Balogun Harold

Balogun Harold wins Landmark Judgement - per the Nigerian Stock Exchange - On the Information Rights of Investors in the Nigerian Capital Market... https://bit.ly/2HJnEKZ Full report available via link. #capitalmarkets #Nigeriancapitalmarket #Nigerianstockexchange #investmentslitigation #securitieslitigation #nse

In this update, we share our insights on how the newly proposed FX Code by Nigeria's Central Bank can impact the regulatory environment for Nigerian Banks, Fintechs & Other Financial Institutions.

“Nigeria’s recent classification by the Aviation Working Group (AWG) ranks at a medium level, two tiers below the high and very high categories. In this update, we explore the key factors behind Nigeria’s medium-level ranking and outline some of the essential milestones needed to achieve a higher-level classification” https://lnkd.in/eG-6WfbJ

In a recent judical decision (Chris. vs CBN), a Nigerian Court upheld a new central banking regulation requiring banks to collect customers’ social media account details as part of standard Know Your Customer (KYC) procedures (“Regulation 6a“). Additionally, the Court offered some side remarks on the data privacy rights of bank customers in relation to social media handles, raising concerns about the validity of these observations. This legal update assesses those obiter remarks within the framework of data privacy and constitutional law” #dataprotection #dataprivacy #socialmedia #socialmediahandle #sensitivepersonaldata https://lnkd.in/eaQ6b82v

“The prohibition of financial assistance to private equity firms and other equity investors is probably the most important legal barrier to the growth of the local leveraged buyout market. With the passage of the Companies Act in 2020, private companies in Nigeria can now legally provide financial assistance to private equity firms and strategic investors in connection with an acquisition of their shares. This marks a crucial step forward for the leveraged buyout market in Nigeria, which has been constrained by a mix of legal challenges and limited sources of debt financing. This legal update examines some of the practical ramifications of the new financial assistance rules in Nigeria…” #privateequity #venturecapital #mergers #acquisitions https://lnkd.in/eZK85krb

Until FCCPC's Decision imposing a $220m fine on Meta has been successfully appealed, the legal principles enumerated in the decision as well as the conclusions reached therein are generally legally binding on businesses operating in Nigeria. Without a doubt, the Decision has wide-ranging implications for tech companies and online platforms, operating in digital markets in Nigeria. In this client update, we highlight some of the key learnings from the Decision. https://lnkd.in/ekVAir3a

In our view, the FCCPC’s decision (the "Decision") to impose a $220,000,000 fine (the "Fine") on WhatsApp LLC ("WhatsApp") and Meta Platforms Inc. ("Meta") warrants an appellate review due to its unprecedented nature. This Decision affirms the powers of a competition regulator to investigate and penalize breaches of local data privacy regulations (the "NDPA/NDPR"), marking a significant development in Nigeria's data privacy jurisprudence. Additionally, the Decision has the potential to open a floodgate of numerous similar claims against Meta, given the individual right to civil remedies outlined in section 152 of the FCCP Act and section 51 of the NDPA. Furthermore, the Decision raises concerns about the FCCPC’s view on the relevance of data transfers within the context of technology mergers and acquisitions. This legal update briefly outlines some of the legal issues arising from the Decision. In a separate Client Briefing, we have also summarized a few of the most important learning points from the Decision” #dataprivacy #competitionlaw #publicpolicy

The Pre-Bid Conference of the 2024 Licensing Rounds will now hold on June 11th, 2024 #licensingrounds #Bids

Regulatory Update: 2024 Licensing Bid Rounds: The Nigerian Upstream Petroleum Regulatory Commission ( the “NUPRC”) has recently announced a postponement of the pre-bid conference which was scheduled to hold on May 28, 2024. A new date has yet to be announced and it is not clear how the postponement will impact the timetable of the 2024 oil licensing bid rounds. In the meantime, foreign investors can still register and submit pre-qualification documents to bid for any one of the 12 blocks which includes 6 greenfield oil blocks situated on the continental shelf, 4 deep offshore blocks, and 2 onshore blocks in the Niger Delta. Qualified bidders will be allowed to pry relevant data about the oil blocs before submitting technical and commercial bids. Upon announcement, promoters of winning bids will be issued with offer letters and will be required to pay a signature bonus of up to a maximum of US$10m per block and US$20M for a cluster for offshore blocks, and a maximum US$7m per block and US$14M for a cluster for shallow waters and onshore blocks, within 3 (three) months from the date of the Offer Letter. All such offers are subject to the execution of relevant concession contracts and ministerial consent. Based on the existing timetable, the bidding round will span 9 nine months and conclude with ministerial consent and contract negotiation in January 2025. It is useful to note that non-resident/foreign investors need not establish a local company in Nigeria to participate in the 2024 licensing bid rounds. However, promoters of successful bids will be required to establish a local subsidiary prior to the award of an oil bloc. Bidders can also apply as part of a consortium or individually. For a list of the key financial, commercial, operational, and technical considerations that bidders must satisfy to be invited to be prequalified to submit bids, as well as draft commercial documentation and regulations, please visit https://lnkd.in/eKiTe-6B.

“Limited partners investing in Africa-focused private equity and venture capital funds are increasingly prioritising key man risk, as evidenced by several recent opinions we’ve issued on the topic. In one of those cases, a key man in a private fund departed to set up his own fund with a similar investment thesis & strategy. A dispute then arose as, to the extent to which the key man could legally leave the fund as well as establish a fund with a similar investment strategy. In this update, we clarify the scope and application of key man risk within the context of private funds and provide some insights on the allocation of key man risk in partnership agreements…” https://lnkd.in/eqtTRikn