Business

NEM Insurance Targets N5bn Gross Premium

Published

17 years ago

June 22, 2009

NEM Issuarnce Plc, one of the recapitalized insurance companies in the country is targeting a gross premium of N4.66 billion during the third quarters ending September 30, 2009.
In an official statement released by the Nigerian Stock Exchange (NSE) at the weekend, the company is also forecasting a profit after tax of N952.5 during the third quarter.
The company had recently recorded 67.1 per cent drop in profit after tax and 60.74 per cent drop in gross premium during the first quarter ended March 31, 2009.
The unaudited result of the company showed a profit after tax of N333.53 million for the first quarter as against N1.01 billion recorded in the comparable period of 2008, representing a drop of N1.6 billion as against N4 billion recorded in 2008 amounting to a drop of 60.74 per cent.
The audited result showed gross premium grew from N853.6 million in 2006 to N2.6 billion in 2007 while net premium income increased by 205.7 per cent from N818.3 million in 2006 in N2.5 billion recorded in 2007.
Profit after tax also rose from N8.7 million in 2006 to N399 million in 2007 while investment income also increased by 10.9 per cent, from N81.1 million in 2006 to N89.9 million in 2007.
Earnings per share (EPS) increased from 2.16 in 2006 kobo to 8.03 kobo in 2007 representing an increase of 271.8 per cent.
The company said deployment of new technology to improve on turnaround resulted into significant growth in all areas of its operation of the period.
But like every other insurance stocks the current bearish run in the Nigerian capital market is taking its toll on the share price of the company.
The company which had bottomed out at a low of 54 kobo per share during the sustained bearishness in the market, at the weekend traded in the negative direction with a loss of three kobo to close at N1.09.
However, Mr. Tunde Smart, managing director of the company reacting recently on the firms dwindling fortune in respect of profitability attributed the high percentage drop to the lingering capital meltdown occasioned by the global financial crisis.
Smart noted that the company’s investment in the market was a major factor that contributed to the drop in profit.
He said the capital market downturn affected every quoted company in the country which according to him Nem is not insulated from the Nigeria economy just like any other listed on the exchange.
“However, insurance stocks are not the worst hit as it affected all the stocks in the market. In relative terms, some banks stocks which sold as high and if you compare that to an insurance stocks that is selling for N4 and today is now sold for N2 or N1, you will see that we are not the worse hit. So you have to look at value prior to the meltdown and the value now and do arithmetic and you will agree with me that the insurance stock is not the worst hit in the market.
He however, expressed optimism that with the rebound of the market coupled with the company’s deployment of new technology, the drop will not affect the actualization of its target for the current year.
The company is targeting gross premium income of N5.5 billion for the current year and also forecasting the opening of more branches and off shore offices especially in Ghana “Am proud to tell you that as we speak now we have gotten our licence to operate in Ghana and we are already putting infrastructure in place, very soon we will launch out new office in Ghana,” Smart said.

Business

Pipeline Explosion In Abua Odua, LGA Chair Calls For Calm

Published

1 day ago

July 3, 2026

The Tide

Fresh explosions have hit oil and gas pipelines in Odau Community, in Abua/Odual Local Government Area of Rivers State, triggering a major security and environmental crisis that has forced residents to abandon their homes.

The first incident occurred along the Kolo Creek – Rumuekpe crude oil pipelines, operated by Renaissance Africa Energy Company Limited.

This was followed by a gas pipeline explosion on the Ogboinbiri – Obirikom Gas Pipeline, operated by Oando Plc, in the same week.

In a statement by the Abua/Odual Council Chairman, Hon. Owolobi Michael Ofori said the blasts, suspected to be the handiwork of militants, have unleashed persistent gas leakage in the area, raising fears of fire outbreaks and toxic exposure as residents of Odau have largely deserted the community due to the dangerous situation.

According to him, some residents of the area have been hospitalised after inhaling the leaking gas, adding that the impact has spread to neighbouring communities, including Obedum, Emirikpoko, and Anyu in Abua/Odual LGA, as well as Oruma and Ibelebiri in Bayelsa State.

Hon. Ofori expressed deep concern over the plight of the affected residents and urged the operating companies to act swiftly.

The Council expressed its deepest sympathy to all affected persons and communities and remained gravely concerned about the safety, health, and welfare of residents whose lives and livelihoods have been disrupted by these incidents.

“We call on Renaissance Africa Energy Company Limited and Oando Plc to immediately deploy all necessary technical and emergency response resources to contain the fires, halt the gas leakage, secure the affected pipeline corridors, and mitigate further environmental and public health risks.” the Council Chairman Said.

The chairman also appealed to the two oil firms to provide immediate humanitarian assistance and relief materials to the displaced residents while work continues to restore normalcy.

The Council Chairman said he is working closely with security agencies and emergency responders to monitor the situation and coordinate necessary interventions.

The Council Boss advised Residents of the Local Government Area to remain calm, cooperate with authorities, and adhere strictly to safety directives.

Ofori further called on the National Emergency Management Agency (NEMA), the National Oil Spill Detection and Response Agency (NOSDRA), the Rivers State Government, and other relevant bodies to intervene urgently to prevent loss of lives and environmental damage.

Hon. Ofori assured that the council remains committed to the protection and welfare of its people and will continue to engage all stakeholders to resolve the crisis.

Enoch Epelle

Business

Fidelity Bank Collaborates YEIDEP To Empower Nigerian Students

Published

1 day ago

July 3, 2026

The Tide

Fidelity Bank Plc has reaffirmed its commitment to youth empowerment, financial inclusion and entrepreneurship through a strategic partnership with the Youth Economic Intervention and De-radicalization Programme (YEIDEP), a Federal Government-backed initiative aimed at equipping young Nigerians with the skills, support and opportunities needed to build sustainable livelihoods.

Under the partnership, the bank will support the enrolment of students and young people into the YEIDEP programme, which is designed to tackle youth unemployment, promote enterprise development and expand economic participation among Nigeria’s growing youth population.

The next phase of the initiative is scheduled to end today at Nnamdi Azikiwe University, Awka, where the enrolment exercise for students and youths across the South-East that started since July 1st would be concluded at the university’s Convocation Arena.

The exercise is expected to reach more than 60,000 regular undergraduate students.

Speaking on the partnership, Fidelity Bank’s Divisional Head, Product Development, Osita Ede, said youth empowerment remains central to the bank’s vision of building a more inclusive and prosperous society.

He noted that Nigeria’s youths represent the country’s greatest asset and stressed that providing them with the right skills, opportunities and financial support is critical to unlocking their potential and driving national development.

According to Ede, the bank continues to provide young Nigerians with tools for success through its digital banking platforms, financial literacy initiatives, youth-focused products and strategic partnerships.

He added that Fidelity Bank recognises that limited access to funding, mentorship and business development support remains a major challenge for many aspiring entrepreneurs, and is committed to creating pathways that will help them overcome these barriers.

The bank said its support for YEIDEP aligns with its longstanding commitment to empowering Micro, Small and Medium Enterprises (MSMEs), which it described as key drivers of economic growth and job creation in Nigeria.

Interested students and youths have been encouraged to open Fidelity Bank accounts and register for the programme through the bank’s dedicated online portal.

Nkpemenyie Mcdominic, Lagos

Business

NPA Launches Multi-Agency Taskforce To Combat Apapa Traffic Gridlock

Published

1 day ago

July 3, 2026

The Tide

The Nigerian Ports Authority (NPA) has launched a multi-agency task force to combat the resurgence of traffic gridlock choking the Lagos Port access roads, in a fresh push to restore seamless cargo evacuation and sustain recent gains in Port efficiency.

The intervention followed a stakeholders’ meeting convened by the Managing Director of NPA, Dr. Abubakar Dantsoho, on June 23rd, 2026, where security agencies, freight forwarders, truck operators and representatives of the Lagos State Government agreed on coordinated measures to eliminate the bottlenecks disrupting cargo movement.

At the meeting, stakeholders identified illegal extortion points, overlapping responsibilities among security agencies and other operational distortions as major factors responsible for the renewed congestion along the port corridor.

Speaking on the outcome of the meeting, the NPA’s General Manager, Corporate and Strategic Communications, Mr. Ikechukwu Onyemakara, said the Authority’s overriding priority is to guarantee the unhindered movement of cargo to and from the nation’s seaports.

According to him, the task force comprises the NPA, the Police, the National Association of Government Approved Freight Forwarders (NAGAFF), the Association of Nigerian Licensed Customs Agents (ANLCA), the Federal Road Safety Corps (FRSC), the Maritime Workers Union of Nigeria (MWUN), the Nigerian Association of Road Transport Owners (NARTO) and the Association of Maritime Truck Owners (AMATO).

“The responsibility of the task force is to monitor truck movement on the Port access roads on a regular basis, identify any disruption capable of causing gridlock and immediately resolve such challenges,” Onyemakara said.

He stressed that members of the task force would not establish checkpoints along the corridor but would maintain strategic presence at designated locations to ensure compliance without obstructing traffic.

To enhance rapid response, Onyemakara disclosed that the task force has created a dedicated WhatsApp platform through which members can instantly report infractions or emerging traffic issues for immediate intervention.

On the long-delayed renewal of the Electronic Truck Call-Up (ETO) system contract, the NPA spokesman said the Authority is reviewing the terms to ensure a more robust contractual framework before awarding a fresh agreement.

He explained that although the previous contract had expired, the ETO platform remains operational under the management of the Truck Transit Parks (TTP) pending completion of the procurement process.

He expressed confidence that the renewal would be concluded soon.

Reaffirming the Authority’s commitment to maintaining free-flowing Port access roads, Onyemakara said efficient logistics remain central to the NPA’s drive to improve Nigeria’s Port competitiveness and preserve its growing international reputation.

“We are more interested in the free flow of logistics into our ports than anyone else because it is in our own interest,” he said

Nkpemenyie Mcdominic, Lagos