Echotitbits – Nigeria News

Category: Business

  • GTCO moves to raise ₦10bn via private placement as recapitalisation pressure builds

    GTCO moves to raise ₦10bn via private placement as recapitalisation pressure builds

    2025-12-31 08:28:00

    As reported by PUNCH, Guaranty Trust Holding Company (GTCO) says it will raise ₦10bn through a private placement involving 125 million ordinary shares, positioned within its regulatory and capital-raising framework.

    The company says the transaction follows relevant guidelines for financial holding companies, and it’s structured as a targeted placement rather than a broad public offer.

    In a market where banks are racing to meet higher capital thresholds, deals like this signal a preference for faster, cleaner capital injections—especially if investor demand is solid.

    Validation: Investegate said “undertaking a private placement to raise ₦10 billion by issuing 125,000,000 ordinary shares at ₦80 per share.” and TheCable reported “has secured approvals from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC).”

    Echotitbits take: Private placements are speed tools—good for timelines, but they test investor appetite and pricing discipline. Watch the pricing mechanics, investor mix, and whether more tier-1 banks follow with similar structures.

    Source: The Punch— 31 December 2025 (https://punchng.com/gtco-to-raise-n10bn-through-private-placement/)

    The Punch 31 December 2025

    Photo Credit: The Punch

  • Afreximbank-backed “gold bank” initiative takes shape with Egypt partnership

    Afreximbank-backed “gold bank” initiative takes shape with Egypt partnership

    2025-12-31 08:35:00

    In coverage from PUNCH, Afreximbank is moving toward a pan-African “gold bank” concept via a formal partnership with Egypt’s central bank, aimed at building structured value chains around Africa’s gold sector.

    The initiative is being framed as an institutional push to formalise gold trade, strengthen reserves management options, and reduce fragmentation that often leaves value outside producer economies.

    For African commodity strategy, the bigger idea is shifting from “raw export” to financeable, standardised flows that can support industrial policy, reserves, and cross-border trade.

    Validation: Afreximbank said “Memorandum of Understanding… for the Establishment of a Gold Bank programme in Egypt.” and Egypt Today reported “to establish a gold bank aimed at transforming Africa’s gold industry.”

    Echotitbits take: If executed well, this could be a template for commodity-backed trade finance that keeps more value within Africa. Watch for governance details, bullion standards, custody frameworks, and how smaller producer states are brought in.

    Source: Tanzaniatimes — 31 December 2025 (https://tanzaniatimes.net/egypt-and-afreximbank-to-establish-a-pan-african-gold-bank/)

    Tanzaniatimes 31 December 2025

    Photo Credit: Tanzaniatimes

  • Aviation Regulator Pushes Back as Airlines Blame Taxes for Rising Airfares

    Aviation Regulator Pushes Back as Airlines Blame Taxes for Rising Airfares

    2025-12-30 09:30:00

    Reporting by Punch indicates the NCAA challenged claims that multiple taxes are the main driver of high airfares, as public debate grew around new tax laws and ticket pricing.

    The row followed warnings by Air Peace chairman Allen Onyema that aviation costs could worsen and fares could rise sharply if tax burdens persist.

    Regulators and tax-reform officials argue the reforms are meant to simplify and reduce certain burdens, while operators insist the broader levy-and-charge ecosystem remains heavy.

    Vanguard quoted Onyema saying, “The Nigerian airlines are heavily overburdened by taxes, levies and all manner of charges.” P.M. News quoted Taiwo Oyedele saying, “Eliminating this burden is a major structural relief for the sector,” as he explained tax changes affecting aviation.

    Echotitbits take: This will turn into a data contest—operators will cite cashflow strain, regulators will cite reform details. Watch for NCAA’s consumer-protection actions and a clear aviation-specific implementation note on VAT/WHT and leasing-related taxes.

    Source: The Punch — December 29, 2025 (https://punchng.com/airfares-hike-ncaa-tackles-air-peace-boss-rejects-tax-claim/)

    The Punch 2025-12-29

    Photo Credit: The Punch

  • Port Harcourt Refinery Still Trucking Diesel Despite ‘Shutdown Mode’ Status

    Port Harcourt Refinery Still Trucking Diesel Despite ‘Shutdown Mode’ Status

    2025-12-30 12:30:00

    Figures cited by Punch suggest diesel continued to be evacuated in trucks from Port Harcourt refinery facilities despite the plant being in “shutdown mode,” with the explanation tied to stock produced before the shutdown date.

    The distinction between production and evacuation has become central amid public scrutiny of state refinery performance and rehabilitation claims.

    The development has renewed calls for clearer reporting of refining metrics—what is produced, what is stored and what is trucked out—so consumers and markets can track real progress.

    Africa Business Insider, citing regulator data, said at Port Harcourt “no production activities” were recorded while evacuation continued from existing stock. Punch reported the same framing, quoting the plant remained in “shutdown mode” even as diesel truck-outs persisted.

    Echotitbits take: Nigeria needs transparent dashboards where ‘production’ isn’t confused with ‘distribution.’ Watch for whether NMDPRA publishes more granular refinery reporting and whether NNPCL clarifies a firm timeline for sustained restart.

    Source: The Punch — December 30, 2025 (https://punchng.com/p-harcourt-refinery-supplies-3150-diesel-trucks-despite-shutdown/)

    The Punch 2025-12-30

    Photo Credit: The Punch

  • Air Peace Rejects Barbados Diversion Claims as Stranded Passenger Story Spreads

    Air Peace Rejects Barbados Diversion Claims as Stranded Passenger Story Spreads

    2025-12-30 14:00:00

    According to Punch, passengers alleged they bought Lagos–Kingston tickets but were diverted to Barbados and later detained and deported—claims the airline disputed, insisting rerouting was voluntary and refunds were offered where applicable.

    The story centres on documentation and transit-visa issues, route-change communication at check-in, and what happened after arrival when onward connections were missed.

    The incident has quickly become a diaspora-travel flashpoint, raising questions about disclosure standards, passenger rights and handling of irregular operations on complex itineraries.

    The Guardian reported passengers claimed diversion was announced without prior notice, adding an airline spokesperson promised to respond “soon.” FIJ quoted an affected passenger saying, “Despite holding a valid Jamaican visa, I was forced to travel to a country with which I had no prior connection…”

    Echotitbits take: This could become a benchmark consumer-protection case. Watch NCAA’s findings, whether refunds/rerouting commitments are documented, and tighter ticketing disclosures for ‘via’ itineraries across Nigerian carriers.

    Source: The Punch — December 29, 2025 (https://punchng.com/25-air-peace-passengers-stranded-in-barbados-airline-defends-self/?utm_medium=web&utm_source=auto-read-also)

    The Punch 2025-12-29

    Photo Credit: The Punch

  • Vitafoam Posts Major Profit Rebound as Consumer-Goods Earnings Surge

    Vitafoam Posts Major Profit Rebound as Consumer-Goods Earnings Surge

    2025-12-30 15:30:00

    According to Punch, Vitafoam Nigeria Plc recorded a sharp rebound in full-year performance, reporting net profit of about ₦14.54bn for the year ended September 2025, alongside stronger revenue and operating profit.

    The numbers reflect a consumer-goods firm navigating FX pressures, cost dynamics and price adjustments, with improved operating metrics helping lift the bottom line.

    Investors will watch how the company sustains margins amid inflation and currency volatility, including raw material sourcing and working-capital discipline.

    Premium Times reported profit “leaped more than fifteen times” and referenced a dividend and bonus-share plan. Nairametrics said the company’s pre-tax profit jumped “1,775% year-on-year,” also noting dividend/bonus actions.

    Echotitbits take: The key question is durability—was this driven by demand, pricing power, or a one-off cost/FX swing? Watch quarterly momentum, input-cost trends, and whether consumer spending holds up into Q1 2026.

    Source: The Punch — December 30, 2025 (https://punchng.com/vitafoam-posts-n14-5bn-profit-surge/)

    The Punch 2025-12-30

    Photo Credit: The Punch

  • Cashew Farmers Push Back Against Export Restriction Plans, Warn of Income Shock

    Cashew Farmers Push Back Against Export Restriction Plans, Warn of Income Shock

    2025-12-30 17:00:00

    In an update published by Punch, cashew farmers under the National Cashew Association of Nigeria urged the Federal Government to drop proposals to restrict or ban raw cashew exports, warning it could hurt livelihoods and non-oil export earnings.

    Stakeholders argue Nigeria lacks sufficient processing capacity to absorb output, meaning a clampdown could depress farm-gate prices and trigger job losses across trading and logistics chains.

    Supporters of restrictions say processors need protection from foreign buyers, but opponents insist the better fix is investment in processing plants, not an export ban.

    The Guardian quoted a stakeholder warning, “If the government bans raw cashew export, 95 per cent of what we produce will be left to rot.” NCAN’s Dr Joseph Ajanaku was quoted saying, “we can’t accept that and you cannot ban the export of raw cashew nuts in Nigeria.”

    Echotitbits take: If value-add is the goal, sequencing matters—processing capacity first, restrictions later (if ever). Watch for incentives (tax breaks, credit, export-processing zones) that expand local processing without crushing rural incomes.

    Source: The Punch— December 29, 2025 (https://punchng.com/cashew-farmers-oppose-export-ban/)

    The Punch 2025-12-29

    Photo Credit: The Punch

  • FCMB–TLG Private Debt Fund Cleared to Raise ₦20bn in New Series

    FCMB–TLG Private Debt Fund Cleared to Raise ₦20bn in New Series

    2025-12-30 13:30:00

    According to Punch, FCMB Asset Management has received regulatory approval to issue up to ₦20bn under the FCMB‑TLG Private Debt Fund Series II, opening the door for a new fundraising cycle.

    The report said the approval moves the manager from documentation into rollout, targeting investors seeking structured private‑debt exposure in Nigeria’s tightening credit environment.

    Market participants see private debt funds gaining traction as investors balance yield goals with a preference for managed credit structures over direct lending.

    Nairametrics reported the same approval, describing the Series II clearance as “a significant milestone” for the fund’s strategy. TheCable also carried a company‑style update stating the manager “has received regulatory approval,” referencing the execution of transaction documents following the approval.

    Echotitbits take: Private debt is becoming a key middle lane between bank loans and public bonds. Watch the pricing terms, sector allocation, and whether the fund leans into ESG‑style screening or purely yield‑driven credit.

    Source: The Punch — December 30, 2025 (https://punchng.com/fcmb-tlg-private-debt-fund-gets-approval-for-series-ii-issuance/)

    The Punch 2025-12-30

    Photo Credit: The Punch

  • Geregu Power Control Shifts as MA’AM Energy Takes Majority Stake

    Geregu Power Control Shifts as MA’AM Energy Takes Majority Stake

    2025-12-30 14:30:00

    According to Punch, MA’AM Energy has taken control of 77% of Geregu Power Plc following a restructuring that ends billionaire Femi Otedola’s indirect controlling interest.

    The report said the shift followed changes around the majority shareholder structure and noted the transaction was not presented as a direct share sale on the NGX.

    Geregu’s update cited in Punch said the transfer changes the controlling interest and sets up a new governance posture for one of Nigeria’s key listed generation assets.

    Premium Times reported the ownership shift and cited a source saying the deal “was valued at $750 million.” In the corporate update referenced by Punch, Geregu Power stated: “As a result of this transaction, the indirect controlling interest… has been transferred to MA’AM Energy Limited.”

    Echotitbits take: This is a strong signal that investors see real value in listed power assets. Watch for (1) capex commitments by the new controller, (2) governance changes, and (3) whether the move reshapes market expectations for other energy listings.

    Source: The Punch — December 30, 2025 (https://punchng.com/otedola-cedes-geregu-power-control-to-maam-energy/)

    The Punch 2025-12-30

    Photo Credit: The punch

  • SEC flags ₦753bn commercial-paper surge as firms tap short-term funding

    SEC flags ₦753bn commercial-paper surge as firms tap short-term funding

    2025-12-29 09:00:00
    Reporting by The Nation indicates Nigeria’s capital-market regulator says companies raised over ₦753bn through commercial paper issuance within months, pointing to renewed appetite for short-term, non-bank funding as businesses cover working-capital needs.

    Commercial paper has increasingly become a bridge instrument for corporates facing tight credit conditions, higher borrowing costs and volatile cashflows, especially in manufacturing and supply chains.

    SEC leadership has tied the momentum to broader market-structure reforms, arguing that faster settlement and deeper participation can improve liquidity and reduce risk for investors.

    In effect, the regulator is projecting the surge as evidence of confidence in market plumbing and regulation, even as macro pressures remain.

    The Whistler quoted the SEC DG saying, “Commercial paper issuance remained vibrant, with over N753bn raised…,” while The Guardian quoted him on settlement reforms: “By shortening the settlement period, we have enhanced liquidity….”

    Echotitbits take: The key watch item is pricing and rollover risk. If firms keep issuing at very high yields, the market may be masking stress rather than solving it. Watch for defaults, delayed redemptions, and whether issuers shift to longer-dated bonds.

    Source: BusinessDay — https://businessday.ng/markets/article/nigeria-records-over-n753bn-commercial-paper-issuances-in-6-months/?amp – December 29, 2025
    BusinessDay 2025-12-29

    Photo Credit: BusinessDay