Dangote Refinery IPO: WayvePay Withdraws Promotional Materials After SEC Warning

Kaode Tokede 

Following the Securities & Exchange Commission (SEC) warning to the investing public  ,   Wayve Microfinance Bank Limited, yesterday said it has withdrawn the relevant promotional materials and removed the associated link regarding Dangote Petroleum Refinery’s N2.15 trillion  Initial Public Offering (IPO)  from its mobile application. 

The SEC had warned the public against making capital-market investments through WayvePay, stating that the platform is not registered to offer such services.

The SEC said WayvePay was “not registered by the Commission to solicit investments from the public or operate in any capacity within the Nigerian capital market”.

WayvePay  in its response, stated that it  takes the SEC’s communication and the concerns raised seriously and remains committed to engaging constructively with the Commission and other relevant regulatory authorities to address the issues and clarify the circumstances surrounding the matter.

Wayve Microfinance Bank in a statement obtained by THISDAY explained that it is a financial institution licensed by the Central Bank of Nigeria (CBN), with eligible deposits insured by the Nigeria Deposit Insurance Corporation (NDIC), subject to applicable coverage limits and terms. 

“The Bank considers it important to clarify its regulatory status and distinguish its licensed banking operations from the specific matters raised in connection with the IPO.

“Regarding the IPO-related arrangement, the Bank wishes to clarify that its involvement was undertaken in partnership with Coronation Securities under a duly executed agreement between the parties. 

“Under this arrangement, the WayvePay digital banking platform was linked to Coronation Securities to facilitate the relevant IPO-related activities, with subscription funds directed to Coronation Securities rather than directly to Wayve Microfinance Bank Limited.

“Following the SEC’s communication, the Bank has withdrawn the relevant promotional materials and removed the associated link from its mobile application.  Since the publication of the promotional materials, no investors has subscribed for shares in the Dangote Petroleum Refinery and Petrochemicals IPO through the WayvePay platform,” the company said in statement.

The financial institution, however, said it is engaging with the appropriate regulatory authorities, providing relevant documentation and clarifying the circumstances surrounding the arrangement. 

“The Bank will continue to cooperate with the SEC and respond to the issues raised through the established regulatory processes.

“The Bank recognises the SEC’s important mandate to protect investors and promote confidence in Nigeria’s capital market. It remains committed to transparency, responsible business practices and compliance with the regulatory requirements applicable to its operations. 

“The Bank will continue to address the matter constructively and take appropriate steps in response to regulatory guidance,”  the statement added.