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Investors debunks Meristem Registrars claim on Bagco 2007 IP


August 01 , 2008


Proshare NI

August 01, 2008 at 18:31 GMT


Investors have debunked the claims of Meristem Registrars Limited, on the crediting of accounts of  about half of the 700,000 investors that took part in the Nigerian Bags Manufacturing Company Plc, (Bagco) 2007 Initial Public Offer (IPO).



As earlier reported, on Wednesday July 30, 2008 Proshare NI sought to find out the reason for the persistent complaints over the non-receipt of share certificate/return money on the Bagco offer by investors.



Bunmi Oguntoye Registrar/Chief Executive Officer (CEO) of Meristem Registrars had confirmed to Proshare NI that about half of the 700,000 investors who participated in the offer have had their Central Security Clearing System (CSCS) accounts credited.



The reactions that trailed this claim by Meristem Registrars have been numerous.

Bayo Bankole an investor who resides in AbeokutaOgunState in his reaction affirmed that the Registrar of Meristem was been economical with the truth.
His complaint reads thus: “I bought 2000 Units of Bagco shares for each of my three kids but as I write you now, I only have a letter for one of them stating that I should come for Share Certificate and Returned Monies Cheques.

The letter was even from Marina Securities Ltd. (not Meristem) and was signed by Wale Okunola and Anita Yakubu. The address of Marina Securities, as stated in their Letter Headed Paper was 45 Saka Tinubu Street, VictoriaIsland.


I was at the address about a month ago only for me to be told that they have moved to Construction House on Adeyemo Alakija Street, VictoriaIsland.

The rationale for Meristem or Marina Securities to subject people to these hassles could not be understood” he said.

Bankole affirmed that he was shocked when he read on Proshare’s website that Meristem Registrars have sent the share certificates to the CSCS accounts of investors who took part in the Bagco offer.

“I was therefore shocked when I read your report that Meristem stated that they have sent the shares to the CSCS accounts of subscribers to Bagco IPO” Bankole said.


Proshare NI contacted Oguntoye once more on this, but he could not clarify the issue; “I am not present in the office at the moment, so I cannot give a correct version of the true position of things as regards the Bagco return money/issuance of share certificates, any investor having problems should visit Meristem and have it resolved” he affirmed.

I cannot understand the reason for bringing in Marina Securities on this matter; “maybe they are Stockbrokers to the investors” he said.



This is coming on the heels of enquiries from investors as regards the non-receipt of share certificates/return money of the Bagco 2007 IPO.

As earlier reported, Proshare NI had not confirmed this story from the CSCS.

In November 2007, Bagco approached the Nigerian Capital Market to raise a fresh fund of N7.273 billion and offered to investors 1.865 billion ordinary shares of 50 Kobo at N3.90 Kobo per share.

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