AN APPRAISAL OF THE PROCEDURES FOR THE REGULATION OF MERGER TRANSACTIONS UNDER THE INVESTMENTS AND SECURITIES ACT (ISA) 2007

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Date
2011-08
Authors
OKAFOR, Francis Uzoma
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Abstract
Merger transactions came into the front burner in Nigerian economy during the banking consolidation of 2005. The Insurance Industry was thereafter consolidated. The existing procedure for the approval of merger was reviewed and revised. These interests in merger culminated in the documentation of the procedures for the approval of merger as provided in the Investments and Securities Act, 2007. This thesis reviewed the provisions of merger in the law. The problem it set out to review is the adequacy or otherwise of the procedures contained in the Investments and Securities Act 2007 relied upon in order to obtain approval for merger transactions. The methodology used is the combination of doctrinal and teleological methodology. Doctrinal in the sense that the researcher made use of primary sources such as the Investments and Securities Act No. 29 of 2007, the Companies and Allied matters Act Cap C24 2004,SEC Rules and Regulations, Judicial authorities and secondary sources such as volumes of books, on merger transactions and scheme documents of approved merger transactions, writ of summons; Court ordered meetings, proxy forms and gazette copies of concluded merger transactions. The researcher also utilized teleological methodology from the author’s experiences in more than eight years working at the Securities and Exchange Commission. The research find that there is a need to amend some Sections of the I.S.A 2007 relating to the procedure to approve merger, To update and upgrade of Information, Communication and Technology (ICT) of the Securities and Exchange Commission, It is also our finding that there is need for Linkage and Co-ordination among Regulators: SEC, CBN, CAC, NAICOM, NSE, We find that the cost of transaction in merger in Nigeria is high also the researcher find that Staff of SEC need adequate Capacity building in the merger transactions, It was our finding that there is a need to establish Anti Trust or Anti Competition Commission.
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BEING AN LLM THESIS SUBMITTED TO THE POSTGRADUATE SCHOOL AHMADU BELLO UNIVERSITY ZARIA, IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF MASTER OF LAWS DEGREE – LL.M Department of Commercial Law, Ahmadu Bello University, Zaria. AUGUST, 2011
Keywords
APPRAISAL,, PROCEDURES,, REGULATION,, OF MERGER,, TRANSACTIONS., UNDER,, INVESTMENTS,, SECURITIES ACT,, (ISA) 2007
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