodu Okeke & Co., the association hinged its grouses on the attempt by the CBN Governor to look for foreign investors for the five affected banks; the injection of fund to five affected banks, and the flurry of activities initiated by the CBN which has gone against the interest of the owners of the affected banks.

The association explained that the sudden action of the CBN has not reflected the principles of democracy and rule of law, which the present government professes, but that it infringes on the rights of the owners of these banks, adding that the action really undermine the relevance of other stakeholders, especially the shareholders, by unilaterally removing the five bank’s directors and their chief executives without giving them opportunities to defend themselves.

Amschel Mayer Rothschild (1773-1855, who in 1838 said: "Permit me to issue and control the money of a nation, and I care not who makes its laws."

"I care not what puppet is placed on
the throne of England to rule the Empire, , 
The man that controls Britain's money
supply controls the British Empire.
And I control the money supply."
                                        Baron Nathan Mayer Rothschild

I think if this goes through, the Nigeria should cancel the 1st October celebrations. Independence Day then becomes meaningless.

Something to think about. Is this not just a Chinese FRONT? Who are the real people behind the scene pulling the strings?

What has sovereignty/independence got to do with foreign investment? Personally, I don't see anything wrong if a foreign company, be it Chinese, American, European, etc, wishes to invest in the sector. Anyway, the CBN denied this allegation. We'll just have to wait and see.

The article specifically says "indicated interests in buying over the banks".

This does not soind like an investment. It is more like a takeover. Full ownership. Trust you are aware of the differenece.

I am learning Chinese

Due  to contrary opinion, looks like they the ones taking over the world

Philip D.I.C.K predicted this

I hate chinese people

If chinese take over those banks i can guaranty you that all those employees at these banks will not wait for sack letter before they resign on their own. When you work for a chinese guy, before he gives you $1 you must have done a job of $10. Those bankers will be begging for a civil service job if chinese take over. All those suits will be replaced with khaki short and shirts. And the flashy cars, forget about that. Bankers you guys beta pray chinese guys dont take over or you will work more than the 16th century slaves.

Something about sauce, the Goose and the Gander.

China May Resist Calls to Ease Bank Ownership Curbs (Update1)
http://www.bloomberg.com/apps/news?pid=20601087&sid=aQL_ZTCmEx04&refer=home

China may resist calls by the U.S. government to relax restrictions on foreign ownership of its banks, a person familiar with the matter said.

Chinese rules limit overseas ownership of local lenders to 25 percent, with a 20 percent ceiling for any individual foreign investor. The government may consider loosening the curbs in special cases, such as a bank being in distress, the person said, declining to be identified as deliberations are private.


ABU DHABI, May 30 (Reuters) - Abu Dhabi's First Gulf Bank FGB.AD said on Wednesday it would ease restrictions on foreign investment in its stock by abolishing a ceiling on ownership by non-United Arab Emirates shareholders.

The bank will also borrow more than $500 million by selling dollar-denominated bonds in the third quarter to finance lending, First Gulf Chief Executive Andre Sayegh told Reuters.

Shareholders of Abu Dhabi's third-largest lender by market value agreed to scrap the 3 percent cap on ownership by any single foreign investor, Sayegh said.

They retained a rule preventing total foreign ownership from exceeding 30 percent of the bank's stock, he said.

http://www.reuters.com/article/bankingfinancial-SP/idUSL3054483220070530



Seems the civilised world does not take too kindly to foreign ownership of it's money supply creator. The operative word here is of course CIVILISED.

Slavery is indeed sweet.

Investment? No problem, but buyover by chinese? God forbid!

Yar'adua will be out by 2015 at most. Another transcorp style situation awaits these banks because as I predicted, a lot of cases have been taken to court and I doubt if there will be any closure on the matter anytime soon. It will be in the best interest of the firms to stay away from this controversy.

hollandis:

I hate chinese people

What does hatred have to do with this? You hate chinese people becos you are a fool and dumb ass. Do u know how strong the banks will be if they are sold to the Chinese. Do you want to compare chinese banking system with that of Nigeria.

Chinese these days seems to be the only nation with money to spend, and they are doing so well by buying investments all over the world.
They are dominating the Oil and now they are investing in banking industry over the world, soon, the whole world will call China, OGA.

hajifaty:

What does hatred have to do with this? You hate chinese people becos you are a fool and dumb ass. Do u know how strong the banks will be if they are sold to the Chinese. Do you want to compare chinese banking system with that of Nigeria.

Nerd you are one of those guys sweating your ass ,working in china as a slave.I schooled in china so I know these irritants in toto.

FOOL.People dey better place,you dey china .oponu olodo rabata

It's so sad but true. We Nigerians are becoming iirelevant on the global face.

God Forbid bad thing! Why do they wanna sell those banks? They should let Nigerians run em on. . . We aren't complaining!

for anyone that can think and understands the import of all that is going on would immediately realise that the banks represent the economy of any nation and no nation can outgrow its bank.
its like asking china to come and control a nigerian economy or whoever they are flaunting for.
it is about time the south resist all forms of slavery by the north or its representations

slimes:

It's so sad but true. We Nigerians are becoming iirelevant on the global face.

i don't think we are any more relevant than we were 50 yrs ago
still the same unfortunately

Someone help me out doesn't Nigeria have foreign investment laws because in the U.S. here no more than 25% equity of a corporation can be owned by a foreign investors. I agree with what someone said investment ok, buyout and acquisition hell no.

jassie:

God Forbid bad thing! Why do they wanna sell those banks? They should let Nigerians run em on. . . We aren't complaining!

Let us leave God out of this.
The Nigerians has run the banks all these years and nothing to show for it, so why not sell them to people that ave what it takes to run them into prosperity.

Ileya:

The article specifically says "indicated interests in buying over the banks".

This does not soind like an investment. It is more like a takeover. Full ownership. Trust you are aware of the differenece.

When a company, be it foreign or domestic, aquires a new company, won't they invest in it so as to maximize their profits? Anyway, you make it sound as if it is some sort of hostile takeover.

If true, then the bid of the Chinese will be accepted ONLY after the boards of directors and shareholders of the affected banks accepts it.

namun:

for anyone that can think and understands the import of all that is going on would immediately realise that the banks represent the economy of any nation and no nation can outgrow its bank.
its like asking china to come and control a nigerian economy or whoever they are flaunting for.
it is about time the south resist all forms of slavery by the north or its representations

Why must everything turn to "North vs South"?

And what the current shareholders in these banks?? all the money spent on the various IPO, offers etc does it not count for anything??

For a nation that all they do is consume and produce nothing, what do you expect, we will one day be sold as a nation to the chinese.

Chinko?!!
Tufiakwa (spits on ground)!! It can never happen. Never!! No!

ocelot2006:

Anyway, you make it sound as if it is some sort of hostile takeover.

You are failing to grasp the real issue at large here. We all agree that our leaders [/b]have made quite a mess of the country/economy. However, this does not mean we should go and hand ourselves over to some new masters, which IMO, is actually frying pan to fire.

It is irrelevent whether the takeover is hostile or otherwise. One must [b]NOT hand over one's economy to foreign interests, period.

hollandis:

Nerd you are one of those guys sweating your ass ,working in china as a slave.I schooled in china so I know these irritants in toto.

FOOL.People dey better place,you dey china .oponu olodo rabata

If you really schooled in  China you wont be talking like an idiot here. Can you tell me the better places you were talking about? At first, i can see how ignorant you are ( dumbass). Why do u have to schooled in china since you know other  places better than China. We have different views, you could be in whiteman land  washing toilets,cleaning the streets but you fellows here in china could be better than you fool. Do you know how many bunches of westerners coming to china everyday and having more confortable life in china than they do in there various countries. I think fools like you need to open your blind eyes and see where the world is going. I guess you are addicted to white fever but what have we gained from the oyinbo people huh stupid asshole. Are you living in the other side of the world? You need to come back and school again in china mumu

God have mercy!

hajifaty:

If you really schooled in  China you wont be talking like an idiot here. Can you tell me the better places you were talking about? At first, i can see how ignorant you are ( dumbass). Why do u have to schooled in china since you know other  places better than China. We have different views, you could be in whiteman land  washing toilets,cleaning the streets but you fellows here in china could be better than you fool. Do you know how many bunches of westerners coming to china everyday and having more confortable life in china than they do in there various countries. I think fools like you need to open your blind eyes and see where the world is going. I guess you are addicted to white fever but what have we gained from the oyinbo people huh stupid asshole. Are you living in the other side of the world? You need to come back and school again in china mumu

Why are you openly displaying your ignorance?You are such an incompetent fool.I can school in any part of the world but I cannot work in any part of the world.I couldnt stand their way of life,that was why I returned to Nigeria.Continue licking a chinese man's butts.
I have seen from your other posts that you hate Nigeria because you can't survive in Nigeria.What did Nigeria do to you to warrant this gross hatred?

hollandis:

Why are you openly displaying your ignorance?You are such an incompetent fool.I can school in any part of the world but I cannot work in any part of the world.I couldnt stand their way of life,that was why I returned to Nigeria.Continue licking a chinese man's butts.
I have seen from your other posts that you hate Nigeria because you can't survive in Nigeria.What did Nigeria do to you to warrant this gross hatred?

Na wa oh.
Why are you guys displaying such hatred.
We are all here to learn and share view and have fun.
According to you, the dude hates Nigeria and you hate Chinese, so 2 don divide 2 now.
However, no need to hate.

hollandis:

Why are you openly displaying your ignorance?You are such an incompetent fool.I can school in any part of the world but I cannot work in any part of the world.I couldnt stand their way of life,that was why I returned to Nigeria.Continue licking a chinese man's butts.
I have seen from your other posts that you hate Nigeria because you can't survive in Nigeria.What did Nigeria do to you to warrant this gross hatred?

Hey dude! you are the most ignorant here and you ignorantly wrote rubbish here. Have you ever think twice or for a second before you write at all? You can't work here becos you can't stand their way of life huh? The truth is that fools like you are not confident enough to compete with foreign expats here. There are more than 4million western expats working and living in China but competent Nigerians and other africans not fools like you still compete with them and have a beta job here. If you really schooled in china that should be a bonus to you anywhere u are in this planet but the hatred in you won't allow you to think in the right way.
May God have mercy on everyone of us. Stay blessed

hajifaty:

Hey dude! you  are  the most ignorant here and you ignorantly wrote rubbish here. Have you ever think twice or for a second before you write at all? You can't work here becos you can't stand their way of life huh? The truth is that fools like you are not confident enough to compete with foreign expats here. There are more than 4million western expats working and living in China but competent Nigerians and other africans not fools like you still compete with them and have a beta job here. If you really schooled in china that should be a bonus to you anywhere u are in this planet but the hatred in you won't allow you to think in the right way.
May God have mercy on everyone of us. Stay blessed

slowpoke I am a switch engineer.I worked for china mobile and I couldnt stand their lengthy work schedule.Fool tell me what you are doing in china.Ass wipe.You think china is everything.that.s wh y you keep bashing Nigeria,like it was her fault you didnt get a job here .What do you do there by the way?
I am still young and I have made many decisions.One of them is I CANT WORK IN CHINA AGAIN.They lack structure and have this inferiority complex when they are one on one with a highly skilled fellow or an european.
Dog,please keep on wiping their asses .You never had a life in Nigeria.China is a face saving passage for you.

Fhemmmy:

Na wa oh.
Why are you guys displaying such hatred.
We are all here to learn and share view and have fun.
According to you, the dude hates Nigeria and you hate Chinese, so 2 don divide 2 now.
However, no need to hate.

The guy is crazy he keeps bashing Nigeria and sings china's praise to the highest heavens.Was I , you or yaradua the cause of his frustrations while in 9ja?
I know how priceless I am to Nigeria ,hence I have determined to make a meaninful contribtion to national development.What has he done?what can he do to Nation's building?NOTHINGGGGGGGGGG
He's just an OLOSHI.
I wonder what he does in china.I hate people that praise sing other countries while condemning theirs.The guy is as worthless and unnecessary as the speck of sand at the corner of my dog's kennel.