Stakeholders move to advance minority shareholders view, market performance
Addressing shareholders in Lagos yesterday, the leader of the initiative , who is also the former minister for National Planning, Dr Shamsudeen Usman explained that the new initiative would also explore areas in which the conduct of yearly general meetings and other practices by public companies in Nigeria can be improved in line with international best practice.
He added that it would also articulate reforms that would help increase compliance with the Securities and Exchange Commission (SEC) code of corporate governance for public companies and shareholders associations.
“Our objective is to improve the overall performance of the market and to examine the role and conduct of the shareholders both domestic and foreign in observing the SEC’s code of conduct for shareholders group.”
“We have consulted widely some of our key sponsors like SEC, Nigerian Stock Exchange(NSE), Corporate Affairs Commission(CAC) and Bureau for Public Enterprise (BPE) and they have expressed commitment to support, participate and provide funding for the initiative. We used our influence to bring all parties together on this platform to look at issues concerning the Nigerian capital market. The market is currently not performing as optimal as it should be. We have lost close to N3.6 trillion in the market.
“We need to find areas that needed improvement in the market to ensure that average Nigerian is protected. If all stakeholders come together in the same platform to address these fundamentals inhibiting market growth, the market would rebound and attract more local and foreign investors,”he added.
The President, Advancement of Rights of Nigerian Shareholders, Dr Faruuk Umar explained that the new initiative would help sanitise the activities of various shareholders groups and the entire capital market.