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Investors Pull Out Funds

Investors Pull Out Funds

Investors pull out funds from Guinness, Nigerian Breweries, International Breweries after COVID-19 impact

The bears have taken over the alcoholic companies as investors take out their investment from Guinness, Nigerian Breweries, International Breweries despite exit from COVID-19 mystery for three consecutive weeks.

In a market analysis, it was noticed that the bears are bleeding the three major alcoholic companies dry as investors seem to believe the market will go negative.

The three weeks sell-off followed the release of Nigerian Breweries, International Breweries and Guinness financial statements for the period ended June 30, 2021.

Nigerian Breweries and International Breweries had released theirs at the end of July 30, 2021, posting that they generated N103.58 billion and N42.99 billion in revenue respectively, for Q2 this year

This is significantly above the N68.65 billion recorded by Nigerian Breweries and N25.26 billion generated by International Breweries during the COVID-19 lockdown in Q2 2020 – it represents 51.5 percent and 70.2 percent year-on-year growth respectively.

Guinness, which released its financials on August 26, 2021, had revealed that its revenue for Q2 rose by 54 percent to N160.41 billion, in contrast to the N104.37 billion it generated during Q2 2020.

Note that the nationwide lockdown had affected production volume, sales, and distribution across Nigeria. Business-to-business contracts were also impacted as on-trade and off-trade businesses were also shut down.

Hotels, bars and restaurants, supermarkets, were only opened towards the fourth quarter, hence, the low revenue recorded by Nigerian Breweries, Guinness, and International Breweries.

But the revenue growth across the three major brewers in Q2 2021 failed to attract the bulls or boost investors’ confidence in the companies short-term growth, leading to shareholders entering profit-taking mode.

Ripples Nigeria traced investors’ activities in Guinness, Nigerian Breweries, International Breweries, and discovered that they experienced four weeks bearish run that depreciated their market value by 2.20 percent, 16.5 percent, and 7 percent respectively.

Nigerian Breweries major loser as brewers lose N82.90 billion

Nigerian Breweries, Guinness, and International Breweries lost N82.90 billion to investors mass exit in the last four weeks, making August a bloody month for the alcoholic companies.

Nigerian Breweries

Analysis of Nigerian Breweries, which is the market leader, showed that exiting shareholders of the company lost N71.97 billion during the period under review.

This makes the producer of Star lager beer, Gulder and Maltina, the highest loser, after its market valuation dropped to N383.85 billion as at September 3, 2021, below the N455.82 billion reported on August 9 – its stock is currently valued at N48 per share against the latter’s N57.

Guinness Nigeria

Shareholders of Guinness Nigeria, the second largest market shareholder, lost N1.53 billion to the bears whose rampage cut the brewer’s value to N67.90 billion at of September 3.

The sell-off among Guinness investors pushed the market capitalisation down from N69.43 billion of August 9, 2021, after the stock price crashed to N31 per share, from N31.70 kobo per share.

International Breweries

The third largest market shareholder travelled same path with its rivals, as profit-taking by International Breweries’ investors caused the company N9.40 billion in investment.

International Breweries’ market value dropped by 7 percent within the bearish four weeks, to settle at N124.90 billion, as of September 3, below the N134.31 billion it was valued for on August 9 – this was caused by the depreciation of the stock price from N5 to N4.65 Kobe per share for both period respectively.

Note that while the sell-off in Nigerian Breweries and International Breweries occurred after the financials of both companies were released, that of Guinness happened weeks into the release.

 

Business

FAAN targets full ISO certification for Nigerian airports by December 2025

The Federal Airports Authority of Nigeria (FAAN) has December 2025 to achieve full International Organisation for Standardisation (ISO).

The is contained in a statement by the authority’s Director of Public Affairs and Consumer Protection, Mr Henry Agbebire in Lagos.

The Managing Director of FAAN, Mrs Olubunmi Kuku, made this known at the unveiling of its ISO Policy aimed at institutionalising a culture of service quality, operational safety, and sustainable practice across all FAAN managed airports.

Kuku was represented by the FAAN Director of Human Resources and Administration, Dr Luqman Emiola.

The new policy, she said, integrates two standards, ISO 9001:2015 Quality Management System (QMS) and ISO 14001:2015 Environmental Management System (EMS), into a single framework.

”FAAN has achieved about 70 per cent completion of the certification process, with external auditors scheduled to arrive in November to assess compliance and close identified gaps.

”We are targetting full ISO certification by December 2025.

”The ISO policy reinforces the operational principle that, if it is not documented, it is considered not done,” she said.

She noted that the policy provided FAAN with a working document to guide internal audits across directorates.

Kuku said that it would ensure that every action reflected it’s commitment to service quality, safety, environmental stewardship, and operational excellence.

She reiterated the authority’s dedication to managing Nigeria’s airports in line with international best practices, ensuring safe, secure, efficient, and environmentally responsible operations.

The authority also reaffirmed its commitment to protecting the environment, supporting host communities, and providing a conducive workplace for staff.

Also speaking at the unveiling, the Director of Special Duties, FAAN, Mrs Obiageli Orah highlighted the purpose and importance of the ISO Policy.

According to her, the audit process is designed to measure FAAN’s commitment to quality, business conduct, customer satisfaction and environmental responsibility.

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Business

TCN announces outages in Enugu, Abuja

The Transmission Company of Nigeria has announced that there would be electricity outages in parts of Enugu State and Abuja, respectively, due to maintenance of its Kubwa and New Haven Enugu 132/33 kilovolt substations.

The spokesperson of TCN disclosed this in a separate statement released on the agency’s X account on Tuesday.

According to TCN, the scheduled Enugu-New Haven maintenance would take effect from October 22, 2025, to Thursday, October 31, 2025, between 9:00am and 5:00pm daily.

Consequently, TCN stated that there would be disruption of bulk electricity supply to one 33-kilovolt feeder per day on a rotational basis during the period.

“TCN wishes to clarify that this is not a total system shutdown for Enugu State. To minimise disruption, the work has been carefully planned to affect only one 33 kV feeder per day on a rotational basis. Given that Enugu State is supplied by twenty-four (24) 33 kV feeders, this arrangement ensures that most parts of the state will continue to receive a power supply while the maintenance is ongoing.

“The exercise requires the temporary isolation of specific 33 kV feeders to ensure the safety of TCN technical crews and the protection of equipment under maintenance.

“Consequently, customers in areas served by these feeders will experience power interruption only on the day their specific feeder is isolated,” the statement reads.

In Abuja, the disruption, which is expected to take effect on 21st October 2025, would affect areas in Kubwa, including Army Resettlement, Papal Ground, Aso Garden, Nydren Supermarket, Back of AT4, Back of Mobil, Zenith Bank, FO1, Kubwa Extension, Chikakore Community, Dantata Estate, IITA Farms, Royal Champion Church, the Kubwa area and environs.

“The Transmission Company of Nigeria (TCN) notifies the public of scheduled preventive maintenance at the Kubwa 132/33 kV Transmission Substation on October 21, 2025, from 11 am to 3 pm.

“The exercise will involve the replacement of a 33 kV circuit breaker with a new one and will require an interruption of bulk power supply to the Abuja Electricity Distribution Company (AEDC) from Kubwa Substation,” the statement reads.

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Business

FG, States, LGs Share N2.103trn September 2025 Revenue – FAAC

A total sum of N2.103 trillion, being September 2025 Federation Account Revenue, has been shared to the Federal Government, States and the Local Government Councils.

The revenue was shared at the October 2025 Federation Account Allocation Committee (FAAC) meeting held in Abuja.

The N2.103 trillion total distributable revenue comprised distributable statutory revenue of N1.239 trillion, distributable Value Added Tax (VAT) revenue of N812.593 billion, Electronic Money Transfer Levy (EMTL) revenue of N51.684 billion.

A communiqué issued by the Federation Account Allocation Committee (FAAC) indicated that total gross revenue of N3.054 trillion was available in the month of September 2025. Total deduction for cost of collection was N116.149 billion while total transfers, interventions, refunds and savings was N835.005 billion.

According to the communiqué, gross statutory revenue of N2.128 trillion was received for the month of September 2025. This was lower than the sum of N2.838 trillion received in the month of August 2025 by N710.134 billion.

Gross revenue of N872.630 billion was available from the Value Added Tax (VAT) in September 2025. This was higher than the N722.619 billion available in the month of August 2025 by N150.011 billion.

The communiqué stated that from the N2.103 trillion total distributable revenue, the Federal Government received a total sum of N711.314 billion and the State Governments received a total sum of N727.170 billion.

The Local government Council received N529.954 billion, while the sum of N134.956 billion (13% of mineral revenue) was shared to the benefiting State as derivation revenue.

On the N1.239 trillion distributable statutory revenue, the communiqué stated that the Federal Government received N581.672 billion and the State Governments received N295.032 billion.

The Local Government Councils received N227.457 billion and the sum of N134.956 billion (13% of mineral revenue) was shared to the benefiting States as derivation revenue.

From the N812.593 billion distributable Value Added Tax (VAT) revenue, the Federal Government received N121.889 billion, the State Governments received N406.297 billion and the Local Government Councils received N284.408 billion.

A total sum of N7.753 billion was received by the Federal Government from the N51.684 billion Electronic Money Transfer Levy (EMTL), the State Governments received N25.842 billion and the Local Government Councils received N18.089 billion.

In September 2025, Import Duty, Value Added Tax (VAT) and Electronic Money Transfer Levy (EMTL) increased significantly while Companies Income Tax (CIT) and CET Levies decreased considerably. Petroleum Profit Tax (PPT) increased Marginally while Oil and Gas Royalty and Excise Duty recorded marginal decreases.

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