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How not to encourage foreign investment…. The Edo Cement Coy example

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By Godfrey Ikhemuemhe, Emma Uja and Franklin Alli
A serious communual clash was recently averted between the Igbirra community in Kogi State and Okpella community in Edo State as a result of an apparent misguided decision by the Ministry of Solid Minerals Development to share Obu quarry between Ado Ibrahim & Co and Edo Cement Company. The contest over the quarry has lead to the failed privatization of the cement company by the Edo State government as the core investor Scancem of Norway left site last January.
In specific terms, the issue that has stalled the privatization of the cement company is the mining lease over Obu marble deposit where the cement company was supposed to get the bulk of its raw materials. The deposit has been a subject of litigation between Ado Ibrahim, the Ohinoyi of Igbirra land represented by his company, Ado Ibrahim & Co and the Okpella Community in Okpella. But several judgements in the past had denied that Ado Ibrahim & Co had any leases to the deposit under contest. In one of such judgements in 1995, the Federal High Court in Suit No FHC/B/42/94, H.R.H. Alhaji A.Y.E. Dirisu & 3 ORS V. Ado Ibrahim Company Ltd, & 7 ORS, held on April 1995 that Ado Ibrahim &Co held no leases of any nature on any part of Okpella. The Attorney General of the Federation and the Ministry of Mines were also defendants in the case.
But on the 16th of March 2005, one Engr. Chris Ushedo, Assistant Director (Mines) who said he was acting on behalf of the Minister of Solid Minerals, Elder Odion Ugbesia, directed that the Obu quarry be divided into two equal halves between the people of Okpella and Ado Ibrahim and Co.
Ushedo, in the letter Ref. No MSMD/MN/CO.0105/s.1/126, which was obtained from the Ministry, gave as reason for the action, a purported earlier agreement between the two parties in a meeting with the Minister.
But the action did not go down well with the Okpella people who have over the years spent a lot of money in litigations to ensure that they got full possession of Obu quarry, which they claimed, belonged to them. Vanguard gathered that they had indeed mobilised to deal a heavy blow on the Igbirras who accompanied the Ministry team from Abuja for the sharing exercise but for the timely intervention of His Royal Majesty, the Okuopkellagbe of Okpella, Alh. A.Y.E.Dirisu.
Speaking later, the Okuopkellagbe who led the team to the said meeting, said that the meeting with the minister never agreed on the sharing of Okpella land, stressing that the meeting was actually deadlocked. He also indicated that from the action of the minister, he had consistently shown that he was biased in favour of Ado Ibrahim & Co.
The issue of the failed privatisation of Edo Cement Company is a pathetic one. In response to the stringent calls by the President across the globe for investors to come and invest in Nigeria, Scancem, a member of the Heidelberg group had bought up the former Bendel Cement Company Okpella for $4million (about N580 million). The new company that sprang up from the ashes of Bendel Cement Company was Edo Cement Company with Scancem as core investor since 2002. In 2003, the foreign investors took control of the company, and had expended another N500 million in rehabilitating the company and paying the salaries of over 100 staff members.
While investing so much into a venture for which they understood its potentials having run another of such plant in Sokoto, Northern Nigeria successfully, Scancem did not know that danger was looming ahead. The lease for the main limestone deposit upon which the success of its venture lay was not issued by the Ministry of Solid Minerals despite the assurances by the Edo State government during negotiations for the purchase of the company that the lease was theirs for the asking.
Despite repeated pleas with the Federal Ministry of Solid Minerals by the Edo State government, the Okpella people and other well meaning Nigerians, the ministry has refused to sign the mining lease for Edo Cement Company, claiming that it is a subject of litigation between Ado Ibrahim & Co and the Okpella community. Indeed the Deputy Governor of the State, Mike Ogiadomhe, had led a delegation including His Royal Majesty, The Okuokpellagbe of Okpella to the Minister this year without making any impression on him on the need to issue the mining lease to the Edo Cement Company so that it can commence operations.
In a swift reaction to the letter asking for the sharing of the quarry site between Okpella and Ado Ibrahim &Co, the Okpella community through their lawyers have served notice on the Minister that it might be forced to seek legal redress if he does not desist from ‘doing anything that could result to ridiculing the judiciary, the third arm of government and bring it to public disrepute’.
In a letter from Okpella Consortium, a consortium of legal practitioners, the Minister’s attention was drawn to the Federal High Court judgement of 1995, which established that Ado Ibrahim & Co had no leases on Obu quarry.
Vanguard gathered that in one of the meetings by the contending parties with the Minister, Alhaji Ado Ibrahim had actually been asked to produce the lease which he purported to have and he could not. He however told the Minister that he had gone on appeal on the 1995 High Court judgement that declared his leases non-existent and or null and void and illegal if existing.
And when the Minister asked the Ohinoyi why summons have not been served on the defendants about ten years after the Federal high Court judgement, he had no ready response.
The Ohinoyi presented the same alibi last week when Vanguard met him on the issue at Okene. He told our correspondent that he would not grant an interview on the issue because it was in court. But when asked at what Court of Appeal he had the case, he gave the same excuse. Even when our correspondent reminded the Ohinoyi that telling him the court he had filed the case does not amount to contempt of court, he would not bulge.
Such antics as this have made the Okpella community to believe that the Court of Appeal case, which Ado Abraham is peddling, may be non-existent.
Barister Ayuba Giwa, one of the counsels to the community said that he would be surprised if the case actually existed as none of the defendants has been served ten years after the Federal High Court case on which the appeal is based.
In deed in 1995, when the Edo State government wanted to privatise the cement company, Ado Ibrahim & Co had gone to court, instituting winding up petition against the company on the disputed mining lease. The petition was based on an alleged indebtedness of the company to Ado Ibrahim and Co, AICO, on the basis of the purported leases. Edo Cement Company through the assistance of the Okpella community resisted this claim as dubious and the Federal high Court agreed with the defence. AICO went on an appeal and the Court of Appeal also dismissed it in Appeal no CA/B/150/96.
Also in Alh. Ado Ibrahim & Co Ltd. VS Eldestein (Nig.) Ltd 2003, the Court of Appeal again dismissed AICO’s claim to mining rights in Okpella as bogus and false.
Only recently in suit no FHC/B/CS/12/2004, in a case between Cambut Ltd. Vs Alh. Ado Ibrahim & Co Ltd., the Federal High Court restrained AICO from claims over mining rights in Obu.
Giving this situation, officials of the Edo Cement Company are irked that despite the seeming weakness in the case of the contestant, the lease has not been issued. They even challenged the Minister to issue the lease so that whoever does not feel satisfied can go to court since there is already an existing court judgement upon which he can justify his action. But all these advise seem not to appeal to the Minister.
All these have given credibility to the assertion by some people in Edo State that the issue of the lease for Edo Cement Company goes beyond who is right. There are strong feelings in the State that the Anenih/Igbinedion tussle for the control of Edo State has crept into the issue.
Vanguard was told that the Anenih loyalist in government and important places think that if Edo Cement Company is successfully privatised, it would be to the credit of the Igbinedion administration and so must not be allowed to happen.
Indeed some of the Anenih loyalists were said to have boosted to some indegenes of Okpella recently that the mining lease would only be released to the company by 2007 after elections would have been fought and won in the State.
Elder Ugbesia, a former Personal Assistant to Chief Tony Anenih when he was Minister of Works, is an avowed Anenih loyalist and is alleged to be very strategic in this regard. As Minister of Solid Minerals, he is alleged to be in a position to make this calculation happen.
But as strong as this allegation may be, the Okuokpellagbe of Okpella does not believe it. He however says he would explore the possibility of discussing the issue with Chief Anenih for an amicable resolution.
Barrister Ayuba Giwa, who is part of the legal consortium handling the case says it was high time the community commenced contempt proceedings against the Minister on the issue. He does not see how the issue can be attributed to the Anenih/Igbinedion politics in Edo state.
When Vanguard confronted officials of the Ministry of Solid Minerals with these allegations last week, the official response was neither here nor there.
The Ministry officials debunked the claims, saying that the rule in the Ministry concerning the issuance of leases for mining activities is that once an application for a mining lease has been properly filed, the lease would be issued within two weeks.
He indeed said that once such license is not issued within the stipulated time, such applicants should approach the Ministry with a proof of the application for relevant action. Yet it is now more than one year since the Ministry denied Edo Cement Company the lease it has applied for with the consent of the community where the limestone ,mine is situated.
While the politics around the privatization of Edo Cement Company gets complicated by the day, it is Scancem of Norway that feels the pinch with its investment of about N1 billion almost going down the drain. This, at a time President Obasanjo is going around the world with a plate in hand practically begging investors to come to Nigeria.

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Afreximbank successfully closed its second Samurai Bond transactions, raising JPY 81.8bn or $527m

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African Export-Import Bank said it has successfully closed its second Samurai bond transaction, securing a total of JPY 81.8 billion (approx. USD 527 million) through Regular and Retail Samurai Bonds offerings.

The execution surpasses the Bank’s 2024 debut issuance size, attracting orders from more than 100 institutional and retail investors, marking a renewed demonstration of strong Japanese investor confidence in the Bank’s credit and its growing presence in the yen capital markets.

On 18 November, Afreximbank priced a JPY 45.8 billion 3-year tranche in the Regular Samurai market following a comprehensive sequence of investor engagement activities leveraging Tokyo International Conference on African Development (TICAD9), including Non-Deal Roadshows (NDRs) in Tokyo, Kanazawa, Kyoto, Shiga and Osaka, a Global Investor Call, and a two-day soft-sounding process which tested investor appetite across 2.5-, 3-, 5-, 7-, and 10-year maturities.

With market expectations of a Bank of Japan interest rate increase, investor demand concentrated in shorter tenors, resulting in a focused 3-year tranche during official marketing.

The tranche attracted strong participation from asset managers (22.3%), life insurers (15.3%), regional corporates, and high-net-worth investors (39.7%).

Concurrently, Afreximbank priced its second Retail Samurai bond on 18 November, a JPY 36.0 billion 3-year tranche, more than double the inaugural JPY 14.1 billion Retail Samurai issuance completed in November 2024.

The 2025 Retail Samurai bond also marks the first Retail Samurai bond issued in Japan in 2025.

Following the amendment to Afreximbank’s shelf registration on 7 November 2025, SMBC Nikko conducted an extensive seven-business-day demand survey through its nationwide branch network, followed by a six-business-day bond offering period.

The offering benefited from strong visibility supported by Afreximbank’s investor engagement across the country, including the Bank’s participation at TICAD9, where Afreximbank hosted the Africa Finance Seminar to introduce Multinational Development Bank’s mandate in Africa and its credit profile to key Japanese institutional investors.

MBC Nikko Securities Inc. acted as Sole Lead Manager and Bookrunner for both the Regular and Retail Samurai transactions. Chandi Mwenebungu, Afreximbank’s Managing Director, Treasury & Markets and Group Treasurer, commented:

“We are pleased with the successful completion of our second Samurai bond transactions, which marked a significant increase from our inaugural Retail Samurai bond in 2024, and which reflect the growing depth of our relationship with Japanese investors.

The strong demand, both in the Regular and Retail offerings, demonstrates sustained confidence in Afreximbank’s credit and mandate.

We remain committed to deepening our engagement in the Samurai market through regular investor activities and continued collaboration with our Japanese partners.”

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Ecobank unveils SME bazaar: a festive marketplace for local entrepreneurs

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Ecobank Nigeria, a member of Africa’s leading pan-African banking group, has announced the launch of the Ecobank SME Bazaar—a two-weekend festive marketplace designed to celebrate local creativity, empower entrepreneurs, and give Lagos residents a premium shopping experience this Detty December. The Bazaar will hold on 29–30 November and 6–7 December at the Ecobank Pan African Centre (EPAC), Ozumba Mbadiwe Road, Victoria Island, Lagos. Speaking ahead of the event, Omoboye Odu, Head of SMEs, Ecobank Nigeria, reaffirmed the bank’s commitment to supporting small and medium-sized businesses, describing them as the heartbeat of Nigeria’s economy. She explained that the Ecobank SME Bazaar was created to enhance visibility for entrepreneurs, expand market access, and support sustainable business growth.
According to her, “This isn’t just a market—it’s a vibrant hub of culture, commerce, and connection. From fresh farm produce to trendy fashion, handcrafted pieces, lifestyle products, and delicious food and drinks, the Ecobank SME Bazaar promises an unforgettable experience for both shoppers and participating SMEs. Whether you’re shopping for festive gifts, hunting for unique finds, or soaking in the Detty December energy, this is the place to be.” Ms. Odu added that participating businesses will enjoy increased brand exposure, deeper customer engagement, and meaningful networking opportunities—making the Bazaar a strong platform for both festive-season sales and long-term business growth. The event is powered by Ecobank in partnership with TKD Farms, Eko Marche, Leyyow, and other SME-focused organisations committed to building sustainable enterprises.

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16 banks have recapitalised before deadline—CBN

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The Central Bank of Nigeria (CBN) has said that16 banks have so far met the new capital requirements for their various licences, some four months before the March 31, 2026 deadline. The apex bank also indicated that 27 other banks have raised capital through various methods in one of the most extensive financial sector reforms since 2004. Addressing journalists at the end of the Monetary Policy Committee (MPC) meeting in Abuja, CBN Governor Mr Olayemi Cardoso said the banking recapitalisation was going on orderly, consistent with the regulator’s expectations. He said, “We are monitoring developments, and indications show the process is moving in the right direction.” Nigeria has 44 deposit-taking banks, including seven commercial banks with international authorisation, 15 with national authorisation, four with regional authorisation, four non-interest banks, six merchant banks, seven financial holding companies and one representative office.
Cardoso explained that eight commercial banks had met the N500 billion capital requirement as of July 22, 2024, rising to 14 by September of the same year. The number has now increased to 16 as the industry continues to race toward full compliance. He said that the reforms would reinforce the resilience of Nigerian banks both within the country and across the continent. “We are building a financial system that will be fit for purpose for the years ahead. Many Nigerian banks now operate across Africa and have been innovative across different markets. These new buffers will better equip them to manage risks in the multiple jurisdictions where they operate,” Cardoso said. According to him, the reforms would strengthen the financial sector’s capability to support households and businesses. He said, “Ultimately, this benefits Nigerians—our traders, our businesses and our citizens—who operate across those regions. “It should give everyone comfort to know that Nigerian banks with deep local understanding are present to support them. Commercial banks are also creating their own buffers through the ongoing recapitalisation.”
He added that the apex bank considered several factors in determining the new capital thresholds, including prevailing macroeconomic conditions, stress test results and the need for stronger risk buffers. He reassured on the regulator’s commitment to strict oversight as the consolidation progresses. “We will rigorously enforce our ‘fit and proper’ criteria for prospective new shareholders, senior management, and board members of banks, and proactively monitor the integrity of financial statements, adequacy of financial resources, and fair valuation of banks’ post-merger balance sheets,” Cardoso said. He said the CBN remained confident that the banking system would emerge stronger at the conclusion of the recapitalization exercise, with institutions better prepared to support Nigeria’s economic transformation Banks have up till March 31, 2026 to beef up their minimum capital base to the new standard set by the apex bank. Under the new minimum capital base, CBN uses a distinctive definition of the new minimum capital base for each category of banks as the addition of share capital and share premium, as against the previous use of shareholders’ funds.
While most banks have shareholders’ funds in excess of the new minimum capital base, their share premium and share capital significantly fall short of the new minimum definition. The CBN had in March 2024 released its circular on review of minimum capital requirement for commercial, merchant and non-interest banks. The apex bank increased the new minimum capital for commercial banks with international affiliations, otherwise known as mega banks, to N500 billion; commercial banks with national authorisation, N200 billion and commercial banks with regional license, N50 billion. Others included merchant banks, N50 billion; non-interest banks with national license, N20 billion and non-interest banks with regional license will now have N10 billion minimum capital. The 24-month timeline for compliance ends on March 31, 2026. Under the guidelines for the recapitalisation exercise, banks are expected to subject their new equity funds to capital verification before the clearance of the allotment proposal and release of the funds to the bank for onwards completion of the offer process and addition of the new capital to its capital base. The CBN is the final signatory in a tripartite capital verification committee that included the Securities and Exchange Commission (SEC) and the Nigeria Deposit Insurance Corporation (NDIC). The committee is saddled with scrutinising new funds being raised by banks under the ongoing banking sector recapitalisation exercise.

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