Afroil

[oseitutu]

Originally Posted by SWEETADE

What do you mean by the last statement when corrections happened, those are the stocks that finds it difficult to stand. I am investing in Nigeria stock ignorantly or according to information from friends.Please help to elaborate on your statement, as some of us are just investing according to paper speculation.

One of the simple truths in the NSE is that before you buy, do a bit of research. Just a little. If a company has not published any result for more than two years, while it baffles me that they are not delisted from the NSE, I become more intrigued when people buy their shares in the secondary market.
Simple facts for eliminating companies for a total novice:
No report in the last two years, run: they may be new or they may be dead!
No dividend or bonus or split in the last year, look elsewhere: they may be struggling, come back when they are done.
PE ratio high......like 40 to 70 and above their sector average, take off something is amiss and you may let the experts find out and expose what it is.
By the time you do all these, you will have less than 50 companies on our NSE. Then start looking at EPS and trade volumes in the last few weeks and how the prices have changed in the last year or so.
These steps will narrow your bunch, then think about what sector you like and what your common sense tells you. And what the interested enthusiasts on this site say about your choices, then you are almost there. Finally, listen to what your broker says and weigh it against all the evidence you have gathered. Do not get carried away by the brokers' saying"BUY THIS ONE, IT IS GOOD". Though they may be right, it has to fit into your basic research. If it does not, do not go there unless you are a hard core gambler from down town Las Vegas!

[oseitutu]

Originally Posted by capitala4

I read the post from some who are interested in Afro Oil. My candid advice to them all is that they should watch b/4 they jump the bad wagon of afro oil. Afro Oil is a moribond company that exits on a portfolio of Mr. Sani the self aclaim CEO. It has no office any where and for so many years it has gone out of operation. Only for the self acliam CEO to resuface after several atempt to secure SME funds from banks and now comeup with the sales of the wharehouse shares of the company. The company did a public offer some time in the 90s which failed and was wharehouse by the Issuing company, then Prudent Bank Ltd.

I think that is ok 4 now

Thank you

Capitala4

Where is your evidence or are you just here to dissuade people? Include some light evidence of these allegations.

[delufosi]

Hello house,
Regarding the recent Afroil oil investigation by SEC which has greatly affected their price this week, is it advisable to hold on to the share or sell?

[Goddey]

I decided to sell some of mine and keep the rest despite the investigation.

[Goddey]

Share price manipulations: Afroil refutes SEC allegation
26 February, 2008 12:00:00 EJIOFOR ALIKE
Font size:
SEC alleged recently that the company was involved in share price manipulations and insider dealings, along with Capital Oil and Gas Plc, African Petroleum Plc and First Aluminum Plc. Yakubu T. Luke, head, Business and Corporate Relations of Afroil said in a statement that it was surprising that SEC, the nation’s apex capital market regulator could use the media to level such weighty allegation without commencing any form of investigations or giving the company opportunity to defend itself. The statement noted that the allegation had impacted negatively on the fortunes of the company, as investors are showing apathy to the stocks of the company at the capital market.
“As a responsible corporate organization, Afroil Plc is not against SEC performing its functions as the capital market regulator, but we are surprised that the nation’s apex capital market regulator came up with such a weighty allegation in the media without first notifying the company to defend itself….. We want to assure SEC that our doors are open for them anytime they want to carry out their investigations, as we have nothing to hide,” the statement said.
The company attributed its share price movement to the confidence, which the investing company have on its operations.
This according to the statement is due to the restructuring, which has resulted in ten additional retail stations nationwide, incorporation of Chemicals Marketing subsidiary, proposed entries into the African regional market, as well as the proposed turnkey construction of thirty petrol stations whose financing plans are to be finalised by May 2008.
“With the above developments, it is now appreciated that Afroil Plc has come to stay and grow from strength to strength in the coming years. Our audited accounts for year ended December 31, 2007 now being concluded is expected to be considered by the board of directors and forwarded to the authourities during March 2008,” the statement explained.
The company charged capital market regulators to furnish it with details of any petition before them to enable the company respond appropriately.

[Nomi]

Originally Posted by Goddey

I decided to sell some of mine and keep the rest despite the investigation.

Hello guys,
I am a new investor in the market and needed some advise from the gurus. Please I am interested in buying Afroil and Capital Oil and Gas shares. What is your take of this? Is this a good buy? They seem to be doing pretty well.

Thanks

[anekwlc]

Proshare News and Analysis
SEC suspends trading on Afroil, Capital Oil shares
Posted Wednesday, March 19, 2008



The Securities and Exchange Commission (SEC) has suspended Indefinitely trading in shares of Afroil Plc and Capital Oil Plc across the floors of the Nigerian Stock Exchange (NSE).



A release by SEC's Head of Media, Mr. Lanre Oloyi in Lagos, said that the suspension was a fall-out of the investigation conducted by the Commission on the activities of the two companies.



It said that the action was to protect the investing publics and warned stockbrokers to avoid trading in the shares of the companies. SEC questioned what it called "illogical and astronomical rise in the share prices of the companies'' when they were not submitting statutory reports.



The Commission said its investigation revealed that during the period of the price growth, the two companies were basically out of business.



"The basis for continued trading and rise in the prices of their shares on the NSE no longer exists and the investing public must not be deceived,'' SEC said. The News Agency of Nigeria (NAN) recalls that SEC had, on February 14, 2008, said it was conducting investigation into the activities of five companies, accusing some

[El-Kayode]

Capoil and Afroil have been placed on full suspension.
Proshare News

[El-Kayode]

Originally Posted by El-Kayode

Capoil and Afroil have been placed on full suspension.
Proshare News

Afroil & Capoil placed on FULL Suspension
Posted Thursday, March 27, 2008
The shares of AFROIL and CAPOIL were today placed on full Suspension with regard to the directive of the Securities & Exchange Commission (SEC) late last week.

You will recall that subsequent to the order, last week by SEC, the NSE seeming appeared to disagree on the suspension placed on the two stocks following the result of an investigation by SEC into their performance and the movement in their share prices.

After the announcement of the suspension last week, there was trading on the two stocks and when the market reopened on Tuesday as stockbrokers continued to trade on the stocks.

For instance, 1.233 million units of Afroil Plc valued at N28.3 million changed hands on tuesday in 157 deals, while Capital Oil Plc sold 2.1 million shares worth N31.44 million in 86 deals.

It is our hope that further investigations into the facts surrounding these companies is conducted and made public.

One question though that remains unanswered is that what happens to investors in one of the companies now found to have been wound up long ago, without financial returns and was left on the list (with denials as to allegations that the company was no longer in operations).

This is one question the SEC and NSE must close ranks to explain to help reStore confidence in the market and the regulators ability to provide safety nets for investors.

[Goddey]

PETER OBIORA
Proshare NI
March 27, 2008 at 20.60 GMT

LAGOS - The Nigerian Stock Exchange (NSE) today, at a parley with capital market correspondents laid out the rationale for its actions subsequent to the public order announcing the suspension of Afroil and Capoil by the SEC.

“The delay implementing the SEC order was rooted in the need to comply with well laid down procedures for handling such developments…..the much needed due process guiding the exchange”. Ndi Okereke-Onyiuke, Director General (DG) of the NSE said.

Explaining further, Prof. Okereke-Onyiuke said that “as a mark of respect for our partners in progress - SEC, I wouldn’t want anybody to misinterpret me, today Afroil Plc and Capital Oil Plc has been placed on full suspension, not technical suspension” she said.

“We did not receive a letter from SEC. The Director General (DG) SEC, Musa Al-Faki and I had a full meeting yesterday evening; he came all the way from Abuja and we meet” Onyiuke said.

“The Stock Exchange is not a government agency, if we put a suspension on a company without any reason, the company can take us to court” she said.

“If SEC says we should suspend a company, because of certain reasons, we will now come to the floor with the letter from SEC, that is a document tenable in court, if we don’t have a document and we are taken to the court, how do we defend ourselves” Onyiuke said.

The DG of NSE says the Stock Exchange cannot act upon hearsay; until they get a letter from SEC, “it was only yesterday that we got the letter and held a meeting with the DG SEC subsequently concerning this issue” she said.

She also disclosed that Afroil has just submitted a full report on their business dealings to the NSE for scrutiny.

[thedoski]

i got to know that the report submitted by afroil is pointing towards the following
1)managent has already started expansion by building a mini depot
and 3 filling staion
2)planinig to rise 23billion from the capital market
hence need coins for more expasion
assumiing this is true then sec will be forced to move their black knight back.
i still forsee this whole saga playing out in another four months
to those traped in this entrapment i think you will still smile

[austine42007]

plz can someone give me details on how long afroil will be in suspention i have this stock with me i do not know the next step in afroil so plz give me detail on it

[austine42007]

any news on afroil when the technical suspention will end?pls i but afroil 2 weeks agos and i do not know when they can continue trading plz give me some news on it

[thedoski]

not yet just keep your ears to the ground and dump once u hear on your marks get set........fire

[hispy99]

Proshare Nigeria - Sign In to Proshare


AFROIL PLC
PROFIT AND LOSS ACCOUNTS FOR THE FIRST QUARTER OF
THE YEAR ENDED MARCH 31ST 2008

N N
Turnover 135,280,109.50
Less: Cost of Sales 124,056,400.00

Gross Profit 11,233,709.50
Other Income 247,729.50
11,471,439.00
Deduct:
Administrative expenses 17,029,945.33

Marketing expenses 7,754,750.00
24,784,695.33
Profit/(Loss) on ordinary
Activities Before Tax 13,313,256.33


AFROIL PLC.
FIVE-YEAR FINANCIAL SUMMARY YEAR ENDED DECEMBER 31, 2007
2007 2006 2005 2004 2003
N'000 N'000 N'000 N'000 N'000
ASSETS
Fixed Assets 304,575 289,935 32056 32,898 33,736
Net Currents 18,159 33,257 3,853 88,847 13,824
Net Assets 322,734 256,678 35,909 417,443 47,560
CAPITAL & RESERVES
Share capital 30,359 255,097 25,097 25,097 25,097
Share premium 114,227 10,811 10,811 10,811 10,811
Revenue reserve 29,461 448,534 35,392 29,558 23,741
Capital reserve 436 436 436 436 436
Revaluation surplus 207,173 268,868 34,957 34,957 34,957
Shareholder's funds 322,734 256,687 35,909 41,743 47,560
TURNOVER AND PROFITS
Turnover 68,310
Profit/(Loss) before taxation 22,219 10,325 5,620 55,855 5,106
Profit/(Loss) after taxation 23,918 10,325 5,620 5,585 5,106
PER 20K SHARE DATA:
Earnings/(losses) per share 15.76k 8.23k 4.48k 4.45k 4.07k
Net assets per share 212.60k 204.54k 28.62k 33.27k 37.90k

Note:
Earnings and Net assets per share are based on the number of ordinary shares in issue as at December 31, 2007

[hispy99]

Originally Posted by hispy99

Proshare Nigeria - Sign In to Proshare


AFROIL PLC
PROFIT AND LOSS ACCOUNTS FOR THE FIRST QUARTER OF
THE YEAR ENDED MARCH 31ST 2008

N N
Turnover 135,280,109.50
Less: Cost of Sales 124,056,400.00

Gross Profit 11,233,709.50
Other Income 247,729.50
11,471,439.00
Deduct:
Administrative expenses 17,029,945.33

Marketing expenses 7,754,750.00
24,784,695.33
Profit/(Loss) on ordinary
Activities Before Tax 13,313,256.33

This na juju accounting of the highest order...you may need to log into proshare because of the formatting here. My accountants in the house, please explain how Afroil's Revenue Reserve jumped from N35M in 2005 to N448M in 2006, when the company did not declare a profit of N410M in 2006. Is revenue reserve not undistributed PAT? See as dem use asset revaluation to jack up fixed assets....