At a media briefing in Lagos, Wigwe said Access Bank had already finalised terms and obtained regulatory approvals for a Tier II capital issuance to raise 250 million dollars in January 2019.
Access Bank this week announced its acquisition of Diamond Bank, a major step toward becoming the biggest commercial lender by customers in the continent.
Tier 11 Capital is designed as supplementary capital, composed of items such as revaluation reserves, undisclosed reserves, hybrid instruments and subordinated term debt.
Wigwe said the bank had also obtained “No Objection” from the Central Bank of Nigeria to undertake a Rights Issue to raise up to 75 billion in the first half of 2019.
Wigwe said shareholder approvals and other regulatory approvals to that effect would be obtained before the commencement of the offer.
He noted that the fundraising exercise would accelerate the capital management plan to support retail growth, previously set out in the bank’s five-year strategy.
Wigwe said the bank had also obtained “No Objection” from the Central Bank of Nigeria to undertake a Rights Issue to raise up to 75 billion in the first half of 2019.
Wigwe said shareholder approvals and other regulatory approvals to that effect would be obtained before the commencement of the offer.
He noted that the fundraising exercise would accelerate the capital management plan to support retail growth, previously set out in the bank’s five-year strategy.
On its recent scheme to merge with Diamond Bank, Wigwe said the bigger entity was ready to absorb the staff of Diamond Bank at the completion of the deal by end of June 2019 without any disengagement.
According to him, the decision will enable Access Bank to leverage the best talents of both institutions to create a leading banking franchise in Nigeria.
He said the combined bank would be led by Access Bank’s current CEO, Herbert Wigwe and retain the Access Bank name.
“The merger will form a leading Tier 1 Nigerian bank and the largest bank in Africa by the number of customers, spanning three continents, 12 countries and 29 million clients.
“It brings together treasury, risk management and corporate banking expertise with strong retail and digital banking capabilities to create a financial institution operating across the full suite of products for all customer segments.
“The transaction is to be concluded via Scheme of Merger following Access Bank and Diamond Bank Court Ordered Meetings expected in March 2019 to approve terms,” he said.
He added that the merger, subject to shareholder approvals, the Securities and Exchange Commission (SEC), CBN, and Pension Commission regulatory approvals and as well as Federal High Court sanction, would be concluded before end of first quarter of 2019.
He said Diamond Bank would benefit from Access Bank’s strong culture of risk and capital management expertise and a clear strategy for sustainable growth.
Wigwe stated that Access Bank would take advantage of Diamond Bank’s unparalleled retail banking expertise and strong digital offering.
According to him, the decision will enable Access Bank to leverage the best talents of both institutions to create a leading banking franchise in Nigeria.
He said the combined bank would be led by Access Bank’s current CEO, Herbert Wigwe and retain the Access Bank name.
“The merger will form a leading Tier 1 Nigerian bank and the largest bank in Africa by the number of customers, spanning three continents, 12 countries and 29 million clients.
“It brings together treasury, risk management and corporate banking expertise with strong retail and digital banking capabilities to create a financial institution operating across the full suite of products for all customer segments.
“The transaction is to be concluded via Scheme of Merger following Access Bank and Diamond Bank Court Ordered Meetings expected in March 2019 to approve terms,” he said.
He added that the merger, subject to shareholder approvals, the Securities and Exchange Commission (SEC), CBN, and Pension Commission regulatory approvals and as well as Federal High Court sanction, would be concluded before end of first quarter of 2019.
He said Diamond Bank would benefit from Access Bank’s strong culture of risk and capital management expertise and a clear strategy for sustainable growth.
Wigwe stated that Access Bank would take advantage of Diamond Bank’s unparalleled retail banking expertise and strong digital offering.
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