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How Tekedia Institute is Solving Awareness, Skill Gaps in Africa

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first job

Every year, thousands of graduates are churned out by universities, polytechnics, colleges of education, mono-technics and allied institutions. From the east to the north and west to the south of the continent, stakeholders have at least debated and still debating employability of the graduates in the last three decades.  From physical sphere to the online platforms, various questions have been asked and still posed to the graduates, their producers and government at all levels.

A number of answers have equally been given to the questions on different fora. Despite the answers, the question remains, are African graduates employable? Can they translate the gained theoretical propositions into a practical framework for solving issues and needs in industries and sectors?

Largely, various industry reports and academic publications have revealed problem solving, resilience and communication as the main skill gaps being experienced by employers. This indicates that majority of graduates cannot solve tasks effectively using these skills. For the students who are still in various higher institutions and some graduates who attended some of our personalised training on ‘skilling, reskilling and upskilling’ programme, the question we usually received is how can I improve my lack of skill gaps?

The answer has always been that both the students and creators of knowledge and skills need to work together. As long as institutions and tutors follow the theoretical basis of each course of study and having professionals from the field once a while for the purpose of reinforcing the basis practically, there should not be skills gap among the graduate. Skills gap can only exist when the graduates cannot convince employers how their theoretical understanding of various concepts and constructs can solve existing and future problems in workplaces. This has been dubbed by several professionals and scholars as awareness gap.

In reality, most African graduates have awareness gap not skills gap. However, one cannot completely have blind views on the existence of skills gap when new developments are changing the face of competition and how businesses navigate uncertain terrains across Africa. In our understanding of the Tekedia Mini-MBA’s working in the last five sessions, it has emerged that the Tekedia Institute, an African owned business school, which is situated in Boston, the United States of America, is solving the two gaps -awareness and skills gaps holistically using value co-creation and delivery strategies.

Apart from the fact that the Institute has an array of seasoned professionals and captains of industries within and outside the continent as tutors, its weekly live session via zoom meeting is delivering principles and practices of overcoming awareness gap. Bringing in some of the tutors as speakers during the live session to talk about business and political dynamics disentangles problems associated with a better understanding of uncertainties in African economies in relation to other economies outside the continent.

Tekedia Practice and Business Growth Playbook have a high tendency of providing augmented realities that would enable employees and owners of established and start-up businesses navigate the current VUCA world. The Institute, according to our analyst, within a few years of existence has proved that overcoming the skills gap on the continent needs more than providing enabling platforms and resources. It requires the fusion of perception mechanics and physics of business creation and management.

End of An Era: Lionel Messi’s Sad Parting with Barcelona

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On Thursday, Spanish football giant FC Barcelona dropped a bombshell. It was a heart-breaking message that started with a simple sentence: “Latest news: Leo Messi will not continue with FC Barcelona.” Coming from FC Barcelona’s social media pages, the news has thrown the world of football into disarray as it marks the end of an era.

Lionel Messi, who had agreed to a new contract with Barcelona, was expected to sign on Thursday, putting to permanent rest, all the intrigues that it has birthed since last year. Alas, the club and the player have to part ways when they thought they have it all sorted.

“Despite FC Barcelona and Lionel Messi having reached an agreement and the clear intention of both parties to sign a new contract today [Thursday], this cannot happen because of Spanish LaLiga regulations on player registration.

“As a result of this situation, Messi shall not be staying on at FC Barcelona. Both parties deeply regret that the wishes of the player and the club will ultimately not be fulfilled,” Barcelona said in a statement on Thursday.

In June last year, Messi, out of frustration, had sent a burofax to the then Barca president, Josep Bartomeu, demanding to leave the club. His contract with the club was supposedly expired, making him a free agent, if only Barcelona would see it that way. But the club said he had a €700 million buyout clause, which must be paid before he is allowed to leave. That was the turning point of Messi’s desire to leave the club, and to cap it, La Liga supported Barcelona’s claim. With no club ready to dish out that money, Messi had to stay one more year in Barcelona to see off his contract.

However, following the avalanche of controversy Messi’s burofax generated in and outside the club, Bartomeu was forced to resign and Barcelona conducted an election that ushered in the current president, Joan Laporta. But it didn’t solve the problem. The club had yet to convince its greatest asset to stay, and time was running out.

Messi’s contract eventually expired on June 30, 2021, making him a free agent and creating the problem that would later shatter dreams, hopes and joys. Barcelona’s inability to get Messi to renew his contract before its expiration means he has to be re-signed as a new player, and register with LaLiga as a new signing – and that’s where the whole challenge hangs.

As a new signing, Messi’s salary has to be restructured to fit into La Liga’s financial framework as part of the league’s efforts to uphold financial fair play. Barcelona’s wage bill is the highest in Europe, and with the pandemic compounding clubs’ financial challenges, La Liga is sticking to strict financial rules that will ensure the clubs stay in shape financially. Under the rules, the club could not register a new player until some of their wage bill had been cleared.

La Liga’s President, Javier Tebas had warned Barcelona that the rules would apply to Messi, and the club will need to make tough decisions, including cutting its wage bill, by letting some players go, if it would re-sign the Argentine. However, everyone thought there would be a way around it, after all, Messi is the biggest footballer in the world and Barcelona is not a team to be ignored.

Barcelona’s eventual inability to beat the fair play bottleneck has become the most stunning news in the world of football since Messi’s burofax last year. The 34-year old was on vacation in Ibiza, after leading Argentina to Copa America glory. He arrived in Spain on Thursday to pen the rest of his future to the club which has given him everything. Messi had agreed a 50% wage cut in his new contract that would have seen him remain in Barcelona for the next five years. Unfortunately, his dream to end his career in his childhood club was ended by the decisions of others.

Caught between keeping the league’s biggest player and upholding its financial regulations, La Liga had agreed to sell 10% stake to CVC Capital Partners for €3 billion that will be shared to clubs to help them deal with the financial crisis. But it’s not enough, and the league is not going to compromise its financial rules since it will set a bad precedent and thus undermine the efforts to restructure the league’s finances.

Barcelona said La Liga did not carry the clubs along in the 50-year CVC Capital Partners deal, and the terms of the contract condemned the club’s future with regard to broadcasting rights.

“FC Barcelona considers that the operation that has been announced has not been sufficiently discussed with the clubs (the owners of TV rights), that the amount is not congruent with the years of duration, and the deal affects part of all clubs’ audiovisual rights for the next 50 years.

“FC Barcelona wishes to express its surprise at an agreement driven by La Liga in which the teams’ opinions, including those of FC Barcelona, have not been taken into account. There has not even been a presentation of options offered by other competitors in order to evaluate the pros and cons in a post-pandemic situation in which there are still many questions left unanswered,” the club said in a statement on Thursday.

Messi arrived at Barcelona at the tender age of 13, and grew with the club winning many titles. His prodigy was a spectacle that kept both Barca and La Liga on the side of lucrative commercial deals. Many Believe that Messi is a victim of behind the scene politics between Barcelona and La Liga, which has to do with the canceled Super League and the newly announced CVC Capital Partners deal.

There is little chance that La Liga will bend the rules based on the above concerns raised by Barcelona, but it is clear that Messi’s departure will bring great misfortune to both La Liga and Barcelona.

SpaceX Starlink Hits 90,000 Subscribers

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SpaceX has added more subscribers to Starlink internet service, having about 90,000 users globally now. Elon Musk’s satellite internet business has been pushing for a wider coverage amidst competition with Jeff Bezos’ Blue Origin.

The company said in a call with Federal Communications Commission (FCC) officials on July 29 that it now has users in 12 countries. Musk said in June during the Mobile World Congress trade show in Spain that SpaceX had about 70,000 users, and he hopes it reaches the 500,000 mark before the end of the year.

“We are on our way to having a few hundred thousand users, possibly over 500,000 users within 12 months,” he said.

The new addition means about 20,000 more new users have joined Starlink service, counting by the number of dishes in each household.

Musk’s quest to deliver a high speed global internet has seen an uptick since early this year, with SpaceX shooting up more satellites to orbit. In early January, SpaceX Falcon 9 rocket sent 60 more of its Starlink satellite into orbit. The number of SpaceX’s satellites in orbit has since increased to 1,700, making SpaceX the company with the highest number of internet satellites in orbit.

With interest in the satellite service so far increasing, Musk is pushing to meet the demand. Musk said in May that Starlink has received more than 500,000 orders and deposits so far.

SpaceX is creating a new technology named “space lasers” by Musk, an intersatellite link which would allow the satellites to create data connections to each other – rather than individually connect to points on the ground.

Intersatellite links will also help improve the Starlink system by reducing the number of ground-based stations needed to operate globally, as well as decrease the network’s latency and increase its speed.

Musk said latency and download speed are key to delivering a fast internet service because they define how much time it takes a signal to travel back and forth from a destination.

“The latency for the Starlink system is similar to latency for ground-based fiber and 5G, so we’re expecting to get latency down under 20 milliseconds,” he said.

To beat the latency hurdle, Musk said SpaceX is launching a next-generation satellite that will orbit in low altitude to increase network service. The new satellite will feature faster speeds, lower latency, and more backhaul capacity to serve more users. But to achieve this, the company needs to shoot as many as 4,000 satellites to orbit.

However, executing this internet speed comes at high cost, and SpaceX has been losing money providing the hardware to subscribers at subsidized cost. Musk said satellite antenna costs $1,300 each but SpaceX charges users $499.

Though he said the next generation terminal is designed to reduce the cost, Musk admitted that SpaceX will need roughly $30 billion in investment over the long run.

SpaceX plans to execute its global satellite internet projects through partnership with telecom companies.

“We have two quite significant partnerships with major country [telecom companies] … and we’re in discussion with a number of other telecom companies to provide Starlink access,” Musk said.

Late last year, SpaceX presented the FCC  with Starlink internet performance tests, revealing download speed of about 102Mbps to 103Mbps, with upload speeds of 40.5Mbps to nearly 42Mbps, with a latency of 18 milliseconds to 19 milliseconds. The company hopes the Starlink service will yield multi-billion revenue in the long run that will spur its future growth.

Lionel Messi Exits FC Barcelona, I Make A Case for Enyimba FC Nigeria

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Stars like Messi are the attraction

One of his generation’s finest footballers, Lionel Messi, will not be playing for FC Barcelona next season. The club and the legend put out a statement that due to ‘financial and structural obstacles’, riding on Spanish La Liga regulations,  Messi has to leave the club. I want to use this opportunity to present Nigeria’s most successful club, Enyimba FC, to Messi as a possible destination. Enyimba FC has won Africa’s Champions League twice, the only in Nigeria’s history, and has a great heritage. This will be a natural fit for Messi!

Of course, while I understand that La Liga regulations could not allow FC Barcelona to pay Messi more than Abia state annual recurrent budget, for kicking a round leather ball, we will make up by giving Messi 70% of TV rights for all Enyimba games. We do believe that his presence will generate a 50x multiple on TV rights, not just locally but globally. Yes, even if the salary is low, Messi will make up via the TV rights.

Also, the Ovim nation will give him a chieftaincy title “Onye isi buru ba 1 of Africa” [the leader who goes to score games 1 of Africa]. Messi will rekindle the spirit of football like many of us experienced where using the small transistor radio, we could listen to the greats of old in the Nigerian league: Edward Ansah, Abdullahi Alausa, Matthew Onyeama, John Benson, Wole Odegbami…

Ohhh The Sharks will destroy the Bridge today, the commentator will shout as Sharks of Port Harcourt go to battle Julius Berger.

Messi, we hope you make the right decision and choose the people’s elephant.

Nigeria Is Changing; Own A Piece of the Empires of the Future With Tekedia Capital

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First, this is it: the Kuda team waited for me for 3 hours in Lagos for a possible small investment in Kuda. In the end, I did not. I had arrived from the US to run a program for some CEOs and they waited patiently for me.  Today, Kuda is worth $500 million. If I had invested $100k, that money would have produced at least $7.5 million within less than two years! Kuda has raised at least $80 million in the last 6 months, and now is priced at $500 million.

Do not pity me (I am fine…lol); pity the 99.99% who are disconnected from this new dimension of value creation and capture. It is because of that anomaly that I created Tekedia Capital, to provide opportunities for We The People to co-own the empires of the future.

Interswitch and Flutterwave jointly hold the 3rd position, behind GTBank and Zenith, as Nigeria’s most valuable financial institutions*. I predict that by 2025, Flutterwave will be worth more than GTBank and Zenith bank combined! Kuda today is bigger than many banks in Nigeria!

I missed Kuda but what Kuda could have given me in 24 months, one startup produced the same multiples in 6 months. That one is also from Lagos. People, open your playbook because by 2025, Nigeria would be radically transformed if you check what is happening in these new species of firms.

I am now loaded in close to 40 of them globally; very soon, Forbes will be invited … hahaha. Join me at Tekedia Capital Syndicate and own a part of the new future.

*N500/$

Update: I just noticed that my calculation was wrong. I had used Nairametrics data where it quoted that Stanbic IBTC Bank Plc was worth “$530 million“. But working on a Brief for a client now where I had to compute all the Nigerian bank growth trajectories, perception value, etc, and pulling data from Bloomberg, I noticed that Stanbic IBTC was actually worth N531 billion which is clearly above $1 billion. So, Nairametrics has a big typo there. I have updated the plot accordingly and apologize for the confusion.

Nairametrics data is wrong

Comment on LinkedIn Feed

Comment #1: Well, prof. The takeaway I have from this is to invest in small promising firms. However, let’s not be beclouded with the sentiment of the current fintech valuations and use that as a premise for comparing listed entities such as banks. I sometimes wonder how we value fintechs based on the volume of seed funding they receive. Who uses loan as a yardstick for valuation. I disagree with all these fintech valuation amounts.

We can’t compare a company that is not listed and whose books have not been audited by quality audit firms with banks. Let’s compare apple to apple and if we want to use loan capital as valuation methodology, trust me these fintechs are a far cry from the kind of Tier 2 capital banks receive.

You use the stock exchange shares trading price to value banks and now use loan capital for fintech. That’s misrepresentation of facts. We need to change this current narrative that’s trending in order not to becloud an investors judgement.

My Response: “I disagree with all these fintech valuation amounts.” – that is your right but those sending them money AGREE. I think that is what matters here.

“We need to change this current narrative that’s trending in order not to becloud an investors judgement.” – many said that about Tesla until it went public and many are still confused why Tesla is bigger than all the major car companies combined. Let me say this – people are using expired tools to value empires of the future.

Comment #1b: Ndubuisi Ekekwe “People are using expired tools to value empires of the future” – Banks are valued with stocks while fintechs are valued based on seed capital. The conclusion I can draw from this your statement is that stock exchange is the expired tools. However, I’m aware that the ultimate goal of a private equity is to raise IPO and go public.

“That’s is your right but those sending them money agree” Maybe you can check the balance sheet of banks and see the volume of Tier 2 &3 capital they receive from firms (way higher than fintechs), so I’ll say those sending banks those cash also agree.

I still maintain that we are using different parameters to compares firms and that is not a good yardstick for measurement. Until the auditors show us the true nature of fintechs books, there is an element of bias in those valuations.

Elon Musk company in your example is an outlier as Tesla offered the public renewable energy at a time the world is clamoring for climate sustainability.

Most of these fintechs pretty do same things banks do which is payments and retail lending. Let’s wait till their IPO before we can start doing firm comparisons as you have done.

Comment #2: These valuations of Fintech companies, are they based on current Assets or Potentials of future growth..?
I almost fell into a “hole. “ of selling my Tangible Assets in preference to investing the proceeds into intangible shares and stocks of “ Fancy” companies!
Shortly after, bubbles bursted!
Some of us are traditional investors who belief wholly in Solid Stocks and Barrels! Caution is the Word!

My Response: The challenge is this: it confuses if you use old and expired tools to value these companies. Check the NYSE, all the “fake companies” pop up once they list. So, the problem is not from the companies but lack of people understanding the new economy. Do you know that Facebook can buy close to 8 pieces of IBM, and Paypal can buy 2.5 copies of Goldman Sachs? Instead of caution, ask people to attend modern schools like Tekedia Mini-MBA where we educate people correctly! Yes, I said so. Lol.