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FACTS OF THE N100BN DEAL TO REVIVE MORIBUND ENUGU STATE UNITED PALM PRODUCTS LTD

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The Enugu State United Palm Products Ltd., UPPL, is one of the numerous initiatives of the former Premier of the defunct Eastern Region, the late Dr. Michael Okpara, and had lain fallow for decades.

As a government focused on agriculture and agro-industrialisation, UPPL was, expectedly one of the many moribund assets penciled down for revitalisation by Governor Peter Mbah in line with his campaign promise to convert the state’s dormant assets to productive assets and grow the state’s economy exponentially from the current $4.4bn to $30bn through private sector investments. This culminated in the N100bn deal between the Enugu State Government and Pragmatic Palms Ltd., a subsidiary of Diamond Stripes Ltd. on Thursday, May 9, 2024 after months-long negotiation and due diligence that started way back in 2023.

THE N100BN DEAL

Enugu State Government IS NOT releasing N100bn or any dime to Pragmatic Palms Ltd. Instead, Pragmatic Palms Ltd, a Special Purpose Vehicle (SPV) for the partnership, will finance the revitalisation of UPPL. Pragmatic Palm Ltd. will provide finance for 60 per cent of the transaction value, while the Enugu State Government will provide the plantations valued as 40 per cent equity.

INCORPORATION OF PRAGMATIC PALMS LTD*

Because several parties/investors are involved, it became imperative, as is the best international practice, to register a Special Purpose Vehicle (SPV) as the platform to transact the deal. Pragmatic Palms Ltd. was duly incorporated before the signing of the agreement.

For the avoidance of doubt, however, it is not the case in this instance, it is apposite to also note that the Companies and Allied Matters Act (CAMA), 2020, provides for Pre-incorporation Contract.

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Section 96 (1) of CAMA, 2020, provides: “Any contract or other transaction purporting to be entered into by the company or by person on behalf of the company prior to its formation may be ratified by the company after its formation and thereupon the company shall become bound by and entitled to the benefit thereof as if it has been in existence at the date of such contract or other transaction and had been a party thereto.”

CORPORATE GUARANTOR (DIAMOND STRIPES LTD)

As demanded by the Enugu State Government, Pragmatic Palms Ltd. provided a guarantor, which is Diamond Stripes Ltd, a reputable and huge company that has done investments worth over $20bn spanning power and renewable energy sector, port sector, and agricultural sector since 2013. Diamond Stripes Ltd. is the sole investor in Onitsha River Port and has invested heavily in the agricultural sector where it is the largest owner of silo complexes in Nigeria. It was involved in the acquisition of 600MW Shiroro Hydroelectric Power plant in 2013, concessions of 30MW Gurara Hydroelectric Power Plant in 2019, and establishment of 300MW Shiroro solar power project in 2021.

SECURING ENUGU STATE’S INTEREST

The state’s interest in the N100BN UPPL deal is well secured, benefitting from Governor Peter Mbah’s experience as an investment finance expert and an entrepreneur, who has handled multi-billion-dollar projects himself. Besides asking for and getting a corporate guarantor on the part of Pragmatic Palms Ltd, the government also demanded for and got bank guarantors from Pragmatic Palms. Importantly, performance targets and timelines were equally set in the Agreement for Pragmatic Palms Ltd. failing which the Enugu State Government is free to revoke the deal and reassume total ownership of United Palm Products Ltd., UPPL.

In addition, the Enugu State Government is represented on the company’s Board, including the Chairmanship of the Board, as part of the steps taken to secure the state’s interest.

MD’S PROFILE

The MD of Pragmatic Palms Ltd., who is also the MD/CEO of Diamond Stripes, George Nwangwu, is a professor of Project Financing Law, who has led transaction teams that have participated in the consummation of over 100 privatisation or Public Private Partnership (PPP) transactions worth over $20 billion across Africa.

Prof. Nwangwu was the Head of Infrastructure Finance at the Ministry of Finance under the leadership of Dr. Ngozi Okonjo-Iweala, during which he led the team that delivered the Second Niger Bridge deal.

He is a Professor of law at Nile University and an Extraordinary Professor at the Department of Mercantile Law, Stellenbosch University. He was appointed a Senior Fellow at the Mossavar- Rahmani Centre for Business and Government, Harvard Kennedy School in 2023 as well as an Honorary Senior Research Associate in the Bartlett School of Construction and Project Management, University College London since 2022; He is the Director General of the Global Centre for Law and Business, Abuja.

CONLUSION

Clearly, it is a new dawn for the United Palm Products Ltd. to the benefit of the people of Enugu State after decades of rot and neglect. The partnership is promising and the project in good hands.

Tomorrow is here!

Uche Anichukwu
SSA (External Relations) to the Governor of Enugu State

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Obi donates ₦10m to Faith Foundation Nursing College, urges Youths to reject ethnic politics

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Mr. Peter Obi (right) presenting the ₦10 million cheque to the Proprietor of Faith Foundation College of Nursing Sciences, Rt. Rev. Dr. Aloysius Agbo (left), during his visit to inspect ongoing projects at the institution in Nsukka.
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The presidential candidate of the Nigeria Democratic Congress( NDC) in the 2027 elections, Mr Peter Obi, yesterday visited the Faith Foundation College of Nursing Sciences, Nsukka, where he expressed delight at the progress of projects underway at the institution.

Obi, who inspected some of the ongoing projects, was received by the Proprietor of the College, Rt. Rev. Dr. Aloysius Agbo, who expressed appreciation for Obi’s longstanding support for the institution.

Agbo disclosed that Obi’s earlier financial contributions had played a significant role in giving the institution the confidence to embark on many of the projects currently under construction.

The Proprietor said the support had encouraged the management to continue investing in the development of the institution and its facilities.

In continuation of his support for the institution, Obi presented a cheque of ₦10 million towards the ongoing projects.

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He also assured the management that he would continue to partner with the institution until it realises its objective of producing its first set of nurses.

Obi said his intervention was part of his broader commitment to supporting education and healthcare, particularly the training of quality healthcare professionals who would contribute to strengthening Nigeria’s healthcare system.

He thereafter proceeded to St. Paul’s Anglican Cathedral, Nsukka, where he participated in the 68th Annual Conference of Anglican Youths.

Addressing the youths, Obi urged them to recognise their responsibility in building a new Nigeria, stressing that the country they desire cannot emerge without their active participation in shaping its future.

He urged them to reject politics based on tribe, religion or language and instead insist on electing leaders with proven character, competence, capacity, integrity and strong ethical values.

According to him, the future of Nigeria depends not only on the leaders the country produces but also on the standards citizens demand from those who seek public office.

“Our future depends not only on the leaders we produce but also on the standards we demand. Together, we can build the New Nigeria that is possible,” he said.

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Gunmen invade Kogi communities, kill residents

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Bandits kill over 30 in fresh attack on Benue
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Several people were feared killed on Thursday when armed men reportedly attacked three communities in Kupa Kingdom — Abugi, Kuchinda and Mikugi — in Lokoja Local Government Area of Kogi State in an alleged reprisal attack.

Residents said the incident began around 8am when a herder, suspected of being a cattle rustler, was shot and killed during a heated altercation with local vigilantes at a checkpoint in the community.

“Few hours after the checkpoint incident between a herder and vigilantes, armed hoodlums invaded the town, shooting sporadically from different directions.

“In the process, several residents were killed, with many others sustaining injuries, as the armed hoodlums attacked streets, markets and even the palace of our paramount traditional ruler in the town.

“As of yesterday night, seven people were confirmed dead. The death toll may rise in the days ahead as the search for and confirmation of victims is still in progress.

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“Moreover, the situation will become clearer when families who sought refuge in safer communities start returning from their various hiding places,” Ahmed, a resident of Abugi, said.

A son of the Mayaki of Kupa, Prince Aliyu Isah Kabir, who is the APC Youth Leader of Kupa South Ward, was confirmed to be among the victims of the attack.

The Lokoja Local Government Chairman, Comrade Abdullahi Adamu, confirmed the incident, saying the attack on the Kupa communities had led to loss of lives and destruction of property.

Adamu said: “We have charged the relevant security agencies to swing into action and arrest anyone who has a hand, directly or remotely, in the attack and bring them to face the law.

“The government is saddened by this devilish act and will leave no stone unturned in getting justice for the deceased. I want to appeal for calm while the relevant security agencies take action.”

The Kogi State Government also condemned the attack, describing it as tragic, senseless and unacceptable.

In a statement issued on Friday, the state government described the incident as a reprisal attack and vowed to investigate the circumstances surrounding it, identify those responsible and prosecute them as a deterrent to others.

In the statement signed by the Commissioner for Information and Communications, Kingsley Fanwo, the government said: “The Kogi State Government condemns in the strongest terms both the killing of the unarmed herder and the subsequent reprisal attack.

“These are criminal acts that have no place in our society. Anyone found to have participated in either incident, regardless of status or ethnic affiliation, will face the full weight of the law.

“We appeal to all residents to remain calm and resist the temptation of reprisals. We also urge members of the public to cooperate with security agencies by providing credible information that will aid ongoing investigations and the arrest of all those responsible.”

According to the statement, Governor Ahmed Usman Ododo sympathised with the families of the deceased and directed “security agencies to immediately restore calm, take control of the situation and apprehend those responsible for the killings.”

The government also appealed for calm, urging residents to avoid further retaliation and provide security agencies with credible information as investigations into the incident continue.

Meanwhile, the Kogi State Police Command was contacted over the development, but its spokesperson, ASP Saliu Oyiza Afusat, did not respond to calls and a text message as of the time of filing this report. (Daily Trust)

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PFIPC probe: ICPC uncovers two more fake agencies linked to Adeyemi

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Adeniyi Matthew Adeyemi
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The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has uncovered two more fake agencies operated by the self‑styled Director‑General of the Presidential Foreign Intervention Promotion Council (PFIPC), Adeniyi Matthew Adeyemi.

ICPC Chairman Dr. Musa Adamu Aliyu, SAN, disclosed this while briefing State House correspondents after he submitted the commission’s interim report on the existence and operation of the fake agency at the Presidential Villa, Abuja.

Dr. Aliyu said the investigation revealed that Adeyemi was never appointed by the Federal Government and that the Presidential Foreign Investment Promotion Council was never established by law or executive order.

According to the interim report, the appointment letter presented by Adeyemi was forged, while the PFIPC illegally appropriated offices and instruments from the former Presidential Economic Advisory Council (PEAC).

He said the fake agency, using the former PEAC office, engaged in false representation, widespread impersonation and various illegal activities that exploited weaknesses in verification and inter‑agency oversight.

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He further stated that the investigation uncovered two additional fake government agencies: the FCT Investment Promotion Agency (PIFA) and the Foreign Investment Promotion Agency (PIPA).

“These agencies were created using forged legislative instruments and were used to open bank accounts for illegal activities,” he said.

The ICPC boss said Adeyemi changed the name of the fake agency from Foreign Investment Promotion Council to Foreign Intervention Promotion Council and attempted to expand its mandate to include revenue generation.

He said: “The investigation found no funds were approved or disbursed for the fake PFIPC/PEAC, and there were no weaknesses in the State House or CBN system.”

Some recommendations of the committee, which was given 30 days to unravel the mystery behind the existence of the fake agency, include prosecution of Mr. Adeyemi; imposing administrative sanctions on public officers who facilitated the illegal operations; and instituting reforms to improve internal controls

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The public officers who were said to be collaborators are from the Office of the Secretary to the Government of the Federation (SGF), the Head of the Civil Service of the Federation, the Accountant‑General’s Office, the Budget Office and the National Information Technology Development Agency, NITDA.

“The report is interim and the investigation continues to uncover more details to file criminal charges against Adeyemi and his collaborators,” he said.

Dr. Aliyu added that President Tinubu has taken note of the findings and has expressed his commitment to transparency and accountability in addressing the issue.

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