Nigerian Lawmakers Tell SEC to Report Back on Oando Probe
Nigeria's lower house has given the Securities and Exchange Commission (SEC) two weeks to disclose the results of its investigation into oil firm Oando Plc, said the deputy chairman of its capital markets committee, Tony Nwulu.
The SEC said in July it was investigating Oando's shareholding structure following its $1.65 billion acquisition of ConocoPhillips (COP)'s Nigerian business in 2014.
A company source said earlier this month the investigation centred on the ownership of some Oando shares bought through an investment vehicle at the time of the ConocoPhillips deal.
The SEC has yet to publish its findings though it allowed the company to proceed with its annual shareholder meeting this month.
Oando Chief Executive Adewale Tinubu told shareholders this month that the SEC allowed the meeting to proceed as the company had disclosed the relevant information to the regulator.
"SEC has set up a committee to look into the ongoing issues. The House Committee on Capital Market has given them two weeks to come up with the report," Nwulu said late on Tuesday.
Shares in Oando, which are also listed in Johannesburg and Toronto, have fallen 38.3 percent this year after hitting a peak in May. It recovered slightly from a five month low it touched last week.
The stock was down 1.5 percent at 5.90 naira in Lagos on Wednesday.
The SEC said in July it was investigating Oando's shareholding structure following its $1.65 billion acquisition of ConocoPhillips (COP)'s Nigerian business in 2014.
A company source said earlier this month the investigation centred on the ownership of some Oando shares bought through an investment vehicle at the time of the ConocoPhillips deal.
The SEC has yet to publish its findings though it allowed the company to proceed with its annual shareholder meeting this month.
Oando Chief Executive Adewale Tinubu told shareholders this month that the SEC allowed the meeting to proceed as the company had disclosed the relevant information to the regulator.
"SEC has set up a committee to look into the ongoing issues. The House Committee on Capital Market has given them two weeks to come up with the report," Nwulu said late on Tuesday.
Shares in Oando, which are also listed in Johannesburg and Toronto, have fallen 38.3 percent this year after hitting a peak in May. It recovered slightly from a five month low it touched last week.
The stock was down 1.5 percent at 5.90 naira in Lagos on Wednesday.
By Camillus Eboh, Writing by Chijioke Ohuocha
