₦airaland Forum

Frangel:
I saw that last paragraph. It's a text by the author of the notice.

Notice that the order of the court stopped at (v) which determines how the voting approval is got.

The Court cannot give any definite order or judgement on the case without the minority shareholders voting to decide on the buyout. It can never happen. There are other minority shareholders who must be given the opportunity to decide, otherwise they will also go to court and scuttle the whole process once again. The 14 shareholders cannot represent all millions of minority shareholders and you expect the millions not to express their opinion on the matter through voting.

iwaeda:
https://nairametrics.com/2023/09/22/fact-check-president-tinubu-is-not-the-1st-african-president-to-ring-nasdaq-bell/

We celebrate foolish things in this country.
First African president to ring NASDQ but his country does not have electricity

Frangel:
The court order/transaction is no longer on the 14 litigant shareholders (who started it) but on the cross petition by OODP.

There will still be the EGM for all minority shareholders to vote and decide. Otherwise, the whole process could be frustrated and truncated if another set of some minority shareholders should go to court and start another case.

austinkenneth:
[img][/img]

Thanks for this

Frangel:
The court order/transaction is no longer on the 14 litigant shareholders (who started it) but on the cross petition by OODP.

There will still be the EGM for all minority shareholders to vote and decide. Otherwise, the whole process could be frustrated and truncated if another set of some minority shareholders should go to court and start another case.

Frangel:
OODP already filed a cross petition upon which the court gave order for a Scheme of Arrangement to buy out all minority shareholders.

I will advise you read up this Oando transaction details available in the public domain via their NGX filings.

On NGX website, search for Oando, go through their corporate disclosures.

The cross petition filed by Oando and the Court's order for a Scheme of Arrangement do not take away the right of the minority shareholders to vote and decide whether to accept or reject the action of the 14 shareholders.
The minority shareholders will still vote at the EGM to decide the fate of the 14 litigant shareholders before anything else can happen.

Frangel:
Correct.

But before that, this:

https://doclib.ngxgroup.com/Financial_NewsDocs/36201_OANDO_PLC-OANDO_PLC__CORPORATE_ACTIONS_JUNE_2022.pdf

This is clearly stated in the last paragraph:

Today, OODP has a shareholding of 57.37% in Oando PLC and the above-mentioned minority
shareholders 42.63% shareholding. This action precipitated by the petition from certain Oando
minority shareholders, if approved by all the minority shareholders at the court-ordered meeting
will result in a voluntary delisting of the Company’s shareholding on the NGX in accordance with
its guidelines for delisting of securities .

austinkenneth:
Are you aware that in the court-ordered meeting (an EGM actually), a 75% positive vote among those present is what is required to push this kind of decision through? Are you also aware that four shareholders hold 74% of the total shareholding?

That means the entire decision is dependent on what these four majority shareholders decide. That decision is whether to buy you out at N7.07 or higher. Of course they would prefer to buy you out at N7.07.

The other thing is the time of the buy-out. N7.07 today is not N7.07 in six months or 1 year. They would not only buy-out at N7.07, the payment date wouldn't be anything earlier than June 2024 (my guess).

What you said are mostly correct.
However, all minority shareholders are to vote at the EGM and decide on whether they agree with the 14 shareholders that went to court and requested for the buyout because those 14 litigants claimed they are embarking on the action on behalf of all minority shareholders. Once their action is rejected by the majority of minority shareholders at the EGM, this particular action/buyout issue is dead. But Oando can then start another fresh buyout process but based on different terms if they still want to delist in the future.
The court is trying to ensure that the 14 shareholders are truly acting in the interest and on behalf of all minority shareholders, as they claim in their writ.

Redoil:
i sold a huge amount of units i bought at 3.40 yesterday and i made millions in the history of stock market of which i intend to buy a house.
now is it advisable for me to renter Oando or move on to zenith or gtb

Kudos and congrats! More grease to your elbow and may your manhood be always empowered and strengthened for the task at hand!
I have a strategy that is similar to yours..... ZB and GT are for steady dividends into the future, but it depends on the units and your target dividend returns or price appreciation .

PETERiCHY:
Those that have being having sleepless night over the skyrocketing of OANDO price will be relieved that it's s on full OFFER.

Better buy while the OFFER last because many more sleepless nights is still ahead

Oando is a long term deal.
Buy with money you can stake or risk (without much stress) when the price is within your preferred range and keep. The company is not folding up soon.
If their FY2022 results are positive and the buyout is rejected, you will reap bountifully in the future.
On the other hand, you can choose to wait until the dust is over (after the court case and buyout wahala) and decide.....but the price might have gone up.
You can also ignore Oando in totality and concentrate on other stocks.

These are the realities of the market....

But no one should cook up stories and spread lies and rumours because of his/her sentiments for/against Oando.

Bestmanfornow:
You guys have exposed yourselves that your tribe lack managerial experience see how you guys have messed Nigeria up under few months despite managing major sectors in the economy, average Yoruba man is extravagant, they live on borrowing that's why West is most indebted region despite huge IGR, all the companies you guys took over over, after Colonial masters left all collapsed. Tinubu first nation airline collapsed, see his Oando, he can't give what he doesn't have, Yoruba people like borrowing and they find it difficult to pay

This is old, stale news
Oando's FY2021 financial results was released long ago, in early part of 2023.
What we are waiting for now, is the FY2022 results.
Whatever the case may be, a loss-making company would need to either re-strategize, or restructure and go in into more profitable ventures in order to turn the corner and make profits. These are what Oando has been doing in the last couple of years, and hopefully they would assist to return the company to profitability.
Hence, it makes better sense to read the financial accounts in conjunction with current events and happenings in the company, and apply the totality of information at your disposal to take a position on the stocks.
Companies like WAPCO, BCC (now Dangote Cement), FBN and UBA have all had qualified auditors opinion in the past.
Auditors opinions are neither static nor cast in stone; they can change from year to year if new, material information is made available to them.

ojesymsym:
I think the point that gentleman is making is that all of these buyout that is claimed to be coming from minority shareholder is actually orchestrated by Wale himself but making it look like it is coming from a set of minority shareholders. I do not think he is contending the rule as per CAMA.

If I understand what he was saying, he is saying that the so-called court case against Oando is done by the same people who are the defendants to hoodwink the public.

But there will be an AGM where all shareholders will vote to either accept or reject the offer . Will Wale Tinubu manipulate all the hundreds and thousands of shareholders that will vote on that day, whose investments and livelihoods are at stake?

Streetinvestor2:
I believe say those few that went to court na arrangee to test the waters. That wala guy dey different level for naija ceos Time will tell.I pray he is not bent on delisting to hammer alone with his fellow big boys.Crude price from projections will remain high throughout 2024 and insecurity in the delta will improve too.Gas is already sky rocketing

On another note,we dey forget say wale na lawyer who knows that the court process is the way to initiate this things .why this 14 minority shareholders Does it mean they did not present a bargain price for thr investment .And oando decided to pronounce this ridiculous offer before releasing improved results

Please try and understand the rules when shareholders ask for a buyout.
The rule/law per CAMA and SEC says that the highest price of the share on the NSE in the last 6 months before the court case will be used as the offer price if shareholders ask for a buyout.
That is the reason why Oando offered N7.07 which is a little higher than the highest price on the NSE in the 6 months before the court case started.

yMcy56:
OANDO
Some profit taking today.....

CHAMS: Full bid @1.46....

Thanks for the update.
Oando will break the N20 bar very soon.

Many companies around the world have had their difficult, turbulent years and bounced back. Oando is on his way back after a decade of difficulty and turbulence!

Iamblessed85:
Exactly my point.

Do you know when the AGM will take place?

I don't know the date yet. But the court case is around October 10, 2023. That is what will determine further direction / action in the matter.
I have a feeling that the shareholders would discontinue and withdraw the case, and we go back to status quo ante .

Iamblessed85:
Actually, it’s the minority shareholders that were pushing for the delisting and not Wale. That’s the funny part. The minority shareholders instituted the court action and it was reasonable at the time but not anymore. Anyone can see that Oando actually has a bright future. The upward trajectory of the share price says alot. Day in day out we have watched the price increase and this was before they even released their results. Is it not the minority shareholders that are even topping up shares 😁

What I don’t understand is what Wale stands to gain if the company delists? For a company that is trying to stay liquid, a massive pay out to share holders may not be their preference at this time.

A lot of people don't really understand the whole story. But as typical Nigerians, they are just quick to form conspiracy theories especially if one big rich man or politician is involved e.g."Tinubu" .
I am not a fan of Tinubu, but the buyout was instigated by SOME (not all) minority shareholders who were tired of the long wait for Oando's fortunes to turnaround. And Oando is mandated to respond with an offer based on CAMA/SEC regulations. So they offered a conservative N7.07 according to the law i.e. a minimum price not below the average price on the NSE over 6 months prior to the court case.
That N7.07 offer is dead and buried because it will be rejected 100 percent!
Just waiting for the court-ordered AGM and the FY2022 results !

Frangel:
Much of this and more are in Note 50 of the just released 2021 report.

However, most people don't read the Notes to the accounts and the Directors' Report. A lot of info can be got therein, even though they are often too long.

You know all these but ignoring the positive news of the company iacquiring new massive and profitable investments e.g. ENI/NAOC which will improves it's profitability.
Keep on reading FY2021 accounts WAPCO, FBN , UBA and Dangoter Cement (Benue Cement Company) were in similar situation some years back but today they have weathered the storm and bounced back.

If you never heard of business restructuring and turnaround, there is nothing anyone can do for to change your sentiments l.

Frangel:
OANDO Plc
Impressive 2021 financials. Not out of the woods yet.

The Notes to the accounts are important. Kindly review the Notes, especially Note 50 on Going Concern.

For the minority shareholders projecting to defeat the delisting plan, the court requires 3/4th votes to approve it. Significant shareholders already control 74% and will determine the outcome.

Just my observations.

Notes to account for 2021 accounts when several events have occurred in 2023.
Have you ever heard about business turnaround before?
Oando has restructured its business since after the FY2021 accounts but you are still stuck in it,!
Keep on making reference to "Notes to the accounts" while some other current and smart people keep making money from the stocks.

Frangel:
OANDO Plc
Impressive 2021 financials. Not out of the woods yet.

The Notes to the accounts are important. Kindly review the Notes, especially Note 50 on Going Concern.

For the minority shareholders projecting to defeat the delisting plan, the court requires 3/4th votes to approve it. Significant shareholders already control 74% and will determine the outcome.

Just my observations.

Please do not spread wrong information here!
The minority shareholders are NOT projecting to defeat any delisting!
Rather, they are the ones that went to court and requested for a buyout, and Oando is mandated to make an offer based on SEC rules and regulations, and Oando offered N7.07 per share .
The Court then ordered that a special AGM must be held for all individual shareholders to either accept or reject the buyout offer! That is where we are now.

Don't use your own sentiments to spread lies and create mischief here.
Recently you said the buyout had been approved and I challenged you to tell us where and when the AGM was held to approve the buyout.... and you disappeared for more than a week.
Now you are back with another misinformation.!

[quote author=OBAGADAFFI post=125886868]I dont think Oando is delisting anymore

[/quote,

The delisting was not an idea of the Oando management. They had been trying to assure shareholders that they would start paying dividends soon after they resolved their issues with SEC.
But some shareholders took them to court because things were slow and the share price was stagnant around N3 and Oando had to respond and comply with the rules by making an offer which must be sanctioned by shareholders before it can be implemented.

The buyout offer of N7.07 per share is long dead and buried.
Another offer may be considered by investors if the price is deemed acceptable.

PETERiCHY:
Our 2 choice stocks are doing pretty well.

OANDO now #12.10k -
UBA now #18:00k

Someone should please Praiseeeeeeeeeeeeeeeeeeeeeeezzzzzzzzzzzzxz the LORD!!!!!!!!!!!!!!!!!

Some of us are sitting on only one stock. Oando. Sold Zenith and GT and invested in Oando at around N5.
Will maximize my gains from Oando and then re buy Zenith and GT for steady future dividends

Pesuzok:
I am just concerned about few things regarding Oando.

How will they get the money to buy ENI 20% while still maintaining the current OS. Do we think Tinubu will bring out money to increase assets of oando and allow the shareholders to enjoy just like that.

I see them pushing forward to delist or increase the OS of oando.

Looking at their current market cap vis a vis what the value of 40% ownership of NNPC/naoc/oando joint venture. It is too good to be true.

These assets include just to mention a few;

About 980MV power plant in Okpai
NAOC base in PHC
All flow stations and gas plants in NAOC land area and swamp area.
Brass LNG,
etc

g

You made very good observations and points.
If Oando does not have the cash, then they could only acquire NAOC using proceeds from maybe debt, private placements or public offer. Whatever happens, the buyout offer price of N7.07 can no longer fly. It is dead on arrival. If they still want to delist, they must offer much better price and the higher the share price goes on the NSE, the higher the new buyout price that they would have to offer for a new deal..

I bought my shares more than a year ago when I noticed the potential in the stocks when it was selling for N4 - N5.

I am only awaiting the court case, the AGM and their FY2022 financial accounts .... then the picture becomes very clear.

Mpeace:
Oando did not buy the entire thing. They only bought additional 20% in a joint venture enterprise increasing their stake to 40%.

NAOC is a wholly owned Nigerian subsidiary of ENI. Oando is acquiring NAOC 100 percent . NAOC has several business interests including the JV you mentioned, and others like the power plants and other onshore oil and gas operations .

UkwuAmu:
I am not coming after you but remember there are certain people who will take your word as the gospel truth considering you are a prophet. That you bought assets at 1.5 billion does not mean they are worth that price . In addition the habit of buying non productive assets at the top of their prices does not make a good decision. You pay for mistakes like that. Imagine buying an asset for 1.5 billion jand you are worth 144 million. what does that tell you? . You are suppose to be a top company with top corporate governance but you cannot produce results. You always have to do catch up and "doctor" results to woo undiscerning investors . I am not here to tell anyone what to buy but present a balance argument and always put a caveat . I take God beg you . People made money from Enron so good luck . I will be happy for you if it gets to 50 or 100 as you have stated.

Please get the guy right.
All what he means by reference to the $1.5billiin and $144m is that Oando share is presently undervalued and that the price is poised to rise further, especially .when the benefits of acquiring ENI (more profits, cost savings due to economies of scale etc) start to trickle in.
Even the ENI shares alone (if it were to be quoted on the NSE) would have its own value. Take note that the acquisition of ENI seems to be by 100 percent cash consideration only, as no mention of merger or exchange or issuance of shares is involved. That is bound to impart on the share value of Oando. .
Anyone is free to either ignore Oando shares because of poor and painful experience of the last ten years (and sentiments against Wale and Bola Tinubu), or look at the current and future financial and economic prospects of the company and make a decision. Investment is all about risk taking based on your knowledge and assessment of your target investment.

Bulldozer90:
Another square peg in a round hole.

Exactly.
As a Yoruba man, I am not even impressed with these lopsided appointments ! [i][/i]

Bulldozer90:
Another square peg in a round hole.

Exactly.
As a Yoruba man, I am not even impressed with these lopsided appointments !

yinka2011:
OANDO will reach N 100 by March 2024(my own opinion based on my own reasearch) ...mark this post.

I have been saying the same thing. Once the AGM rejects and kills the buyout offer and the court sanctions it , Oando would sky rocket if it releases positive result for FY2022.. In fact, the acquisition of ENI is a clear indication of the future prospects of the company and its shares.
I am sure those minority shareholders that went to court for the buyout have already started buying more of the same Oando shares.

Mpeace:
Conoil is not Oando's contemporary. Oando is not in the downstream business any more, NNPC has bought all that from them. Conoil upstream section is not on Nse. Just the fuel distribution section tgat is on Nse.
Oando is in the upstream sector with Seplat(on NSE)
But OS is one thing to consider before estimating the price.

All you said still points to the fact that Oando is under valued presently.

Conoil is the closest comparable to Oando, apart from Oando selling its downstream to NNPC and having larger outstanding shares. Those are 2 of the biggest indigenous oil companies owned by Nigerians currently listed on NSE
Even before Oando sold it's downstream business to NNPC it's shares were selling for N3-N5 while Conoil was going for N40-N50.
If Conoil is currently selling at N90-N100, then you can expect Oando to rise especially when they start paying consistent good dividends like Conoil has been doing.
My advice is: take a position in Oando with money you can stake for a year or two and reap good returns .
But make sure you attend the Court -ordered AGM and help destroy and kill the buy out offer of N7. 07

Labdi69:
It appears ProphetUtuocha prediction on this Oando is coming to fruition gradually o. Seems i may do some top up

Oando is still undervalued. Check the price of it's contemporaries like Conoil which is selling around N90-100 even though it is more downstream than upstream
Don't be surprised to see Oando clock N50 very soon
The only thing that looks confusing about Oando is the buy out offer of N7. 07 because of the Court case. The Court has cleverly given shareholders the power to either reject or accept the offer and it adjourned the case from March to October2023 i.e. . a whole 6 months for the shareholders to consider all factors and take a decision.
That buy out offer is now dead on arrival. If you are patient to make good profit, go buy Oando before it rises further.
I saw the opportunity more than 2 years ago and started loading it and now I have millions of units!

chimex38:
₦500!!
Fear God nah

You should know it was an error; price cannot increase from N500 to N100
I meant to type ''N50-N100''

mikeapollo:
If you have the money, buy as much of Oando as you can.
But you have to be patient until at least next year. The gain will be massive when they declare their results for FY2023
Oando has had some governance challenges in the last 10 years or so in the board room (management/shareholders), SEC troubles, forex losses and interest on loans etc. that affected their performance in the past.
They seemed to have turned the corner with the declaration of profits in FY2021 and acquisition of ENI/NAOC which could be a gamechanger. Also, a look at the share prices of its peers on the NSE....that should tell you that OANDO can potentially sell between N50-100 in the next few months, especially when the buyout offer is rejected at the AGM ordered by the court.

Please take note: I wanted to type N50-N100

chimex38:
Lol..

Apologies; it was a typo. I wanted to type N50-N100