November 2025 – Page 5

Veritasi Homes & Properties Plc Opens Book Building for Series 1 Bond Under N30 Billion Issuance Programme

Veritasi Homes & Properties Plc has officially opened the book-building phase for its Series 1 Bond Issuance, marking a significant step in the company’s long-term capital-raising plans. The issuance is the first tranche under Veritasi’s N30 billion Bond Issuance Programme and is structured with a target size of up to N10 billion. The book build opened on Monday, November 17, 2025, and will run until Wednesday, November 26, 2025, offering qualified investors the opportunity to participate in one of the market’s most anticipated real estate-backed debt offerings for the year.

The Series 1 Bond comes with a pricing guidance range of 19.00% to 20.00% per annum, reflecting current market conditions and investor appetite for secure, yield-driven instruments. With a three-year tenor, the bond also features a six-month moratorium on principal, providing Veritasi additional flexibility in deploying capital toward its flagship development pipeline. Minimum subscription is set at N10 million, equivalent to 10,000 units priced at N1,000 per unit, making it accessible to pension funds, asset managers, insurance firms, and other institutional investors seeking exposure to structured real estate investments.

Proceeds from this bond issuance will be directed towards Project Oyster Towers, an 82-unit luxury residential development situated in the premium Eko Atlantic City district. The project has already demonstrated strong market traction, with 63% of the units subscribed under a pre-existing agreement with Cooplag. The bond proceeds will support ongoing construction and completion milestones, ensuring Veritasi maintains its track record of delivering high-value residential products in Nigeria’s competitive upscale real estate segment.

To strengthen investor confidence, the Series 1 Bond is secured by an existing deed of debenture over Veritasi’s assets. These assets have been independently valued at an Open Market Value (OMV) of N57.19 billion and a Forced Sale Value (FSV) of N40.04 billion, providing substantial collateral coverage. Additional credit enhancements include domiciliation of receivables from units already sold in Oyster Towers, offering further assurance of liquidity and repayment capacity.

The issuance benefits from robust credit assessments by reputable rating agencies. The Bond itself carries an A rating from GCR and A from DataPro, while the company maintains strong long- and short-term issuer ratings across the two agencies—affirming its financial stability, operational governance, and capacity to meet debt obligations.

Pathway Advisors Limited is serving as the Lead Issuing House and Bookrunner, working alongside a consortium of Joint Issuing Houses including FirstCap Limited, Renaissance Capital Africa, SCM Capital Limited, Wealthbridge Capital Limited, and Lighthouse Capital Limited. The bond will be listed on the FMDQ Securities Exchange, further enhancing its visibility, secondary market liquidity, and compliance with regulatory standards. The issuance has been duly registered with the Securities and Exchange Commission (SEC) Nigeria.

Qualified institutional investors are invited to participate in the book-building process and access the Investor Data Room, which contains detailed offer documents, financial disclosures, and due-diligence materials.

For further enquiries regarding participation, prospective investors may contact:

Opeyemi Akanbi – opeyemi@pathway.ng | 0902 743 2796
Idris Busari – idris@pathway.ng | 0802 688 6728

ACCESSCORP Leads Market Activity as Nigerian All-Share Index Slips 0.32%

The Nigerian stock market closed the week on a mildly negative note as the All-Share Index (ASI) fell by 0.32% on Friday, reflecting persistent cautious sentiment across key sectors despite a rebound in trading activity. The benchmark index shed 464.41 points to close at 143,722.62, down from the previous day’s level of 144,187.03.

The dip in the index, though modest, reinforces the market’s struggle to regain upward momentum after several sessions of mixed performance. Nonetheless, investor participation improved significantly, with total trading volume nearly doubling compared to the previous session. The market recorded 656.9 million shares, a sharp increase from the 349.2 million shares exchanged on Thursday, highlighting renewed interest—particularly in banking stocks.

Equity market capitalization weakened in tandem with the index, falling from N91.7 trillion to N91.4 trillion, marking a day-on-day loss in market value. This decline reflects broad-based selling among mid- and large-cap equities, although pockets of bullish activity helped cushion deeper losses.

Several stocks displayed strong resilience. NCR led the gainers’ table with a 9.89% rise to close at N41.10, followed closely by IKEJAHOTEL, which appreciated by 9.74% to finish at N20.85. Other notable gainers included NEIMETH (+9.09%), MAYBAKER (+8.60%), and REGALINS (+6.60%). Their performance represented selective investor optimism in specific sectors such as healthcare, hospitality, and insurance.

Conversely, the losers’ chart was dominated by aggressive selloffs. RTBRISCOE declined by 10.00%, settling at N3.15, while LEGENDINT followed with a 9.93% drop to N5.26. INTENEGINS, NAHCO, and LINKASSURE also posted steep losses, each shedding between 9.68% and 9.79%. These declines highlight sustained volatility among small- and mid-cap counters, many of which have experienced significant price swings in recent weeks.

In terms of market activity, ACCESSCORP topped the volume chart with an impressive 128.6 million shares traded, reflecting strong investor interest in the stock despite its price decline during the session. ZENITHBANK followed with 91.5 million shares, while UACN, buoyed by intensified interest following its acquisition announcements, recorded 74.3 million shares. GTCO and FIDELITYBK rounded out the top five busiest counters with 48.4 million and 37.7 million shares, respectively.

On the value side, ZENITHBANK led the market with transactions worth N5.4 billion, reaffirming its strong liquidity and investor appeal. UACN came close with N5.1 billion, reflecting heightened activity linked to its strategic expansion plans. GTCO posted N4 billion in traded value, while ACCESSCORP and STANBIC recorded N2.6 billion and N1.6 billion, respectively.

Among the SWOOTs (Stocks Worth Over One Trillion), performance was mixed. MTNN fell by 2.11%, while ARADEL posted a 1.43% decline. Within the FUGAZ banking group, ACCESSCORP slid 2.38%, UBA dipped 0.27%, and ZENITHBANK edged lower by 0.17%. However, FIRSTHOLDCO gained 1.66%, and GTCO rose 0.60%, helping to temper broader losses in the sector.

Looking ahead, analysts warn that bearish sentiment may persist, particularly if macroeconomic uncertainties continue weighing on investor confidence. However, a strong rebound in mid- and large-cap stocks could help the market reclaim the 150,000-point threshold in the near term. Investors will be closely watching corporate disclosures, policy signals, and liquidity flows as potential catalysts for a renewed upward trend.

DMO to Raise Up to N500 Billion as It Reopens Benchmark FGN Bonds on Monday

Nigeria’s Debt Management Office (DMO) is preparing for one of its largest bond sales of the quarter as it launches a major reopening of two benchmark Federal Government of Nigeria (FGN) bonds on Monday, November 24, 2025. The auction, which aims to raise between N400 billion and N500 billion, represents a significant scale-up from earlier borrowing projections and underscores the Federal Government’s deepening reliance on domestic markets to finance its fiscal programme.

The move was confirmed in the revised Q4 2025 FGN Bond Issuance Calendar released on November 18. The DMO will reopen the 17.945% FGN AUG 2030 and 17.95% FGN JUN 2032 bonds—two key instruments in the intermediate section of Nigeria’s sovereign yield curve. Each tranche will now be offered at N200 billion to N250 billion, far higher than the original N120 billion to N150 billion range announced earlier in the quarter.

These bonds currently have remaining maturities of 4 years, 9 months (2030) and 6 years, 7 months (2032), and remain among the most actively watched sovereign instruments due to their depth, liquidity, and influence on pricing across the domestic debt market.

Liquidity Boost Expected from Maturing OMO Bills

The expanded issuance comes at a time when the Central Bank of Nigeria (CBN) is set to repay multiple maturing Open Market Operation (OMO) bills, including a N32 billion 56-day bill issued on November 7. These repayments will inject additional liquidity into the financial system, giving institutional investors—including banks, pension fund administrators (PFAs), and asset managers—more room to participate aggressively in the upcoming bond sale.

The liquidity boost is expected to support a strong auction performance, especially as investors continue to favour high-yielding risk-free instruments under Nigeria’s elevated interest-rate environment.

Revised Q4 Borrowing Calendar Signals Stronger Domestic Strategy

The updated Q4 borrowing plan shows that the Federal Government intends to raise between N440 billion and N650 billion through three bond auction windows. The first auction—held on October 27—raised between N240 billion and N300 billion. The final auction for the year, slated for December 15, will mirror the November offer size, reopening both the 2030 and 2032 bonds again at N400 billion to N500 billion.

By mid-December, the reopened bonds would have marginally shorter maturities—roughly 4 years, 8 months for the 2030 paper and 6 years for the 2032 series. However, the DMO stressed that its calendar remains provisional and could be revised should market conditions or government financing needs shift.

Analysts note that the DMO’s decision to focus on reopening existing bonds rather than issuing new maturities is intentional. This approach avoids market fragmentation, enhances liquidity, improves price discovery, and aligns with global best practices for building deep and efficient secondary markets.

Strong Demand Expected as Yields Remain Attractive

With coupon rates near 18%, investor appetite for sovereign bonds remains robust. Many institutional investors continue to rebalance their portfolios toward high-yield government securities, especially ahead of year-end asset allocation cycles.

Meanwhile, the CBN will repay a total of N332.45 billion in OMO maturities between December 2 and December 30, including:

N450 million due December 2 (361-day bill)
About N300 billion due December 30 (56-day bill issued November 4)

These inflows are expected to reinforce demand for the November 24 bond auction and subsequent issuances.

Overall, analysts expect market conditions to remain stable through the year’s end, supported by elevated yields, strong liquidity, and the Federal Government’s continued preference for domestic debt to meet its 2025 financing commitments.

UACN Clarifies Strategic Rationale Behind N182 Billion CHI Acquisition at Analyst Briefing

UAC of Nigeria Plc (UACN) held a highly anticipated investor and analyst briefing on November 20, 2025, marking its first major public engagement since announcing the monumental N182.4 billion acquisition of C.H.I Limited (CHI) from Coca-Cola. The session, held in Lagos, attracted capital-market analysts, institutional investors, and industry stakeholders eager to understand both the financing structure of the deal and its long-term implications for one of Nigeria’s oldest conglomerates.

From the detailed presentations delivered by the Group Finance Director, Funke Ijaiya-Oladipo, and Group Managing Director, Fola Aiyesimoju, it became clear that UACN views the acquisition as a generational opportunity—one that positions the group to dominate the food and beverage landscape for decades.

How the Deal Was Financed: SPV Structure and Aggressive Bank Funding

Ijaiya-Oladipo provided the most granular explanation to date of how the company mobilized N182.4 billion for the takeover. To execute the transaction efficiently, UACN created a wholly owned Special Purpose Vehicle (SPV)—UAC Food and Beverage Company Limited—tasked with acquiring and financing CHI. By housing all debt obligations within the SPV, UACN ensured a clean transition and avoided disruptions to its existing operations.

The financing mix showed a deliberate tilt toward debt:

N30.8 billion (17%) came from UACN’s internal cash reserves.
N151.6 billion (83%) was secured from banks through a 12-month U.S. dollar bridge loan.

Because Coca-Cola required dollar settlement, UACN hedged the entire facility, absorbing higher initial costs but preventing foreign exchange volatility from affecting the transaction. The company also disclosed that it has secured a fully underwritten 7-year naira refinancing loan and is preparing to access its N150 billion SEC-approved bond programme as interest rates ease.

Why UACN Believes the Time Was Right

During his presentation, Aiyesimoju explained that for a business like CHI—which has changed hands only once in 45 years—the window for acquisition is exceptionally rare. The challenging macroeconomic environment, softened valuations, and a wave of multinational exits from Nigeria created an unusual buying moment.

“Many companies were leaving. Prices were cheap. We thought it was a great opportunity to pounce,” he said.

UACN’s comparatively strong balance sheet and strategic clarity gave it the capacity to move decisively where others could not.

Strategic Fit: Entering High-Growth Beverage and Dairy Markets

Before the acquisition, UACN had no presence in three fast-growing consumer segments:

Drinking yoghurt
Evaporated milk
Fruit juice and nectars

With CHI’s leading brands—Chivita, Hollandia, Capri-Sun, and SuperBite—UACN instantly becomes a dominant player in the non-alcoholic beverage and dairy market. The deal also brings one of the largest aseptic beverage facilities in sub-Saharan Africa, an extensive distribution network, and 52 SKUs across multiple categories.

Value Creation Plan: From 6% Margin to 15%

Perhaps the most compelling revelation was UACN’s plan to significantly expand CHI’s profit margins. CHI currently operates at about 6% margin, while UAC Foods—UACN’s comparable business—expanded its own margin from 1% to 15% in under five years.

The GMD declared that the company’s immediate priority is to raise CHI’s margins to 15%. With CHI now a N500 billion revenue business, each margin point unlocks roughly N5 billion in additional profit. A 9-point improvement therefore represents a N45 billion profit opportunity.

Key Risks: FX Exposure and Excess Inventory

Management acknowledged two critical risks:

Intense FX exposure due to reliance on imported raw materials such as milk powder and juice concentrates.
Excessively high inventory levels, with CHI holding about 220 days of stock—far above industry norms.

However, they believe these issues are also avenues for value creation. Fixing inventory inefficiencies alone could free up substantial cash, while their experience managing FX-sensitive operations—especially in their paints subsidiary—provides confidence that they can navigate currency swings.

Transformational Impact on UACN’s Financials

Once consolidated, CHI radically transforms UACN’s scale and earnings profile. Pro-forma financials for the 12 months ending September 30, 2025, show:

Revenue rising from N223 billion to N717 billion
EBITDA increasing from N25 billion to N67 billion
Packaged foods and beverages now making up 85% of total revenue

Aiyesimoju described the acquisition as one of the most significant strategic shifts in UACN’s 146-year history, noting that the company has “tripled its scale” and is now positioned to unlock N45–N50 billion in additional profit as efficiencies improve.

With the stock already up 117% year-to-date and investor expectations rising, UACN now faces the challenge of delivering on an ambitious transformation plan—one that could reshape Nigeria’s FMCG landscape for years to come.

Nestoil: Lagos Federal High Court Lifts Mareva Injunction in Disputed $1.01 Billion Debt Case

The Federal High Court in Lagos has set aside the widely publicized Mareva injunction earlier issued against Nestoil Limited in connection with an alleged $1.01 billion and ₦430 billion debt owed to FBNQuest Merchant Bank Limited and other First Bank subsidiaries. The reversal was delivered on Thursday by Justice Daniel Osiagor, following the transfer of the matter from the former trial judge, Justice Deinde Dipeolu, whose handling of the case came under scrutiny after a petition alleging bias was filed by Nestoil’s Chairman, Ernest Azudialu-Obiejesi.

The ruling was confirmed through a statement issued by Nestoil titled “PUBLIC NOTICE: NESTOIL WINS FIRST BANK ENTITIES/PROXIES IN FEDERAL HIGH COURT.” According to the company, the latest court pronouncement effectively nullifies the earlier freezing order that had locked up its bank accounts, assets, and equity holdings across more than 20 Nigerian financial institutions.

How the Case Returned to Court

The matter resumed before Justice Osiagor after the Chief Judge of the Federal High Court reassigned it in response to the bias petition against Justice Dipeolu. At Thursday’s hearing, counsel to the plaintiffs, Babajide Koku, SAN, informed the court that his clients had filed a Notice of Appeal challenging Justice Dipeolu’s decision to recuse himself from the case on November 7, 2025. He argued that the appeal should automatically halt proceedings until the Court of Appeal issues a decision.

However, Nestoil’s counsel, Dr. Muiz Banire, SAN, countered this position, asserting that a Notice of Appeal does not translate into an automatic stay. He cited Order 32 Rule 1 of the Federal High Court (Civil Procedure) Rules 2025, which governs the issuance and lifespan of preservative orders such as a Mareva injunction.

Supporting Banire’s argument, Chief Wole Olanipekun, SAN, counsel for Neconde Energy Limited—another entity implicated in the alleged debts—emphasized that the Chief Judge possesses statutory powers to transfer any case regardless of its stage. According to him, such administrative decisions are not subject to appeal and therefore cannot stall proceedings.

Other lawyers aligned with the position that the ex parte Mareva injunction had already expired by operation of law and that the matter should commence afresh under the new judge.

Justice Osiagor’s Decision

After considering the arguments, Justice Osiagor ruled that the initial Mareva injunction had automatically lapsed 14 days after a motion challenging it was filed, effectively nullifying its continued enforcement. He further held that the transfer of the matter from Justice Dipeolu to himself was not an appealable decision, emphasizing that filings at the Court of Appeal referring to the former judge did not affect proceedings before him.

According to the judge:
“There is no longer a subsisting ex parte order, having elapsed 14 days from the Motion on Notice challenging it. As the order has expired, the arguments of parties affected by the ex parte order are now moot or academic.”

The case was thereafter adjourned to November 25, 2025, for the hearing of a motion for joinder, and December 12, 2025, for consideration of pending applications.

Background: How the Dispute Started

The dispute traces back to October 22, 2025, when Justice Dipeolu granted a far-reaching Mareva injunction freezing Nestoil’s assets and appointing Abubakar Sulu-Gambari, SAN, as receiver-manager. The injunction empowered the receiver-manager to take possession of Nestoil’s head office on Akin Adesola Street, Victoria Island, Lagos. Law enforcement agencies—including the police, navy, and State Security Service (SSS)—were directed to support enforcement, leading to a police seal-off of the company’s headquarters in late October.

The injunction was sought by FBNQuest Merchant Bank Limited and First Trustees Limited, both subsidiaries of First Bank, in pursuit of alleged unpaid credit facilities issued to entities within the Obijackson Group, including Nestoil and Neconde Energy. The loans were reportedly secured with oilfield interests, properties, and shares.

As the legal battle intensified, Nestoil also filed a separate application at the Federal High Court in Abuja seeking to vacate the Lagos orders and halt enforcement actions.

What This Means for Nigeria’s Commercial Litigation Landscape

With liabilities exceeding ₦1 trillion when dollar and naira claims are combined, the Nestoil–FBNQuest dispute ranks among the largest commercial litigation cases currently before the Nigerian judiciary. The outcome of the matter could significantly shape future judicial attitudes toward Mareva injunctions, debt recovery, and cross-institutional enforcement involving major corporate borrowers.

As proceedings resume under a new judge, the case is expected to remain a major point of interest for financial institutions, corporate lenders, and regulatory observers watching how Nigerian courts balance creditor rights with procedural fairness in high-value disputes.

Sell-Off Wave Batters Nigerian Banking Stocks as Market Volatility Deepens

Nigeria’s equities market has come under intense pressure throughout November 2025, with banking stocks at the centre of a broad sell-off that has rattled investor confidence. The All-Share Index (ASI), which opened the month on relatively strong footing, has since succumbed to persistent declines driven largely by negative sentiment toward the financial sector.

As of November 19, the ASI stood at 144,646 points, reflecting a daily dip of 0.25% and an overall monthly loss of 3.55%. Despite this downward trend, the year-to-date performance remains robust at 40.53%. However, market capitalization has slipped sharply from record highs above N99 trillion to approximately N92 trillion—erasing more than N7 trillion in value for investors in a matter of weeks.

A significant contributor to this decline is the banking index, which dropped by 1.22% during the mid-week session and recorded its steepest weekly fall since March 2010, plunging 7.27% in mid-November. This slump has acted as a major drag on the broader market, given the sector’s outsized influence on the ASI.

Headwinds Pressuring Nigerian Banks

The sell-off is tied to an overlapping web of domestic and international challenges that have undermined sentiment. The Nigerian banking sector, already grappling with tighter margins, rising costs, and ongoing regulatory changes, is facing an increasingly difficult operating environment.

Sector asset growth is expected to moderate to about 20% annually through the end of 2025, with currency stabilization limiting the rapid valuation gains seen earlier in the year. The introduction of a windfall tax on foreign exchange gains, the 50% mandatory reserves policy, and persistently high inflation have added to cost pressures. The World Bank forecasts a gradual easing of inflation between 2025 and 2027, but banks are expected to shift credit allocation toward higher-yield sectors like technology and agriculture as traditional lending spaces become saturated.

Major Drivers of the Bearish Momentum

1. Capital Gains Tax (CGT) Reform Concerns
Proposed reforms to triple capital gains tax rates triggered panic selling among both local and foreign investors. Although Finance Minister Wale Edun attempted to douse fears on November 15 by announcing consultations and potential exemptions for foreign reinvestments, the rebound was brief. The reform uncertainty continues to fuel risk aversion.

2. Global Geopolitical Tension
External pressures intensified after U.S. President Donald Trump threatened military action over alleged violence against Christians in Nigeria and floated tariffs of 20% to 60% on emerging market imports. These statements accelerated capital flight and weighed heavily on medium- and large-cap banking stocks.

3. Profit-Taking and Portfolio Rotation
Following an extraordinary 59% rally earlier in the year, investors began locking in profits. Banking stocks—representing roughly a quarter of the ASI—became prime candidates for sell-offs as funds rotated into less volatile or undervalued sectors.

Banking Sector Fundamentals Remain Resilient

Despite the market turbulence, underlying fundamentals within the Nigerian banking system remain sound. Tier-1 banks with market caps above N1 trillion continue to dominate trading activity, frequently appearing among the top traded stocks on the NGX. The ongoing recapitalization drive by the Central Bank of Nigeria (CBN), which requires banks to strengthen their capital bases by 2026, has also reinforced long-term sector stability.

A notable liquidity boost came from a fresh N4 trillion injected into the market, helping to stabilize bank balance sheets. Total banking assets on the NGX climbed significantly from N112.39 trillion in 2023 to N169.5 trillion in 2024, with further expansion expected in 2025. Market capitalization for the sector grew from N3.2 trillion in 2020 to N10.5 trillion as of mid-2025—fueled by digitization, rising interest income, and the banks’ dominance in major market transactions.

Market Outlook: Volatility but Selective Opportunity

Market watchers anticipate continued volatility through the end of the quarter. Top performers such as GTCO and Zenith Bank have shown relative resilience, while Access Holdings lagged after a 10% weekly drop earlier in November. Sector valuations have become more attractive, with forward P/E ratios settling around 10–15x compared to market averages near 25x. Dividend yields are projected at 7–12%, enhancing the sector’s appeal for long-term investors.

Analysts see particular upside in leading banks like UBA, Stanbic IBTC, Zenith Bank, and GTCO, whose fundamentals remain strong. These institutions could deliver returns of 20–30% in upcoming financial cycles. However, caution is advised for smaller banks, which may face tighter margins and more stringent regulatory demands.

While the current correction presents potential buying opportunities, investors are urged to remain cautious, monitor NGX announcements, and consult licensed investment professionals. Global uncertainties and domestic policy shifts mean risks remain elevated—but so do the long-term prospects for Nigeria’s strongest banking institutions.

NCR, ROYALEX Lead Market Gainers as All-Share Index Drops Below N92 Trillion in Value

The bearish momentum dominating the Nigerian equities market persisted on Thursday, November 20, as the All-Share Index (ASI) declined further, shedding 458.98 points to close at 144,187.03. This represents a 0.32% drop from the previous day’s close of 144,646.01 and extends a market downturn that has weighed heavily on investor sentiment throughout the week.

The session reflected across-the-board weakness, with trading activity declining significantly. Total market volume fell sharply to 349.2 million units, a steep contraction from the robust 892 million shares traded in the preceding session. This downturn in market participation underscores growing caution among investors amid heightened volatility, macroeconomic uncertainties, and profit-taking across several key sectors.

Market capitalization also mirrored the overall decline, easing to N91.70 trillion from N92.00 trillion previously, translating to a loss of roughly N300 billion in a single trading session. The continued erosion in market value places additional pressure on the ASI, which has struggled to regain upward momentum despite a still-impressive year-to-date return of 40.09%.

Despite the broader negative performance, a handful of stocks managed to buck the trend. NCR topped the gainers’ chart with a full 10% increase, closing at N37.40. ROYALEX followed closely, appreciating by 7.57% to settle at N1.99. Other notable advancers included CILEASING, LIVINGTRUST, and RTBRISCOE, which gained 6.00%, 3.87%, and 3.55%, respectively. Their performances suggest that selective buying interest persists in pockets of the market, particularly for stocks perceived as undervalued or positioned for near-term catalysts.

On the flip side, the losers’ chart was dominated by NEIMETH and OMATEK, both falling by the maximum 10% to N4.95 and N1.17, respectively. TANTALIZERS declined 9.75%, while INTENEGINS dipped 9.62%. WEMABANK also faced heavy selling pressure, shedding 8.63% to close at N18.00. These declines reflect a combination of weak risk appetite, sector pressures, and repositioning by institutional investors.

Market activity was led by high-volume trades in banking stocks, reaffirming the sector’s central role in market liquidity. FIDELITYBK topped the activity chart with 54.2 million shares traded, followed by FCMB with 30.3 million shares. TANTALIZERS, GTCO, and ACCESSCORP rounded out the top five most actively traded equities.

In terms of value, GTCO led the session with N2.1 billion worth of transactions. FIDELITYBK posted N1.03 billion in turnover, while ZENITHBANK recorded N820 million. MTNN and ARADEL also featured prominently, reflecting their consistent attraction for institutional and retail investors.

Among the SWOOTs (Stocks Worth Over One Trillion), the performance was largely negative. Nigerian Breweries slipped 2.14%, while International Breweries lost 0.83%. Within the FUGAZ group, which tracks the top-tier banking institutions, ACCESSCORP declined 3%, UBA shed 2.63%, GTCO dipped 0.71%, and ZENITHBANK closed 0.59% lower. FIRSTHOLDCO was the lone bright spot, managing a modest 0.33% gain.

Market Outlook
Analysts warn that the ASI remains under notable bearish pressure, and continued weak sentiment could drag the index even lower in the short term. However, they note that a rebound in mid- and large-cap equities could strengthen market recovery, with the potential for the index to reclaim the 150,000-point level if buying momentum improves. For now, caution remains the prevailing theme as investors wait for clearer signals from both domestic and global markets

Nigeria Could Save N900 Billion Annually Through Full Implementation of Cargo Tracking System – SEREC

The Sea Empowerment and Research Centre (SEREC) has reaffirmed that Nigeria stands to save as much as N900 billion every year in revenue leakages if the Federal Government fully deploys the International Cargo Tracking Note (ICTN), a globally recognised maritime security and trade transparency tool. The organisation stressed that the ICTN—already in operation across several West and Central African countries—has become an indispensable requirement for Nigeria’s port reform agenda, particularly at a time when the government is seeking new non-oil revenue sources and greater efficiency in maritime operations.

This position was contained in a policy commentary titled “The Urgent Imperative of Implementing the ICTN in Nigeria,” authored by SEREC’s Head of Research, Dr. Eugene Nweke. According to him, ICTN is no longer an optional reform but a strategic necessity for Nigeria’s maritime development. Despite receiving Federal Executive Council approval in 2023, the system has not been activated, a delay that SEREC warns could worsen financial losses and undermine national security.

ICTN as a Transformational Port Tool

The International Cargo Tracking Note is designed to provide verified, pre-arrival information on all inbound cargo. Through the system, port and customs authorities receive complete shipment details before the vessel arrives, enabling them to conduct documentation checks, risk assessments, and revenue profiling in advance. Dr. Nweke noted that such pre-verification significantly reduces opportunities for cargo concealment, fraudulent declarations, transshipment manipulation, and falsified manifests—practices that have historically cost the nation hundreds of billions annually.

With the ICTN fully deployed, Nigeria could shorten cargo clearance timelines by as much as 25–35% and reduce trade malpractices by up to 40%, based on projections previously reported by the News Agency of Nigeria. Beyond enhancing efficiency, the system would strengthen Nigeria’s regional competitiveness, especially as neighbouring countries continue to improve their port operations through digital verification technologies.

Financial and Security Implications of Delayed Implementation

The commentary highlights that Nigeria’s continued delay places it at a disadvantage compared to Ghana, Senegal, Ivory Coast, and Angola. These countries recorded customs revenue increases of 18–22% and a 30% drop in clearance delays within two years of implementing ICTN. They also reported a 40% reduction in false cargo declarations.

Dr. Nweke warned that without the ICTN, Nigeria’s maritime regulatory framework will remain reactive, relying on post-arrival intelligence rather than pre-arrival verification. This weakness allows significant room for under-declaration, smuggling, and revenue loss. He estimated that the delay has already put Nigeria at risk of losing between N800 billion and N1.2 trillion annually due to non-standardised declarations and transshipment concealment.

Risk to Other Maritime Reforms

SEREC also cautioned that ongoing national reforms may become fragmented if ICTN is not integrated as the central data-verification layer. Nigeria is currently pursuing a National Single Window (NSW) system—scheduled for rollout in the first quarter of 2026—and an ambitious Customs modernisation programme. According to Nweke, both reforms depend on accurate data and early cargo verification; without ICTN, the systems will lack the foundational intelligence required for cohesive performance.

Need for Federal Coordination and Urgency

The Nigerian Shippers’ Council (NSC) remains the lead implementing agency for ICTN, working alongside the Nigerian Ports Authority, the Nigeria Customs Service, and the Nigerian Maritime Administration and Safety Agency (NIMASA). However, SEREC noted that bureaucratic delays and competing institutional interests have hampered progress.

The organisation urged the government to recognise ICTN not as a rival system to existing digital platforms but as an essential enabler for security, revenue generation, and global compliance. The absence of an operational electronic cargo note has also affected investor confidence, leaving Nigeria as one of the few major trading nations in the region without such a system.

As global standards tighten and regional competition intensifies, SEREC’s report insists that Nigeria must accelerate the implementation of ICTN to safeguard revenue, improve port transparency, and secure its position within regional and international trade networks.

SUNU Assurances Shareholders Approve N9 Billion Recapitalisation to Meet NIIRA 2025 Requirements

SUNU Assurances Nigeria Plc has secured unanimous backing from its shareholders to embark on a comprehensive N9 billion recapitalisation programme, positioning the company to meet the new regulatory demands introduced under the Nigerian Insurance Industry Reform Act (NIIRA) 2025. The approval was granted during an Extraordinary General Meeting (EGM) held in Lagos, where shareholders endorsed a broad set of resolutions designed to strengthen the company’s financial foundation and ensure long-term competitiveness in Nigeria’s evolving insurance landscape.

At the heart of the approval is the mandate granted to the Board of Directors to pursue multiple capital-raising options. These include rights issues, public offers, private placements, and the admission of strategic investors who can inject fresh capital and support the company’s future growth ambitions. Shareholders also authorised the Board to proceed with a restructuring of the company’s share capital, engage seasoned professional advisers, and list any newly issued shares on the Nigerian Exchange (NGX) to enhance market liquidity and strengthen corporate governance.

Meeting the New Capital Threshold

The recapitalisation push has been driven by the sharp revision of the Minimum Capital Requirement (MCR) for non-life insurance companies. Under NIIRA 2025, the MCR rose from N3 billion to N15 billion, significantly increasing the compliance burden on industry operators. SUNU Assurances Chairman, Kyari Abba Bukar, explained that as of September 30, 2025, the company faces a capital shortfall of N9 billion, which must be bridged ahead of the July 30, 2026 regulatory deadline.

Bukar underscored that the recapitalisation plan is not merely a regulatory obligation but a strategic imperative for the company’s sustainability. According to him, strengthening the capital base is vital to maintaining solvency, expanding underwriting capacity, and ensuring that the company remains competitive in the post-reform insurance market. He further disclosed plans to remedy the company’s free-float deficiency on the NGX, aligning with broader efforts to improve transparency, compliance, and investor confidence.

Following the EGM, Bukar told journalists that the company would aggressively pursue all authorised options to achieve full recapitalisation well ahead of the NAICOM timeline. “We are committed to compliance and will explore rights issues, public offers, private placements, or strategic investor participation to meet the deadline,” he said.

Major Shareholder to Dilute Stake

In a move expected to boost liquidity and broaden domestic investor participation, Managing Director/CEO Samuel Ogbodu revealed that the SUNU Group plans to reduce its current 83% controlling stake to around 70%. This dilution is intended to increase the company’s public float and attract more local investors, reinforcing market confidence.

Ogbodu described the EGM as an essential governance milestone for any publicly listed company and reiterated that SUNU remains an attractive investment opportunity. He pointed to the company’s consistent operational performance, long-term outlook, and strong fundamentals. Despite the stock’s recent dip — now trading between N4.70 and N5.70 after previously hitting N11 — he expressed optimism that the recapitalisation exercise would spark a recovery in market valuation.

Parent Company Reaffirms Commitment

Executive Director Elie Ogounigni reaffirmed the SUNU Group’s long-standing commitment to the Nigerian market, noting that the company operates across 17 African countries and views Nigeria as a priority. He assured stakeholders that the Group stands ready to support SUNU Nigeria’s recapitalisation journey, ensuring the company achieves full compliance and remains competitive under the new regulatory framework.

With shareholder approval secured, SUNU Assurances now enters a critical implementation phase. The recapitalisation programme is expected to determine the company’s competitive strength in a sector undergoing rapid consolidation, heightened regulatory oversight, and increased investor scrutiny. The success of this initiative will likely shape SUNU’s positioning and resilience in Nigeria’s future insurance market.

Fidelity Bank Grows Gross Earnings by 46% to N748.7 Billion in H1 2025

Fidelity Bank Plc has released its audited financial statements for the half year ended June 30, 2025, revealing another strong performance that underscores the institution’s resilience, strategic clarity, and expanding market influence. The results, published on the Nigerian Exchange (NGX) on November 13, 2025, show that the bank recorded sustained growth across nearly all major performance indicators, continuing its multi-year trajectory of operational and financial consolidation.

One of the standout highlights of the report is the significant improvement in Gross Earnings, which surged to N748.7 billion in the first half of 2025, representing a 46% increase from the N512.9 billion recorded in the corresponding period of 2024. This growth was driven by a combination of expanding customer activity, increased transaction volumes across digital channels, and strong contributions from the bank’s interest-earning assets.

Net Interest Income also posted substantial gains, rising to N420.4 billion from N326.4 billion in H1 2024. Fidelity Bank attributed this to effective balance sheet management, improved yields on earning assets, and disciplined cost-of-funds optimization. Net Revenue increased to N444.4 billion, up from N396.8 billion in the same period of the previous year, further reinforcing the strength of the bank’s core business operations.

Customer Deposits—one of the clearest indicators of public trust—rose significantly to N7.2 trillion, compared to the N5.9 trillion reported at the end of the 2024 financial year. This upswing reflects not only increased customer acquisition but also deeper wallet penetration, especially across retail and SME segments. The bank noted that its sustained investments in digital infrastructure and customer experience enhancements have been instrumental in attracting and retaining depositors.

On the lending side, Fidelity Bank expanded its loan book with Net Loans and Advances growing to N4.9 trillion from N4.4 trillion in FY 2024. This increase aligns with the bank’s strategic commitment to supporting key sectors of the Nigerian economy, including manufacturing, agribusiness, trade, and consumer finance. Importantly, the bank maintained stable asset quality, keeping non-performing loans within regulatory and internal benchmarks despite a challenging macroeconomic environment marked by inflationary pressures and high-interest rate conditions.

A major development highlighted in the report is the bank’s ongoing capital-raising efforts, designed to strengthen its capital buffers ahead of new regulatory requirements and to position the institution for future growth. The bank emphasized that its strong liquidity profile, sound governance structures, and prudent risk management frameworks continue to provide a solid foundation for meeting evolving regulatory expectations and seizing emerging business opportunities.

Fidelity Bank’s expanding digital footprint remains central to its growth narrative. The institution has continued to roll out innovative digital banking solutions that enhance convenience, security, and customer satisfaction. This has contributed significantly to process efficiency, revenue diversification, and increased transaction throughput.

The bank’s consistent performance has earned it broad industry recognition. Fidelity Bank has received several notable awards, including the 2024 Excellence in Digital Transformation & MSME Banking Award by BusinessDay BAFI Awards, the 2024 Most Innovative Mobile Banking Application from Global Business Outlook for its Fidelity Mobile App, and the 2024 Most Innovative Investment Banking Service Provider accolade by Global Brands Magazine. It has also been named the Best Bank for SMEs in Nigeria by the Euromoney Awards for Excellence and the Export Financing Bank of the Year by the BAFI Awards.

Serving more than 9.1 million customers across 255 branches and robust digital channels—including its UK subsidiary, FidBank UK Limited—Fidelity Bank continues to reinforce its reputation as one of Nigeria’s most dependable and forward-looking financial institutions.

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Month: November 2025