May 28, 2013

FBN Capital Hosts Roundtable On Raising Equity/Mezzanine Capital For Indigenous Oil & Gas Companies

FBN Capital Limited, the investment banking and asset management subsidiary of FBN Holdings Plc, hosted its maiden Oil and Gas Roundtable on May 28th 2013 at the Radisson Blu Hotel, Lagos.

The event themed ‘Raising Equity/Mezzanine Capital For Oil and Gas Companies’ is the first from FBN Capital, and brought together industry players, bankers, consultants, lawyers and other key stakeholders to discuss from different professional and experienced perspectives what it takes for emerging indigenous upstream independent oil & gas companies to raise equity and mezzanine capital for asset acquisition and development.

Headlining speakers included Tarica Mpinga, Director at Canaccord Genuity; Sola Adepetun, Partner at Adepetun Caxton Martins Agbor & Segun Barristers and Solicitors; Deji West, Director of Finance for Afren Nigeria; and Dapo Okubadejo, Partner at KPMG Professional services.

Speaking on the event, the Managing Director of FBN Capital, Mr Kayode Akinkugbe, said, “We consider ourselves to be innovators in the financing space and if we are able to assist indigenous entities in better understanding what it takes to arrange finance from an early stage, we believe we would have added true value. We have focused on equity/mezzanine capital for the oil and gas industry because we believe there is a huge need for this type of capital.”

In his presentation, Tarica Mpinga of Cannacord Genuity highlighted the stages of financing for oil and gas companies. He stated “Nigeria will play a bigger role in oil and gas development for Africa”. Speaking further, he highlighted the importance of players conservatively planning and mapping projections so that investors can make informed decisions based on information provided.

The event also featured a case study on the growth transition of Afren Plc, an indigenous oil and gas company. The roundtable speakers shared perspectives on how capital raising can be successfully achieved, and Dapo Okubadejo of KPMG commented on the steps that are taken into account from a consultant’s perspective.

Sanmi Famuyide, Head of Origination and Client Coverage for FBN Capital who moderated the session, touched on FBN Capital’s role in making these opportunities real for indigenous companies. “It is important that companies understand the requirements and considerations of a successful capital raising exercise, and appreciate the importance of specialists, consultants and other professional parties.”

FBN Capital Limited is a full service investment bank and asset management company. A subsidiary of FBN Holdings Plc, we arrange finance, provide advice, administer assets, manage funds, sell investment products and invest alongside clients. The firm recently won the 2012 EMEAFinance awards for Best Local Currency Bond House and Best PPP Deal in Africa, as well as the Global Finance award for Best Investment Bank in Nigeria 2013.