SEC grants extension of Access Bank’s N52.6bn rights issue

Securities and Exchange Commission (SEC) has approved the extension by two weeks the Access Bank plc Rights Issue of 7.627 billion ordinary shares of 50 kobo each at N6.90 which opened on January 26, 2015. The Rights Issue was scheduled to close yesterday Wednesday, March 4, 2015, but has now been extended to March 18, 2015. The extension of the closure date was due to the need to give shareholders ample time to subscribe for their Rights. Access Bank had embarked upon a capital rising by way of Rights Issues to raise N52.6bn additional capital through the issuance of 7.627billion ordinary shares at 50 kobo each on the basis of one new ordinary share for every three ordinary shares of 50 kobo held in the Bank as at October 23, 2014.

The proceeds of the Issue will be used to boost the Bank’s working capital, enhance its information technology and expand branch network, which ultimately would lead to improved performance and returns to investors. Herbert Wigwe, group managing director, Access Bank plc, has advised shareholders of the bank to take advantage of this extension in date to fully exercise their rights, assuring them of quality return on their investments. “We are going to give good returns on investment as our target is to be among top three banks in 2017.”

He also disclosed that the Bank was already talking to “institutional investors, high net-worth investors and individuals, particularly investors who understand the value of long term investments,” he said. Meanwhile, shareholders of Access Bank commended the performance of the bank and ability of its management to consistently enhance the quality and value of their investments, particularly through some of the strategic initiatives and decisions taken in the last couple of years, which signalled the direction the institution is heading.