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Nigerian financial services giant Access Holdings, led by seasoned banker and executive Aigboje Aig-Imoukhuede, has received shareholder approval for a N2.12 trillion ($1.71 billion) capital raise, marking a significant step towards its ambitious global expansion plan.
The endorsement at the company’s Annual General Meeting (AGM) paves the way for a multi-tranche, multi-currency, and multi-instrument capital raise program. The proceeds, totaling N1.755 trillion ($1.42 billion) and N365 billion ($295.3 million), will fuel the group’s global aspirations and bolster its ability to achieve its 2027 strategic objectives.
Shifting gears for consolidation and efficiency
Access Holdings outlined its future strategy, which will transition into a consolidation and efficiency phase starting in the second half of 2024. This aligns with the group’s five-year plan designed to expedite its long-term goals.
The company has already made significant progress in 2024, securing four strategic deals, including acquisitions in Kenya, Uganda, and Zambia, alongside a Nigerian insurance brokerage firm. Additionally, regulatory approval for a new consumer lending subsidiary in Nigeria underscores Access Holdings’ commitment to diversified growth.
Renewed leadership and unwavering commitment
Access Holdings shareholders received renewed assurances on sustainable growth and value creation at the annual general meeting (AGM). Chairman Aigboje Aig-Imoukhuede, alongside newly appointed non-executive directors Olusegun Ogbonnewo and Ojinika Olaghere, addressed the gathering.
Aig-Imoukhuede’s return to the helm, following the passing of banking titan Herbert Wigwe, was met with widespread support. Shareholders acknowledged his key role in the bank’s prior growth trajectory.
Unanimous backing for the capital raise program underscored investor confidence in Access Holdings’ strategic direction. Proceeds from the rights issue will be used to strengthen working capital and fuel organic growth across the group’s banking and non-banking arms.
Echoing CBN’s call for recapitalization
In a post-meeting interaction, Aigboje Aig-Imoukhuede reaffirmed the group’s commitment to industry recapitalization and delivering consistent returns to shareholders. He emphasized the importance of strengthening capital buffers in the face of currency devaluation and market volatility, echoing the Central Bank of Nigeria’s (CBN) recent calls for recapitalization.
The significant increase in Access Holdings’ issued share capital, from N17.77 billion ($14.36 million) to N26.659 billion ($21.55 million), reflects the company’s proactive approach to fortifying its financial position and underwriting its expansion initiatives.
Aigboje Aig-Imoukhuede: Leading the charge
Aigboje Aig-Imoukhuede, a titan in both business and philanthropy, remains at the helm of Access Holdings as it steers toward becoming a global financial force.
Access Holdings’ stellar 2023 financial performance serves as a springboard for its global ambitions. Group profit surged an impressive 307 percent year-on-year to a record N619.32 billion ($451.7 million), compared to N152.2 billion ($111 million) in 2022.
This growth, achieved under the prior leadership of the late Herbert Wigwe, was driven by the group’s total comprehensive income, which skyrocketed to N1.031 trillion ($752 million) from N233.3 billion ($170.17 million) the year before.
