Access Bank: shareholders approve N100b new capital

Shareholders of Access Bank on Wednesday authorised the bank to raise additional N100 billion through the capital market for further investment and development.

The shareholders gave the approval at the bank’s 27th Annual General Meeting (AGM) in Lagos.

They said that the date for the capital raising exercise should be determined by the board of directors after obtaining the requisite approvals of the regulatory authorities.

Mr Boniface Okezie, the President, Progressive Shareholders Association of Nigeria (PSAN), suggested that the new funds should be raised through bonds to avoid over bloating of the bank’s share capital.

Okezie said that the bank should not consider rights issue or public offerings as the bank had floated a rights issue in 2015.

He, however, commended the bank for the improved results achieved in the financial year ended Dec. 31, 2015 and urged the bank to sustain the growth.

Okezie also urged the bank to adhere to good corporate governance in order to avoid payment of unnecessary sanctions from regulatory bodies.

Dr Farouk Umar, the President, Association of Advancement of Shareholders’ Rights, said the bank was one of the few that had positive results in spite of the headwinds.

Umar also lauded the bank for a final dividend of 30k per share which brought the total dividend for the year to 55k per share.

Mr Herbert Wigwe, the bank’s Group Managing Director, said the result reaffirmed the bank’s resolve to add value to shareholders’ investments in spite of the harsh operating environment.