There isn’t a equivalence with proof within the monetary, enterprise, and financial area, as it’s carried out within the political area. Information exist for a cause within the former, and gamers looking for to push self-interested agendas should include proof and never innuendos on this area.
Regardless of misgivings about an entity, I, as a member of the governance neighborhood, perceive that it’s unhelpful if we permit misrepresentations to exchange objectivity and accountability. On this notice, I supply my ideas on the NNPC-OVH subject with out holding a fort for any get together.
Public and analyst information accessible to our financial and market intelligence (EMI) unit affirm that @Oando_PLC was out of OVH three (3) years earlier than @nnpclimited RETAIL selected to purchase it out (btw, OVH stands for Oando, Vitol, and Helios).
A assessment of Oando’s monetary statements reveals that it divested its downstream enterprise (OVH) in three tranches: 60%, 35%, and 5%. At the moment, it was looking for to lift funds to put money into the ConocoPhillips transaction, for which it later received entangled with the SEC, the place a key investor (who additionally occurs to be a enterprise affiliate of a former Vice President) sought to exit its funding within the firm. This dragged on for years, and traders are nonetheless making their peace with it.
Apparently, Oando achieved a big milestone at present in its long-term upstream technique.
Proshare’s Financial and Market Intelligence Unit (EMI) represents that Oando accomplished its acquisition of 100% of the shareholding curiosity within the Nigerian Agip Oil Firm (NAOC) from the Italian vitality firm Eni. Which will go unheralded for a lot of causes, however the information is making the rounds. Shareholders of Oando Plc are genuinely sad with the corporate for a lot of causes, none the least the promise offered to them, which didn’t materialize and for which the corporate has to have interaction on a special premise.
In a separate report, it was said that Oando’s divestment from the downstream enterprise was a key a part of its strategic illustration to the market to maneuver out of the lower-margin downstream and midstream companies to deal with the extra profitable Upstream ventures.
1. OVH – Preliminary Divestment – thirtieth June 2016; and
2. Remaining Divestment – twenty ninth November 2019
It could seem that both by design or default, when Oando exited fully in 2019, OVH continued to make use of the Oando model beneath a Trademark Licence Settlement (TLA) due to the goodwill related to the model title.
Because of this the filling stations continued to bear the title Oando (some nonetheless do until at present). We perceive that the TLA was terminated efficient 24 March 2023, however NNPC has 18 months to rebrand totally as a part of the TLA.
Because of this the usage of the title would legally stop by the top of September 2024.
From Proshare’s information, OVH offered to NNPC retail earlier than the expiration of this window, and the investing and basic public ought to recognize the enterprise/political nuance at play. If this has modified, it’s information to us.
The @nnpclimited ought to contemplate issuing a clarifying assertion as a matter of sovereign integrity. There are good occasions to cover behind obscurity, however this isn’t one in all them.
-Awoyemi is Chief Government of Proshare Restricted
