Nestoil Group Assures Stakeholders of Business Continuity Despite Court Injunction

Strategic Insights -

Nestoil Group's Lagos headquarters was sealed by armed police officers on Tuesday, following a court order granting liberty to First Trustees and FBNQuest Merchant Bank to take over the company's assets due to an alleged multibillion-dollar debt default. The enforcement of the court order resulted in a directive by Justice D. I. Dipeolu of the Federal High Court, Lagos Division, granting a Mareva injunction against Nestoil Limited and its affiliate, Neconde Energy Limited, as well as against their principal promoters, Ernest Azudialu-Obiejesi and Nnenna Obiejesi. The plaintiffs claimed that the companies and their promoters owe more than $1.01 billion and N430 billion as of 30 September 2025, in respect of various credit facilities.

Key Takeaways:

  • The Federal High Court granted a Mareva injunction against Nestoil Limited and its affiliate, Neconde Energy Limited, as well as against their principal promoters, Ernest Azudialu-Obiejesi and Nnenna Obiejesi.
  • The plaintiffs, FBNQuest Merchant Bank Limited and First Trustees Limited, claimed that the companies and their promoters owe more than $1.01 billion and N430 billion as of 30 September 2025.
  • Nestoil Group has reassured stakeholders that its operations remain unaffected and that the company is being addressed through appropriate legal and regulatory channels.
  • The group stated that it has put in place proactive measures to protect its workforce, sustain operations, and uphold its obligations to clients and partners.
  • Nestoil Group remains financially strong, operationally stable, and strategically focused, according to the company.

Statistics:

  • $1.01 billion: The amount claimed by FBNQuest Merchant Bank Limited and First Trustees Limited to be owed by Nestoil Limited and its affiliate, Neconde Energy Limited.
  • N430 billion: The amount claimed by FBNQuest Merchant Bank Limited and First Trustees Limited to be owed by Nestoil Limited and its affiliate, Neconde Energy Limited, as of 30 September 2025.
  • 22 October: The date when Justice D. I. Dipeolu of the Federal High Court, Lagos Division, granted the Mareva injunction.

Sources:

  • PREMIUM TIMES
  • Federal High Court, Lagos Division
  • Nestoil Group