TheNewsGuru

Tag: Corporate Governance

  • UBA Meets NSE’s Stringent Corporate Governance Conditions, Lists on NSE Premium Board

    The Nigerian Stock Exchange on Monday migrated the ordinary shares of United Bank for Africa (UBA) Plc to its Premium Board, in what capital market analysts describe as an attestation to the Bank’s strong adherence to international best practices on corporate governance.

    The Premium Board is the newly created platform for elite companies that meet the most stringent corporate governance and listing standards of the Exchange.

    According to the CEO of Nigerian Stock Exchange, Oscar Onyema, UBA Plc, Seplat Petroleum Development Company Plc, Lafarge Africa Plc and Access Bank Plc were admitted on this elite platform, having fulfilled all the stringent listing requirements for the Premium Board of the Nigerian Stock Exchange. It is a platform for showcasing sector leaders, with sound corporate governance.

    “Premium Board features companies that adhere to international best practices on corporate governance and meet the Exchange’s highest standards of capitalisation and liquidity,” Onyema said.

    According to Onyema, UBA Plc, Lafarge Africa, Seplat and Access Bank have all passed the Corporate Governance Rating System and have market capitalization of N374.48bn, N391.37bn N378.60bn and N347.12bn respectively.

    Onyema added, “companies on the Board are well-run corporates with sound governance, which is part of the requisite qualification for listing on the Premium Board. These stocks which currently have strong visibility on the Exchange will further appeal to investors, seeking to invest in companies with the highest standards of corporate governance. From inception to date, the Premium Board Index continues to outperform the benchmark NSE ASI with the Premium Board recording a total return of 85% per cent, compared to the NSE ASI’s return of 42% over the same period.

    UBA, Seplat, Lafarge and Access would join Dangote Cement Plc, FBN Holdings Plc, and Zenith International Bank Plc on the Premium Board, bringing the total number of companies on this elite platform to seven.

    Speaking at the event, the Group Managing Director/CEO, UBA Plc, Kennedy Uzoka noted; “the migration of UBA shares to the Premium Board of the Nigerian Stock Exchange (NSE) is well deserved. It is instructive to bring back memories of our pioneer Initial Public Offer (IPO) in the Nigerian banking sector, following our listing on the NSE in 1970. Since then, we have remained committed to the development of the NSE and the broader capital market, through our equity and debt listings as well as strategic partnerships with the leaderships of the Nigerian capital market.

    More so, this premium listing of UBA shares is a further attestation of our size and the liquidity of the stock on the Exchange. It is also reinforcing of our continuously evolving sound corporate governance, which is a pre-requisite for companies to be listed on the Premium Board of the NSE. In expectation that this premium listing will further enhance the visibility of our stock on the Nigerian Bourse, we believe our decision to migrate UBA shares to this new Board will deepen value creation for our shareholders. It is pertinent to reiterate our commitment to sustainable and superior wealth creation for all shareholders, as we duly appreciate and place significant premium on everyone’s investment in UBA Group, Kennedy added”.

  • We’ll enact laws to strengthen corporate governance in Nigeria soon – Dogara

    We’ll enact laws to strengthen corporate governance in Nigeria soon – Dogara

    …as Speaker Dogara, classmates establish endowment for University of Jos

    The Speaker of the House of Representatives, Hon. Yakubu Dogara, has assured that the National Assembly will introduce legislation that will strengthen corporate governance in Nigeria.

    Dogara made this known on Friday at the 81st inaugural lecture of University of Jos titled “Nigerian Corporate Governance: From Concentrated Ownership to Dispersed Owenership- Which Way Forward?” delivered by Professor Joash Amupitan SAN of the faculty of law.

    Enacting such laws has become necessary in view of the fact that corporate collapse leads to loss of thousands of jobs and affects the economy negatively as witnessed in recent years, the Speaker stated.

    “The factors that led to the corporate collapses that he (Prof Amupitan) talked about in the 2000 when we investigate it boils to the way and manner in which those corporations that failed were managed. As a matter of fact all the problems we traced to corporate governance issues,” the speaker said.

    According to him, “Imagine if you had a company that used to fix that brand of Mercedes that we used to call German mistake, and then you have management that said we’re not going to have anything to do with any other brand of Mercedes, except this one.”

    He maintained that wherever “you find cases of problems and collapses, it would’ve something to do with either insider collaboration or dealings, or some failure on the part of those governing that corporation to lead the path to innovation.”

    He commended Prof Amiputan for his scholarly contribution to the development of the field of corporate governance in Nigeria saying ” I thank him that he has spoken about this, all the challenges are noted and the factors that relate to the National Assembly are things we will take with us.”

    Hon. Dogara argued that the challenge still remains whether the proffered solutions are the best way to maintain sustainable, healthy corporate societies in Nigeria is a big question that must be answered but assured that the House will consider passing laws that will check insider abuses that often leads to the collapse of companies.

    The Speaker who is also graduated from Unijos announced the setting up of an endowment fund by him and his classmates of 1992 so as to give back to the university community.

    Hon. Dogara revealed that the class of 1992 faculty law will later this year hold an event in the university to formally unveil the endowment fund.

    The speaker also took time to visit the faculty of law buildings where he interacted with staff and students.