TheCable

A group of Oando shareholders has called on the company’s management to resolve its dispute with Ansbury Investments Incorporated, a foreign investor.

In a statement released on Monday, the shareholders, who referred to themselves as Concerned Oando Shareholders, said the prolonged war and bickering is not in the best interest of the shareholders or the company.

In September 2017, Ansbury petitioned the Securities and Exchange Commission (SEC) over alleged corporate governance abuse by the management of Oando Plc.

Ansbury’s petition led to the suspension of Oando on both the NSE and the JSE. SEC also ordered a forensic audit of the oil firm.

Ansbury has 56 percent equity stake in Oando Plc.

“These days, Oando is always in the news for the wrong reasons. The negative exposure the company has experienced for almost one year running has a telling effect not just on the shares, but the entire fortune of the company,” Atobatele Musibau, spokesman of the group, said.

“The earlier this matter is resolved the better for the company and its shareholders. Whether the management of Oando likes it or not, this unending war of attrition has impacted and will continue to impact the company negatively.

Advising that the best option for both parties is dialogue, Musibau said the recovery in oil prices is a sign that the company can improve under the right atmosphere.

“One must state that Oando has not recorded any meaningful capital gains, nor has it paid dividends to investors in more than four years. We are therefore the grass that suffers as these two elephants slug it out.

“We, therefore, call on the management of Oando not to miss out on the golden opportunity provided by the turnaround of the oil industry to improve on the fortunes of shareholders.

“We want to see better returns, capital appreciation of our shares and payment of dividends in the not too distant future. This can only happen, however, if the management resolves all pending rifts to enable it to concentrate on running the company.”