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Tag: Julius Berger

  • Julius Berger, A’Ibom Govt square up over tax remittance

    Julius Berger, A’Ibom Govt square up over tax remittance

    For refusing to recognise and cooperate with the Paavic Allied Concept, a revenue agent engaged by the  State Ministry of Transport, Julius Berger, one of the  leading construction companies handling projects in Akwa Ibom State has been accused of ‘taking the state for a ride.’

    The company rathan than  heeding the state government’s directive on the proper channel through which transport related taxes are paid, went to engage the Chief Nnamdi Ogbogbo-led Temple A. Amado and Co as revenue agent.

    This assertion was part of the reply to petition by Julius Berger and its revenue agent to the Akwa Ibom State House of Assembly Committee on Public Complaint, alleging intimidation, embarrassment, harassment and impounding of vehicles belonging to Julius Berger by state government revenue agents.

    The Victor Eddie-led Paavic Allied Concept said no group of persons including construction or manufacturing companies are exempted from paying road taxes through the Akwa Ibom Road Levies Implementation Scheme.

    The reply, signed by the Director of Road Levies Implementation Scheme, Ime Charlie noted that there has never been a time Julius Berger Nig Plc introduced the said Chief Nnamdi Ogbogbo as its revenue agent to Akwa Ibom State Government, nor has ever paid its levies to the state through the said agent.

    “We make bold to say again that Nnamdi Ogbogbo is not a revenue agent to Julius Berger and that even if he were, Julius Berger is different from Akwa Ibom State Government. That the said Ogbogbo is a tax/revenue agent to Julius Berger Plc cannot prevent the state government from appointing its own revenue agent(s) for the purpose of collecting from Julius Berger.”

    The state government revenue agent, however, denied the allegation of harassment and intimidation as well as impounding any company’s vehicle and explained that its practice is to make formal demand on companies to furnish them with the number of operational vehicles in their fleets to enable the agency ascertain the tax due each company.

    “On December 3, 2013, the state government through the agent made a formal demand on Julius Berger to furnish us with the number of operational vehicles in their fleet. Julius Berger in response in a letter dated 16 December 2013 sent the list of their operational vehicles to the Chairman, Akwa Ibom State Road Levies implementation Scheme,” the letter read.

    Responding on behalf of the state Ministry of Transport, the Permanent Secretary, Dr Effiong Abia noted that all the 36 states of the federation including Abuja operates road taxes through consultants, hence the trend is not restricted to Akwa Ibom.

    He expressed disappointment that while other companies operating in the state are cooperating with the agent engaged by the state government to pay regular taxes without grievances, complains or redress, Julius Berger was allegedly plotting to avoid tax payment.

  • LASTVEB lauds construction centre donated by Julius Berger

    Management of the Lagos State Technical and Vocational Education Board (LASTVEB) has praised Julius Berger for donating a construction centre to train Building and Construction students of Government Technical College (GTC), Odomola, Epe..

    Lagos state commissioner for Science and Technology, Mr Femi Odubiyi, who anchored the launch of the centre last Thursday, thanked the Corporate Social Responsibility (CSR) team of Julius Berger for enhancing learning.

    The centre measures about 6,000 square meters and houses three classrooms, a drawing studio, a wet trades workshop, offices and toilet/locker area.

    Julius Berger donated all materials for the project and also supervised the building of the centre by the students of the school.

    Odubiyi said: “I am very impressed. This is a laudable initiative and a good partnership. We are in the era of change and this epitomises change.”

    Executive Secretary of LASTVEB, Mr Olawunmi Gasper, said facilities like these enhance the training of technical college students, who easily get work on graduation.

    “The products of this college are highly marketable. They do not go around searching for employment as most of them are employed immediately after graduating,” Gasper said.

    Gasper sought more support from corporate organisations to train the youths and reduce unemployment in the country.

    “Any company that wants to survive in Nigeria must invest in the youths especially in the areas of acquiring skills,” he said.

    Principal of the school, Mr Olayiwola Olufemi, said the participation of the students in the construction of the centre helped them gain crucial practical skills.

    “It is a student-focused project built by students in block-laying/concreting, plumbing and pipe fitting, carpentry and electrical installation.  It enabled them learn more as they were fully involved in all aspects of the constructions supervised by teachers of the college, Julius Berger engineers and technicians,” he said.

    One of the pupils who contributed to the project, Oghenede Noah said he was proud to have undergone the training.

    “I am very happy about this achievement. I am very confident about working after graduation because I know the world is waiting for me to contribute my quota. They are waiting for me,” Noah said.

  • Julius Berger, RCC back on Lagos-Ibadan Expressway

    Julius Berger, RCC back on Lagos-Ibadan Expressway

    Construction giants- Julius Berger PLC and Reynolds Construction Company (RCC)- have returned to work on the N167 billion Lagos-Ibadan Expressway.

    The News Agency of Nigeria (NAN) reports that the  workers’ presence  is noticeable at the Redemption Camp and Arepo areas of the Lagos end of the road.

    NAN reports that while palliative works are ongoing at the failed spots in the Redemption Camp area, major  work is being done at Arepo.

    Julius Berger is handling Section One of the project, which stretches from Sagamu Inter-Change to Lagos; RCC is in charge of Section Two, stretching from Sagamu Inter-Change to Ojoo, Ibadan.

    The repair of the failed sections has brought relief to motorists who are clamouring for early completion of the road which is the nation’s busiest highway.

    A source  said Julius Berger was back on the road for good, adding: “It is time to move forward on the project”.

    The expected date for the completion of the project, which is being financed through Public and Private Partnership (PPP), is July 3, 2017.

    Motorists and commuters have continued to appeal to the Federal Government to speed up work to facilitate travelling.

    Ojo Agege, a commercial vehicle driver, urged the government to ensure speedy completion of the project.

    Lateef Mohammed, another commercial driver, said motorists would continue to have nightmares on the road, until the government fixes it.

    “All we are saying is that the government should help to fast track the construction of the road to ease traffic delay being experienced by travellers,” he said.

    Ms Simisola Joseph, a trader, however, expressed optimism that with the coming of Babatunde Fashola as Works and Housing Minister, the construction would soon be completed.

    Motorists and travellers are praising RCC for the progress made so far on Section Two of the road.

    Femi Ajegun, a driver, told NAN that vehicular movement was now easy with the completion of work on some critical areas at the Ibadan end of the road.

    “With the quality of job done and removal of long stretch of diversion by RCC, motorists and travellers now experience some pleasurable ride,” he said.

    Sule Maito, a passenger at Ogere area, told NAN that if RCC could continue the way it is going, the job may be completed on schedule.

    The Federal Ministry of Works, last week after a  stakeholders /presidency meeting, said the government had committed N50 billion to the project.

    The ministry promised to ensure timely completion of the road.

  • Photos: Julius Berger at work on crashed chopper site

    Photos: Julius Berger at work on crashed chopper site

    Julius Berger Company working at the site of Bristow helicopter crash at Oworo, Lagos.
    Julius Berger Company working at the site of Bristow helicopter crash at Oworo, Lagos.
  • Foreign investor divests from Julius Berger Nigeria

    Foreign investor divests from Julius Berger Nigeria

    Bilfinger SE, the majority core investor in Julius Berger Nigeria Plc, would sell its entire equity stake in the Nigerian company this month, it was learnt yesterday.

    A regulatory filing obtained yesterday by The Nation indicated that Bilfinger SE, which holds 33.4 per cent in Julius Berger Nigeria, has decided to sell its equity stake and exit the company.

    Bilfinger SE has already informed the Nigerian directors of Julius Berger Nigeria of the decision to dispose the equity stake on or before the end of this month.

    The equity sale, according to the emerging details, will be offered to long-term Nigerian investors and will lead to the exit of the representative of Bilfinger SE from the board of Julius Berger Nigeria.

    The equity sale might not be unconnected with Bilfinger’s strategic realignment from a construction company to an engineering and services group in the last decade which saw Bilfinger SE divesting totally from its construction activities.

    Julius Berger Nigeria, in a confirmation, the board and management of Julius Berger Nigeria yesterday said they strongly believed that the exit of Bilfinger SE will not impact negatively on the company.

    According to the company, ongoing strategic business directions being undertaken by the board and management would sustain and increase Julius Berger Nigeria’s efficiency and responsiveness as well as set basis for a future of long lasting success.

    In 2011, Bilfinger, which then held 49.87 per cent equity stake in Julius Berger Nigeria, had sold down its equity stake. Julius Berger Nigeria then had 1.2 billion ordinary shares of 50 kobo each with market capitalisation of N56.59 billion out of which Bilfinger Berger held 598.4 million ordinary shares of 50 kobo each. Other substantial shareholders in Julius Berger Nigeria included the Lagos State and Benue State, which hold 6.99 per cent and 5.27 per cent respectively through their investment companies.

    In order to strengthen its corporate independence, Julius Berger Nigeria had enhanced its on shore and off shore technical and logistic capacities by the establishment of a newly incorporated subsidiary, Prime Technology Design and Engineering Nigeria Limited for the provisions of design and engineering support services to the company.

    The company also acquired a controlling majority share of the technical and logistic business and operations of Bilfinger Berger Nigeria GmbH, Wiesbaden, Germany, which assures Julius Berger Nigeria Plc of total control of all required services such as planning, procurement, recruitment and capacity building.

    The share price of Julius Berger Nigeria remained unchanged at N52.39 per share.

     

  • Buhari’s economic agenda unpredictable – Julius Berger

    Buhari’s economic agenda unpredictable – Julius Berger

    The Managing Director of Julius Berger Plc, Mr. Detlev Lubasch, on Wednesday said because President Muhammadu Buhari‘s administration is yet to take shape, his economic agenda is difficult to predict.

    Speaking at the 45th Annual General Meeting of the construction giant in Abuja, Lubasch lamented there has been an economic down turn in the country from the second half of 2014 to this year.

    He called for a renewed focus on the nation’s economy, noting that the new administration will face challenges since key economic issues still continue.

    He said: “There is an urgent need for renewed focus on the Nigerian economy. It is expected that the new administration will face some challenges, as key economic issues persist.

    “But, there are positive indications for the future based on priorities communicated by President Buhari. As the President’s economic team has yet to take shape, it is difficult to predict his agenda for the economy.”

    Lubasch said the time needed for the government to settle down shows no hope for rapid improvement.

    He added: “With this expectation, the new administration has stated that no major actions can be realistically expected prior to the third quarter of 2015.

    “Our forecast is that our strong order backlog will provide a steady revenue stream during the transition period, but that it will be difficult to maintain our level of performance in 2015, to that of the previous year.

    “However, we will continue efforts to diversify our portfolio, to increase the proportion of private sector clients. Currently, public sector projects still represent 50 per cent of our business and large-scale infrastructure works remain a main competence.”

    According to him, budgetary provisions for capital projects in 2015 are significantly lower than that of the previous year.

     

  • Analysts place buy on Julius Berger over growth prospects

    Mresorts Savings and Loans eyes higher turnover with new products

    Resorts Savings and Loans Plc plans to grow its top-line with the introduction of two new products to meet the strategic needs of its customers as well as encourage a savings culture among the populace.

    The products-Resort Daily Savings Account (REDSA) and Resort Group Savings Account (REGSA), were launched recently in Lagos, as part of a drive to encourage long term savings by customers.

    Head, treasury, Resorts Savings and Loans Plc, Mr. Jeff Ejemai said the products were specially designed to encourage “little by little savings targeted towards solving yearly and strategic needs” including mortgage loan, payment of rents, school fees, land purchase and other sundry needs.

    He said with the products, the bank’s customer can be assured that their most important needs would be met without much hassle.

    “We reasoned that Nigerians often have the problem of meeting up with some of their needs that sometimes leads to some form of embarrassment for them. So, to forestall such embarrassment, we came up with the products to assist them save some funds while not feeling the pain of saving,” Ejemai said.

    He said customers who subscribe to the products have opportunity of participating in the bank’s yearly raffle draw and are entitled to business advisory and training as well as higher annual interest rate and personal accident insurance cover.

    According to him, the group savings account is targeted at traders. Existing customers who form themselves into groups can also benefit from the product which entitles them to an automatic loan.

    He added that prospective customers who form themselves to groups of between 10 and 20 people are also eligible to benefit from the product.

    He outlined that the group is expected to maintain a group purse with contributions of a minimum of N1000 from each member of the group. The operation of the account can is dynamic and accessible by all.

    “These accounts are serviced by contributing daily, weekly or monthly towards solving yearly needs. Individuals are expected to save in different categories of N500, N1,000, N5,000 and N10,000. The account is maintained for a minimum of one year without any withdrawal to be able to qualify for a raffle draw at the end of every year. There are exciting gifts to be won,” Ejemai said.

  • Julius Berger organises poetic workshop for pupils

    CONSTRUCTION firm Julius Berger Nigeria Plc has organised a poetic workshop for secondary school pupils in Abuja.

    The company said the workshop was designed to help promote the advancement of literacy within the Nigerian secondary school system.

    Beneficiaries of the workshop were pupils of Government Day Secondary School Bwari, Abuja.

    The workshop, which was organised by the Corporate Social Responsibility (CSR) team of the construction firm, was led by renowned Nigerian poet, Dike Chukwumerije, author of eight books and the winner of several performance poetry competitions in Nigeria. The CSR team said the workshop, which was organised to mark the World Poetry Day, was a creative and interactive way to teach the pupils new literary skills and as well as enhance their public speaking ability and self-confidence.

    During the workshop, students from Senior Secondary School (SSS) 1 to 3 read the works of Nigerian poets. They were also taught to write their own poems using poetic devices.

    The CSR team donated 600 books to the school’s library.

     

     

  • Julius Berger teaches pupils to write

    Julius Berger teaches pupils to write

    The World Poetry Day took on a special meaning for pupils of Bwari Government Day Secondary School, Abuja, last Thursday as they spent the day reviewing and writing poems.

    The programme, organised by members of the Julius Berger Corporate Social Responsibility (CSR) team as part of the company’s Literacy Campaign, was facilitated by renowned Nigerian poet, Dike Chukwumerije.

    Chukwumerije, an author of eight books and the winner of several Performance Poetry Competitions in Nigeria, made the pupils to read works of several Nigerian poets, and learn to write their own poems using poetic literary devices.

    The workshop was the firm’s way of teaching the pupils new literacy skills, public speaking and self-confidence.

    The CSR team also donated 600 books of mixed genre to the school’s library.

  • Analysts place buy on Julius Berger over growth prospects

    Market pundits have said Julius Berger Nigeria has the potential to record more than 70 per cent capital appreciation over the next 12 months as the leading construction company works on major public and private sector contracts.

    Analysts at GTI Securities said Julius Berger Nigeria’s share price, which opened yesterday at N51.70 per share, has a fair value of N87.70 within a 12-month investment horizon, indicating potential capital gain of 69.6 per cent.

    Analysts said they believed that Julius Berger Nigeria is set to immensely benefit from Nigerian government’s bid to diversify the economy with focus on infrastructure development in agriculture, power and transportation among others.

    According to them, the construction company would also benefit from international expansion to African countries, which are seeking to rebuild infrastructure to enhance economic development.

    “We have placed a positive rating on the stock of Julius Berger Nigeria because the stock is undervalued based on our analysis. Our estimates were majorly driven by the company’s fairly seesaw revenue growth trend along with its strong presence in the Nigerian construction sector as it possesses a robust project portfolio due to the high caliber projects it undertakes many of which are government funded projects,” GTI Securities stated.

    Analysts projected turnover of N203.05 billion and net profit of N8.31 billion Julius Berger Nigeria in the year.

    They noted that Julius Berger Nigeria has positioned itself to benefit from the need for economic diversification in Nigeria citing the recent announcement of plans to diversify its line of business to include power plant construction after announcing partnership with General Electric for the construction of the “Project Emerald” which is worth an estimated N50 billion.

    “Overall, we believe that the company’s ability to increase its net profit despite the rising finance cost resulting from slump in oil prices which adversely affected government’s ability to service on-going contracts remains impressive. We are moderately optimistic that the company will record a further improvement in net profit in 2015 compared to 2014,” analysts stated.

    They said the company’s overall performance would be driven by its large portfolio of new projects and its competitive advantage in the area of public private partnerships (PPP), which may be a preferred financing model as the new government struggles with declining revenues.

    “As expected, the company has maintained its position as the giant of the construction sector as revenue remains strong. Julius Berger has consistently maintained its position as preferred bidder for major government funded infrastructural project. It has also expanded it scope of business to meet rising economic demands. We acknowledge that cost of finance is still a challenge considering government’s bureaucracy in payment for executed projects. However, we expect that a stronger growth in revenue would cushion this effect on bottom – line in the succeeding years,” the equity analysis report stated.

    Analysts said they placed a buy recommendation on the shares of Julius Berger Nigeria because it is trading less than their target price with focus on the 2015 estimates adding that the good dividend culture of the company and its relative price stability still makes it a favorite among institutional investors, especially during a period of heightened price volatility.

    Some of the contracts that were recently awarded to Julius Berger Nigeria included the second River Niger bridge project worth N130 billion, Apapa–Oshodi Expressway Section 2, Phase II, estimated at N15 billion and the National Assembly Phase III, Part 3, Abuja, estimated at N40.2 billion.