Oando not party to Ansbury’s London arbitration case, says company
Adesola Afolabi was a businessamlive reporter and Head of Financial desk.
Oando Plc has stated that they are in no way connected to media reports claiming an order for a $680 million payment to Ansbury Inc by the London Court of International Arbitration (LCIA).
The oil firm’s position was made clear in a statement it issued via the Nigerian Stock Exchange late Monday stating “Oando Plc is not a party to the arbitration; The London Court of International Arbitration did not order Oando Plc to pay any sum of money to Ansbury Investments Inc. and Oando Plc is not in any way indebted to Ansbury Investments Inc.”
Oando’s statement was in response to media reports purporting that the court has ordered Oando Plc or Wale Tinubu to pay $680 million to Gabriel Volpi, following an investment dispute between Whitmore Asset Management Limited, and Ansbury Investment Inc.
Clarifying further, the statement signed by Ayotola Jagun, chief compliance officer and company secretary of Oando, said: “We understand that the parties involved in the arbitration are Whitmore Asset Management Limited (a company beneficially owned by Jubril Adewale Tinubu and Omamofe Boyo) and Ansbury Investments Inc. (a company beneficially owned by Gabrielle Volpi). We confirm that neither party is a shareholder in Oando Plc.”
However, Oando noted: “We are informed that the London Court of International Arbitration (LCIA) on July 6, 2018 ruled that Whitmore Limited should pay Ansbury Inc. the sum of $80m. The LCIA also ordered Ocean and Oil Development Partners OODP BVI (OODP BVI), a joint venture company incorporated in the British Virgin Islands by Ansbury Inc. and Whitmore Limited, to pay Ansbury Inc. the sum of $600 million.
“OODP BVI are in turn 99 percent shareholders in Ocean and Oil Development Partners Nigeria (OODP Nigeria), the majority shareholder in Oando Plc by way of 57.37 percent stake in the company.”
The company in expressing its commitment on transparency added that the stories in the media also make mention of the petition that Ansbury filed with the Securities and Exchange Commission (SEC) about mismanagement of Oando Plc and indebtedness arising from Ansbury’s interpretation of the published 2016 Audited Financial Statements of Oando Plc.
“This is to remind our shareholders and the general public alike that following the petition to the SEC and in line with the SEC’s directives on October 18, 2017, a forensic audit into the affairs of the company officially began with an on-site review by the appointed external auditor commencing in March 2018.
“In the spirit of goodwill, transparency and full disclosure, the company will continue to cooperate with the SEC in the discharge of their duties as the capital markets regulator during this exercise as well as update the market on any reports that may have a bearing on investors’ decision and the value of their shares,” Oando assured.