Emomotimi Agama, director general (DG) of the Securities and Exchange Commission (SEC), says the agency has not received any formal notice regarding the sale of Lafarge Africa Plc to Chinese investors.
Agama announced in a letter dated April 23, addressed to the clerk of the national assembly, and distributed during a hearing with the committee on the capital market on Wednesday.
The clarification followed a resolution by the senate (S/Res/2/78/24), which urged the federal government to stop the reported sale of Lafarge Africa Plc to Chinese interests on the grounds of national security and economic sovereignty.
“I acknowledge receipt of your letter referenced above, requesting the Commission’s intervention in the ongoing sale of Lafarge Africa Plc, with specific emphasis on safeguarding national security and economic sovereignty,” Agama said.
“The Commission wishes to inform the national assembly that it has not received any formal filing regarding the proposed divestment of majority shareholding in Lafarge Africa Plc.”
He noted that the commission was only informed of an internal restructuring by Holcim Group, which holds 83.81 percent of Lafarge Africa’s issued share capital.
Agama explained that Holcim Group controls its stake through two wholly owned entities — Caricement B.V. with 56.04 percent, and Associated International Cement Limited with 27.77 percent.
“As part of the internal restructuring, the 27.77% equity stake held by Associated International Cement Limited was transferred to another Holcim-owned entity, Davis Peak Holdings Limited,” he said.
“There has been no change in the ultimate beneficial ownership of the shares as a result of this transaction.”
He added that no regulatory action has been taken and no approval has been granted by the commission in relation to any sale to Chinese investors.
“Please be assured that the Commission remains committed to transparency, strict adherence to regulatory requirements, and the protection of national interest in all capital market operations,” Agama said.
In February, Agama assured the national assembly that the capital market operates a disclosure regime rather than a merit regime.
“Every company and director has a responsibility for figures that are disclosed to the public,” he said.
The DG also said it is the responsibility of the SEC to monitor and ensure that documents provided to members of the public are accurate, adding that if they do not meet standards, such institutions will be penalised.
