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SEC give FinBank Marching orders on 2008 hybrid offer



Proshare NI

March 20, 2009 at 16:12 GMT




The Securities and Exchange Commission (SEC) today in Abuja Nigeria gave First Inland Bank Plc (FinBank) a marching order to list with immediate effect its year 2008 hybrid offer on the Floor of the Nigerian Stock Exchange (NSE).


This is coming on the heels of an all-parties meeting summoned by the Apex Capital Market Regulatory Institution on the delay in listing of the shares of  FinBank year 2008 hybrid offer.


SEC had invited the Managing Directors (MDs) of the FinBank, First Inland Capital Limited (FinCapital), Futureview Financial Services Limited (Futureview) Greenwich Trust Limited (Greenwich) BGL Securities Limited, Integrated Trust & Investment Limited and Sterling Capital Markets Limited.


Others are Oceanic Bank International Plc (Oceanic), Skye Bank Plc (Skye), FirstInland Securities & Assets Management Limited (FinAsset), Deap Trust Investment Limited (DEAP) and FinBank Registrars Limited (FinBank Registrars). These were all parties to the FinBank year 2008 hybrid offer.


The meeting took place today Friday March 20 2009 and the Boardroom of the Commission SEC Tower.


SEC had since June year 2008 approved the allotment for the shares of the Bank, but for about nine (9) months now, FinBank is yet to list the shares on the Floor of the NSE.


Lanre Oloyi, Head, Media of the Commission confirmed to Proshare NI that indeed after the all-parties meeting today in Abuja, SEC had given its marching orders to FinBank to list those shares on the Floor of the NSE.


“SEC has directed FinBank to list those shares on the NSE immediately” Oloyi said.


As earlier reported by Proshare NI on February 18 2009, FinBanK has delayed on listing its January 2008 hybrid offer.


From Proshare’s investigations, the Commission cleared the hybrid offer on June 18 2008 and cleared the supplementary and additional allotment on September 15 2008 respectively.


Prior to this time, investors had inundated the mail box of Proshare NI on the issue of dispatch of share certificates. A good number of them expressed disappointment that close to one year, the Bank has not dispatched the share certificates of those who took part in their January 2008 hybrid offer.


Regulations stipulates that companies are supposed to start the dispatch of share certificates to investors not later than 15 working days from the day of the clearance of the allotment by SEC; thereafter apply to the Stock Exchange to list such shares.


FinBank in January, 2008, sought to raise fresh funds of N85.5 billion when it offered to investors by way of subscription 5.0 billion ordinary shares of 50 Kobo each and 4.0 billion Irredeemable Non-Cumulative Convertible Preference shares of 50 Kobo each at N9.50 Kobo respectively.


In the same vein, Proshare NI had also reported on March 09 2009 that FinBank defied Regulatory Authorities in the Nation’s Capital Market (NCM) by declaring its results behind schedule.


FinBank delayed the release of its year 2008 result for almost a year before finally doing same on March 04 2009.


The Bank’s year Ending is April 2008 and not until March 04 2009 that it declared Audited result for year 2008 on the Floors of the NSE.


This is coming on the heels of earlier report on Proshare’s website that FinBank and some other companies quoted on the Floors of NSE has gone against the Regulatory Authorities by not releasing their results on the Floors of the Exchange for sometime now.


Before this time also, Professor (Mrs.) Ndi Okereke-Onyiuke, Director General/Group Chief Executive Officer (DG/GCEO) of the Stock Exchange has advised companies to always release their results in order to enlightening the Regulators, investors and other Capital Market Stakeholders on their activities  especially as quoted firms.

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