₦airaland Forum

How Wema Bank Paid Dividend After Rethinking Digital Strategy
https://businesspost.ng/2019/05/11/how-wema-bank-paid-dividend-after-rethinking-digital-strategy/

No Plans to Float Rights Issue—Julius Berger
https://businesspost.ng/2019/05/11/no-plans-to-float-rights-issue-julius-berger/

Owners of Chicken Republic Brand to Raise N3.6bn for Expansion
https://businesspost.ng/2019/05/12/owners-of-chicken-republic-brand-to-raise-n3-6bn-for-expansion/

Reps Discover $996m Hidden by Agencies in Banks
https://businesspost.ng/2019/05/12/reps-discover-996m-hidden-by-agencies-banks/

See Full Research Report Describing Jumia as Worthless, Fraud
https://businesspost.ng/2019/05/12/see-full-research-report-describing-jumia-as-worthless-fraud/

MTN Nigeria Shares May Trade at N90 Per Unit on NSE
https://businesspost.ng/2019/05/11/mtn-nigeria-shares-may-trade-at-n90-per-unit-on-nse/

Ali Joins Axa Mansard Board as Silvent Resigns
https://businesspost.ng/2019/05/11/ali-joins-axa-mansard-insurance-board-as-silvent-leaves/

PHOTOS: Shareholders at Wema Bank's AGM in Lagos: Shareholders at Wema Bank's AGM in Lagos
https://businesspost.ng/2019/05/11/photos-shareholders-at-wema-banks-agm-in-lagos/

Sterling Bank Picks Jaiyeola as Chief Compliance Officer
https://businesspost.ng/2019/05/10/sterling-bank-picks-jaiyeola-as-chief-compliance-officer/

SEC Proposes N10m Fine for Firms Distributing Gifts at AGM
https://businesspost.ng/2019/05/10/sec-proposes-n10m-fine-for-firms-distributing-gifts-at-agm/

UBA Appoints Senegal’s Abdoul Aziz Dia to Board
https://businesspost.ng/2019/05/10/uba-appoints-senegals-abdoul-aziz-dia-to-board/

Law Union Announces 2 kobo Dividend
https://businesspost.ng/2019/05/10/law-union-announces-2-kobo-dividend/

By Adeniyi Ogunfowoke

Finding the right business idea is the single most important thing in building a successful business; raising capital is the second most important if you must nurture the idea of growth. While the sources of capital still remain largely the same – as they were in the last 2 decades, certain factors must be considered by entrepreneurs looking to raise capital through loans. Jumia, Nigeria’s number one shopping destination shares a few of the important considerations.

Firm up your business plan

No doubt, as an entrepreneur, you have a business plan that serves as a compass for your business. Nonetheless, if you’re at the precipice of obtaining a business loan to advance the successful running of your business, it’s important that you firm up your business plan, as potential lenders will scrutinize every single element contained in the plan. You might likely jeopardize your only chance of raising capital if there are avoidable loopholes in the plan.

A potential lender will be keenly interested in knowing that you are running a credible business and that you have the knowledge and skill-sets required to grow it into something great. Include absolutely everything that has to do with your business, such as goals, competitors, past and projected revenue and expenses, market analysis, and how you intend to grow your company. This will be the first thing they read, and it could be the last if they are not immediately interested.

Research your borrowing options

There are a whole lot of options for loans today. You have the banks, online loan lending platforms and companies offering loans to entrepreneurs.

A good example of the latter is Jumia Lending where vendors selling on the platform are granted easy working capital with no collateral. The rules for getting a loan are simple: You must have been selling on Jumia for at least 6 months, your 6-month average sales revenue on Jumia must be greater than N100,000 and your 6-month average items sold on Jumia must be more than 25 items.

Prepare financial statements

You will want to include any past financial statement you can provide for the lenders and future projections. Come up with a plan that you will follow, and show projected numbers so that your lenders can see your goals clearly and know that you will be able to make enough money to pay them back.

Include your cash flow statements, income statements, and balance statements for the past three to five years, and show your estimates for these statements for the next few years, taking into account all seasonal changes in your business and how you will use the money you are borrowing.

Know your capacity for collateral

Certain types of loans will require you to put down some form of collateral. If this is the type of loan you choose, you will need to have a good idea of how much your form of collateral is worth. Lenders will want to know this number and you will want to know that you have something of tangible value to secure the loan. Just make sure that you’re not going to default on the loan and lose whatever property you use.

Understand what the loan will cost you in the end

You will want to know exactly how long it will take you to pay off your loan. Find out what kinds of offers various lenders will be able to give you, and use those interest rates and fees to estimate your payments.

All of this information should be included in your financial statements, but you should also add up all of your payments to see how much the loan will cost you. Know all of the terms and conditions attached to each loan offer before you decide which one will be best for you, and be able to show the lenders that you are a good investment.

https://businesspost.ng/2019/05/10/what-smes-must-do-before-applying-for-business-loan/

How We Plan to Improve Profitability, Deliver Value to Shareholders—Union Bank
https://businesspost.ng/2019/05/09/how-we-plan-to-improve-profitability-deliver-value-to-shareholders-union-bank/

By Modupe Gbadeyanka

Mr Godwin Emefiele will likely remain in office as the Governor of Central Bank of Nigeria (CBN) for another five-year term, Business Post has reliably gathered.

President Muhammadu Buhari has already nominated the Delta State-born former Group Managing Director of Zenith Bank Plc for the position and according to the CBN Act, the CBN Governor must be confirmed by the Senate before his appointment can take effect.

Information available to us indicated that on Wednesday, President Buhari signed a letter indicating his intention to renew the appointment of Mr Emefiele as CBN Governor for another five years.

The letter, we learned, should be read on the floor of the Senate during plenary on Thursday or next Tuesday.

Mr Emefiele was appointed by former President Goodluck Jonathan in June 2014 and was retained when Mr Buhari took over on May 29, 2015 after dislodging Mr Jonathan at the polls over two months’ earlier.

With his nomination, Mr Emefiele becomes the first CBN Governor since 1999 to retain his office.

https://businesspost.ng/2019/05/09/buhari-retains-emefiele-as-cbn-governor/

Buhari Retains Emefiele as CBN Governor
https://businesspost.ng/2019/05/09/buhari-retains-emefiele-as-cbn-governor/

By Modupe Gbadeyanka

As part of efforts to close the metering gap in the country, the federal government, through the Nigerian Electricity Regulatory Commission (NERC), came up with the Meter Asset Providers (MAPs).

This platform gives third party companies licenced by government to provide metres to customers of electricity in the country and the scheme has since commenced on May 1, 2019.

One of the leading electricity distribution firms, Ikeja Electric, embraced the MAPs so as to serve its customers better and more efficiently.

The company, in its efforts to make the process of obtaining a prepaid metre hassle-free for its customers, has explained in simple terms how to go about it.

In its Frequently Ask Questions (FAQs) sector of its website, Ikeja Electric said, “In line with NERC regulations, customers are expected to pay for meters. The payment for the meter by the customer can either be upfront or in instalments.”

It further noted that a single-phase meter costs N38,850 and a three-phase meter costs N70,350. These are all inclusive of VAT.”

Ikeja Electric explained that, “Customers who cannot afford to pay for their meters upfront can pay in instalments. The instalment payment is by regulation referred to as the Monthly Metering Service Charge (MSC) and will continue until full amortization of the meter asset cost, as agreed with the MAPs.”

It stated that, “A meter is for one customer account only. However, customers with more than one account can have multiple meters.

Ikeja Electric also said for customers who made upfront payments for acquiring the metres, the meters will be provided and installed within 10 working days of the payment and for payments in instalments, customers will be metered in line with the MAPs installation schedule.

It further said after installation, the meter will be processed for setup and activation within two days and customers will be able to vend for energy using any of the IE payment channels.

On if customers will have to pay any additional charges for meter request, Ikeja Electric simply said, “No. The total amount payable is as stated for single and three phase meters respectively. However, where a customer location does not have the right service wiring, customers will be advised to purchase one. This can be obtained from any licensed electricity vendor.”

On how customers can pay for the MAP Meters, the firm said, “All payments for meters should be made into the authorised bank account to be advised by the MAP. No customer should pay cash for meters to any individual.”

Commenting on how to obtain the prepaid metres, Ikeja Electric advised customers to complete or update their details by visiting http://map.ikejaelectric.com/. It also said customers can send an email to CustomerCare@ikeJaelectric.com or call on any of 01-448-3900, 01-700-0250 and 0700-022-5543 for further information.

On if a customer decides not to get a meter, the company stressed that, “The regulation stipulates that all unmetered customers must be metered under the MAP scheme. Customers who refuse meters will be denied service by the distribution company,” adding that all meters will be procured and installed via MAPs.

Speaking on customers having unsettled post-paid bill before applying for a meter, the electricity firm advised that the bill be cleared by taking advantage of the various repayment options available during the KYC process.

“Outstanding balance can also be rolled over into the customer’s prepaid account and paid in instalments in line with IE’s instalment plans,” it said.

Answering question as to whether the Meter Service Charge (MSC) is the same as the Suspended Fixed Charge, the company said, “MSC is not the same as the Suspended Fixed Charge (CFC), noting that the MSC is the monthly repayment of the cost of the meter over a period of time.

On the event of customer’s relocation to another apartment after paying for the meters, Ikeja Electric said if the relocation is within its franchise area, the customer is expected to notify the DisCo and once notified, the company will transfer the service to the new location including the credit on the customer’s account.

“Customers are not allowed to remove their meters from their locations,” Ikeja Electric emphasised.

https://businesspost.ng/2019/05/09/ikeja-electric-explains-how-to-get-prepaid-metres-via-map/

Nigerian Breweries Mulls Raising Prices to Rev up Profit
https://businesspost.ng/2019/05/09/nigerian-breweries-mulls-raising-prices-to-rev-up-profit/

Nigerian Stock Market Sinks to Two-Year Low
https://businesspost.ng/2019/05/09/nigerian-stock-market-sinks-to-two-year-low/

By Dipo Olowookere

There are strong indications that the management of Nigerian Breweries may soon force its consumers to pay more for a bottle of beer produced by the company.

In recent times, the brewery giant has been struggling to cope with the harsh operating environment as a result of an increase in the excise duty on alcoholic products by the federal government last year.

Last month, the company released its financial statements for the first quarter of 2019, though the revenue increased to N91.4 billion from N88.5 billion in the same period of last year, the profit before tax depreciated to N11.5 billion from N15.3 billion, while the profit after tax went down by 21.6 percent to N8 billion from N10.2 billion a year ago.

During the period, the company announced that it paid N8.1 billion on excise duty compared with the N5.5 billion in Q1 2018, bringing its net revenue in the period under consideration to N83.3 billion versus N83 billion a year ago.

Worried by the impact the new excise duty was having on the business, the firm said it was making moves to offset to these effects through raising prices of the company’s products.

This is especially because the management expects excise duties to increase in the second half of the year by 67 percent to N35 per litre.

As a result of this, “We need to increase prices to compensate for inflation pressure and the impacts of excise tax,” Managing Director Jordi Borrut Bel was quoted as saying by Bloomberg on Tuesday in Lagos.

Business Post reports that there was allegedly an earlier plan by the beer maker to increase prices of its products in 2018 after the new hike in excise duty became effective, but the reluctance of its competitors to toe a similar path killed it.

Shares of Nigerian Breweries fell by 50 kobo or 0.76 percent on the Nigerian Stock Exchange (NSE) on Wednesday to finish at N65.50k per unit.

https://businesspost.ng/2019/05/09/nigerian-breweries-mulls-raising-prices-to-rev-up-profit/

By Dipo Olowookere

The value of the Nigerian Stock Exchange (NSE) further depreciated on Wednesday as investors continue to patiently await any positive news that will stimulate buying pressure.

Business Post reports that the market declined during the midweek trading session by 0.45 percent to extend the year-to-date loss to 7.84 percent.

A more alarming situation occurred at the market yesterday as All-Share Index (ASI) fell below the 29,000 psychological mark for the first time in two years. The ASI, which is the major barometer for measuring the market’s performance, went down by 130 points to settle at 28,966.41 points against 29,096.41 of the previous session.

Business Post reports that the last time the index closed below 29,000 points was on May 25, 2017, when it ended at 28,467.61 points.

For the market capitalisation, it decreased yesterday by N49 billion to close at N10.887 trillion as against N10.936 trillion of the previous session.

Unlike the previous day, the market activity was mixed as the volume of shares traded by investors decreased by 24.51 percent to 324.8 million from 430.3 million, while the value rose by 14.37 percent to N3.2 billion from N2.8 billion.

United Bank for Africa (UBA) led the activity chart during the day, accounting for 59.7 million units sold for N409 million.

Access Bank followed with 46.4 million units of its shares traded for N327.4 million, while Sterling Bank exchanged 40.3 million equities worth N103.7 million.

Zenith Bank transacted 32.2 million valued at N661.7 million, while Courtville traded 16.4 million shares worth N4.1 million.

A look at the price movement chart indicated that Dangote Cement claimed the top spot, losing N2 to close at N179 per share.

Mobil Oil Nigeria also depreciated by N2 to finish at N173 per share, while GTBank lost 70 kobo to settle at N32.30k per unit.

Nigerian Breweries decreased by 50 kobo to end at N65.50k per unit, while Access Bank depreciated by 15 kobo to end at N7 per share.

On the other hand, Beta Glass maintained its top spot on the gainers’ log, gaining N6.25k to close at N68.95k per share.

Dangote Flour rose by 80 kobo to settle at N16.80k per share, while Cadbury Nigeria appreciated by 30 kobo to end at N11 per unit.

Dangote Sugar increased its share value by 25 kobo to finish at N14 per unit, while Eterna appreciated by 20 kobo to end at N4.10k each.

An analysis of the sector performance showed that only the consumer goods sector finished strong on Wednesday as the index rose by 0.12 percent.

The banking index went down by 0.77 percent, the insurance index dropped 0.42 percent, while the industrial index depreciated by 0.16 percent.

https://businesspost.ng/2019/05/09/nigerian-stock-market-sinks-to-two-year-low/

T-Bills Yields Drop to 9.97% on Absence of OMO Auction
https://businesspost.ng/2019/05/09/t-bills-yields-drop-to-9-97-on-absence-of-omo-auction/

90-Day T-Bills Yields Gain 1.43% as CBN Sells N173bn OMO Bills
https://businesspost.ng/2019/05/08/90-day-t-bills-yields-gain-1-43-as-cbn-sells-n173bn-omo-bills/

MTN Nigeria Registers 20.355 billion Shares of 2 Kobo Each With SEC
https://businesspost.ng/2019/05/07/mtn-nigeria-registers-20-355-billion-shares-of-2-kobo-each-with-sec/

Japaul Operations Under Serious Threat
https://businesspost.ng/2019/05/07/japaul-operations-under-serious-threat/

Investment Opportunities for Retail Investors
https://businesspost.ng/2019/05/07/investment-opportunities-for-retail-investors/

Expectations of Analysts at Stock Market This Week
https://businesspost.ng/2019/05/06/expectations-of-analysts-at-stock-market-this-week/

How Etiebet’s 2016 Letter Offers New Clues to N2.4bn Debt to Access Bank
https://businesspost.ng/2019/05/06/how-etiebets-2016-letter-offers-new-clues-to-n2-4bn-debt-to-access-bank/

By Modupe Gbadeyanka

After keeping viewers in the dark for weeks, MultiChoice Nigeria, organisers of the arguably biggest reality TV show in Africa, Big Brother Naija, have said the programme will kick off next month after Ramadan.

Business Post recalls that auditions for this year’s edition were held in February in various centres across the country, while online auditions were held in March with the audience voting for one housemate to join the members of the house.

But since then, many lovers of the show have waited for the commencement of the reality programme, which gave the last winner $100,000 prize money, without any words from the organisers.

At the weekend, it was disclosed that the season 4 of the reality TV show, which will be filmed in Nigeria, will start in June.

MultiChoice Nigeria said the theme for the 2019 edition is Forget Wahala, promising that viewers will remain glued to their television sets as usual when the show eventually begins.

MultiChoice Nigeria further said Ebuka Obi-Uchendu would return as the show host for the third time, adding that the reality TV show was scheduled to be filmed in some other countries as well.

The first edition was tagged Big Brother Nigeria, while second edition had the theme See Gobe, with the third tagged Double Wahala.

Business Post reports that the first edition of the show, which held in 2006, was won by Katung Aduwak. The second, which took place in 2017, was won by Efe Ejeba, while the last edition in 2018 was won by Miracle Igbokwe.

https://businesspost.ng/2019/05/06/big-brother-naija-season-4-begins-next-month/

Rates to Fall as N196bn Treasury Bills Mature This Week
https://businesspost.ng/2019/05/06/rates-to-fall-as-n196bn-treasury-bills-mature-this-week/

Shareholders Want Alerts for Dividend Payment to Show Company's Name
https://businesspost.ng/2019/05/06/shareholders-want-alerts-for-dividend-payment-to-show-companys-name/

Custodian Investment Vows to Maintain High Corporate Governance Standards
https://businesspost.ng/2019/05/06/custodian-investment-vows-to-maintain-high-corporate-governance-standards/

NSE Listing: MTN Submits Application to SEC
https://businesspost.ng/2019/05/06/nse-listing-mtn-submits-application-to-sec/

First Bank Plans Aggressive Debt Recovery to Boost Dividend Payout
https://businesspost.ng/2019/05/05/first-bank-plans-aggressive-debt-recovery-to-boost-dividend-payout/

Mutual Benefits Assurance Lists Additional 3.2 billion Shares
https://businesspost.ng/2019/05/05/mutual-benefits-assurance-lists-additional-3-2-billion-shares/

Transcorp, CCNN, Japaul Contribute 27.46% to Equity Turnover
https://businesspost.ng/2019/05/04/transcorp-ccnn-japaul-contribute-27-46-to-equity-turnover/

'Over true' is worrying the bolded statement

Valueinvestor:
Sir, na so we buy oando tire when they acquired ConocoPhillips. Remember FO too bought a power plant, did it actually bring in profits and was the profit actually extended to the shareholders. Acquisitions are good, but wat is the motive behind it, is it for just a feeling of grandiose, or is it to add value to the stake of existing shareholders. The motive /efficiency of the management in these Acquisitions is key
The truth is "You can't partner with crooks and expect to make money even if it's a great business " - Jatin Khemani.

Arraignment of Access Bank CEO, Others in Court Stalled
https://businesspost.ng/2019/05/04/arraignment-of-access-bank-ceo-others-in-court-stalled/

First Aluminium Appoints New MD as Igbinakenzua Resigns
https://businesspost.ng/2019/05/04/first-aluminium-appoints-new-md-as-igbinakenzua-resigns/

NAHCO Appoints 2 Directors, One Chief Financial Officer
https://businesspost.ng/2019/05/04/nahco-appoints-2-directors-one-chief-financial-officer/

Atlas Mara May Support Union Bank’s Growth Plan via Acquisitions
https://businesspost.ng/2019/05/03/atlas-mara-may-support-union-banks-growth-plan-via-acquisitions/

Ex-CBN Governor Joins MTN Board Ahead of NSE Listing
https://businesspost.ng/2019/05/03/ex-cbn-governor-joins-mtn-board-ahead-of-nse-listing/

I believe the Afam Power news is what is driving Transcorp. With such information, some investors will like to take position now in anticipation of a price appreciation.

Mcy56:
Transcorp, just like zenith is just one kind stock to me.
Once you know you're not lucky with a stock stop disturbing yourself about it. Like me, there's nothing anyone will say about carver-ton (for instance) that I will listen to. If I buy na to sell at loss, so I dont disturb myself again.

Moody’s Rates First Bank’s NPL Ratio Credit Negative
https://businesspost.ng/2019/05/03/moodys-rates-first-banks-npl-ratio-credit-negative/

SAHCOL Aims to Reward Shareholders With Double-Digit Growth
https://businesspost.ng/2019/05/03/sahcol-aims-to-reward-shareholders-with-double-digit-growth/

Firm Accuses First Bank of Account Manipulation, Seeks N25bn Compensation
https://businesspost.ng/2019/05/03/firm-accuses-first-bank-of-account-manipulation-seeks-n25bn-compensation/

Transcorp Wins Bid to Acquire Afam Power for N105.3bn
https://businesspost.ng/2019/05/03/transcorp-wins-bid-to-acquire-afam-power-for-n105-3bn/

Value of Unclaimed Dividends Rises to N103bn
https://businesspost.ng/2019/05/03/value-of-unclaimed-dividends-rises-to-n103bn/

CBN Raises 364-Day T-Bills Rate, Cuts 91-Day, 182-Day Rates
https://businesspost.ng/2019/05/03/cbn-raises-364-day-t-bills-rate-cuts-91-day-182-day-rates/

CBN to Sell N110bn Treasury-Bills at PMA Today
https://businesspost.ng/2019/05/02/cbn-to-sell-n110bn-treasury-bills-at-pma-today/

FCMB Promises to Sustain Impressive Performance
https://businesspost.ng/2019/04/30/fcmb-promises-to-sustain-impressive-performance/

CBN Issues Licences to 5 New Banks to Boost Lending
https://businesspost.ng/2019/04/30/cbn-issues-licences-to-5-new-banks-to-boost-lending/

Recovery in the Equity Market in Sight?
https://businesspost.ng/2019/04/29/recovery-in-the-equity-market-in-sight/

One-Year T-Bills Yield Rises to 14.3%
https://businesspost.ng/2019/04/30/one-year-t-bill-yield-rises-to-14-3/

5 Banks Earn N15.7bn on Account Maintenance Charges in Q1 2019
https://businesspost.ng/2019/04/29/5-banks-earn-n15-7bn-on-account-maintenance-charges-in-q1-2019/

By Modupe Gbadeyanka

A total of N15.7 billion was netted by the five biggest banks in Nigeria from maintaining the account of their customers in the first quarter of 2019, the research team of Business Post has confirmed.

The five bank are Zenith Bank, Access Bank, Guaranty Trust Bank (GTBank), United Bank for Africa (UBA) and First Bank, which our research team tagged ZAGUF.

Some days ago, the banks, alongside other publicly quoted companies, released their financial statements to the Nigerian Stock Exchange (NSE) for the period ended March 31, 2019.

An analysis of the financial positions of these ZAGUF banks showed that the amount generated from Account Maintenance Charges increased in the period under review when compared with the same period of last year.

In the first quarter of last year, the five big boys in the Nigerian banking industry generated the sum of N13.2 billion from Account Maintenance Charges, indicating that the amount increased by N2.5 billion or 18.94 percent in 12 months.

A further analysis of the results indicated that Zenith Bank made the highest amount from maintaining accounts of customers domiciled with them.

The lender netted N5.238 billion from current account maintenance charges against the N4.962 billion it generated in the first three months of 2018.

Following were First Bank, which earned N3.218 billion in Q1 2019 in contrast to N2.986 billion in Q1 2018, and GTBank, which raked N3.045 billion in the period under review versus N2.745 billion earned exactly 12 months ago.

Occupying the fourth position was Access Bank, which generated N2.212 billion from Account Maintenance Charges against N896 million in Q1 2018, while UBA raked N1.967 billion in Q1 2019 versus N1.598 billion in Q1 2018.

https://businesspost.ng/2019/04/29/5-banks-earn-n15-7bn-on-account-maintenance-charges-in-q1-2019/

We sincerely apologise for the error in our former headline, which put the PAT at N465bn instead of N465m. We have corrected the error.

Yayira:
Unity bank Four hundred and sixty five billion ?