Recapitalisation: Shareholders Task Oceanic


By Goddy Egene, 07.21.2010 


Shareholders of Oceanic Bank International Plc yesterday tasked the Board and management to ensure that an effective recapitalisation plan that will involve all stakeholders is adopted for the bank. The shareholders’ view, which was made known at an investors’ forum in Lagos on a day the stock market recovered marginally by 0.08 per cent as against a fall the previous day.


Following the Central Bank of Nigeria (CBN)’s decision to allow shareholders of the rescued banks to recapitalise them, the affected banks have been engaging their shareholders on the way forward.National Coordinator, Independent Shareholders Association of Nigeria (ISAN), Sir Sunny Nwosu, urged Oceanic Bank to adopt a plan that will allow the existing investors in the bank to play a major role in the recapitalisation exercise.


Chairman, Coordinating Committee of the Zonal Shareholders Association, Brigadier Emmanuel Ikwe (rtd),  implored shareholders to support the Board and management in determining the preferred direction for the bank’s recapitalisation, while President,   Association for the Advancement of the Rights of the Nigerian Shareholders (AARNS), Dr. Faruk Umar, said the shareholders are solidly behind the management and will continue to give good counsel when called upon.


Faruk said that he was impressed by the bank’s return to profitability, adding that it was indicative of the effectiveness of the recovery plan put in place by the management.Speaking at the forum, Chairman, Oceanic Bank, Apostle Hayford Alile, commended the shareholders and customers for their support, explaining that  the investors forum session represented the management’s commitment to ongoing dialogue with shareholders as it works towards repositioning the bank for a brighter future.


Also speaking, Group Managing Director/CEO, Oceanic Bank, Mr. John Aboh, said that the bank had effectively addressed the corporate governance and risk management deficiencies that led to the CBN’s intervention.He said the bank has since achieved stability, growing customer confidence as well as a return to profitability as of March 31, 2010.


Meanwhile, the bulls resurfaced at the stock market yesterday, lifting  the Nigerian Stock Exchange (NSE)  All-Share Index by 0.08 per cent while market capitalisation added N5 billion. The index closed higher at 24,784.85, while capitalisation ended at N6.062 trillion.


The price movement chart showed 34 price gainers and 19 price losers. PZ Cussons Nigeria Plc led the price gainers with N1.52 to close at N32.04 per share,  while Conoil led the price losers with N2.50 to close at N49.50 per share.Investors traded 268.412 million shares valued at N2.352 billion exchanged in 6,914 deals as against 346.877million shares worth N1.985 billion traded in 5,242 deals the previous day.





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