Nigerian gambling magnate Kessington Adebutu, daughter pocket $1.22 million in Wema Bank dividends

Omokolade Ajayi -

Nigerian gambling magnate Kessington Adebutu and his daughter Abolanle Matel-Okoh are set to pocket a dividend of about $1.22 million (N503.4 million) from their stakes in Wema Bank today.

Wema Bank Plc, a banking group founded in 1945, is known for operating the most extensive digital banking system in Nigeria.

The bank has seen its total banking assets increase by the close of 2020 to about $2.4 billion (N979 billion) on the back of a 24.49-percent growth in loans and advances to customers to $872 million (N360 billion).

The bank declared profits of $11.1 million (N4.6 billion) for 2020. The board recommended a final dividend payment of 0.0097 cents (4 kobo), making it the third consecutive year that it has paid dividends.

Adebutu, the founder and CEO of Nigeria’s oldest and leading gaming company Premier Lotto Ltd., is a principal shareholder in Wema Bank.

The businessman is also a key debtor of the bank, with loans running into the billions of naira. He holds an indirect stake of 10,835,506,943 shares, or 28.09 percent of Wema Bank.

The gambling magnate holds his indirect stake in Wema Bank through Neemtree Ltd., a special purpose vehicle incorporated in 2013 for the purpose of acquiring shares in targeted organizations.

The billionaire’s daughter is a non-executive director of the bank and directly holds 1,750,000,000 ordinary shares.

Their respective ownership stakes qualify them to receive a total dividend of about $1.22 million.

Adebutu is expected to earn a dividend of $1.05 million (N433 million), while Abolanle Matel-Okoh is on course to earn a $169,965 ($ 70.11 million) dividend from the bank.

The billionaire and his daughter are expected to receive the final dividend payments today, following the approval of the final dividend by Wema Bank  shareholders. This should happen at the bank’s annual general meeting held today both at its corporate headquarters and virtually, in line with current COVID-19 protocols.