In exercising its rights derived from the Nigeria Football Association (NFA) Act 1990 as the sole regulatory authority for football in Nigeria, the NFA which is the owner of the Nigeria Professional Football League (NPFL) issued the license to organize and regulate the top tier league to the League Management Company (LMC) for the purpose of organizing and promoting the league to meet global technical and commercial standards. The franchise was granted following the near collapse of the Nigeria Premier League (NPL) organized by the Nigeria Football League (NFL) which arose from intractable legal, contractual, administrative and financial impediments.
The NFF had in November 2012 with the agreement and support of the National Sports Commission (NSC) the nation’s sports regulatory authority constituted an Interim Management Committee (IMC) for the League as part of measures to avert a total collapse of the top tier professional League. In seeking not to perpetuate the illegality of the now defunct NFL and to avoid running football in a vacuum in the absence of the NPL, the IMC supervised the formation and incorporation of the LMC to run a transparent and commercially viable professional league.
The LMC is owned by the NFF and the participating Clubs. In implementing the FIFA prescribed Club Licensing Regulation, only clubs which meet the requirements and remain in the Nigeria Professional Football League at the start of the season shall retain shares in the LMC.
At incorporation, promoters of the LMC were allotted 25% shares in compliance with the provision of the Nigeria Companies and Allied Matters Act, 1990. Thus the NFA Chairman, as the representative of the association holds 5% of the allotted shares, whilst the Rt. Hon. Nduka Irabor as Chairman of the interim League Management Committee holds 20% in trust. The shares held by Mr Irabor on behalf of the LMC will be relinquished as soon as the Board of the company is appropriately constituted. A sworn affidavit to this effect is deposited at the rightful public repository.