Access Holdings Plc, the parent company of Nigeria’s biggest banks by assets, has extended the deadline for its ₦351 billion ($233 million) capital raise, citing the recent nationwide protests.
The lender extended the deadline for its public offer from August 14 to August 23 after securing approval from the Securities & Exchange Commission (SEC), according to a regulatory filing on Tuesday.
The extension will “provide shareholders with ample opportunity to subscribe to their rights.” Access Holdings is offering 17.7 billion new ordinary shares at ₦19.75 each. The bank will use the funding to pursue its global ambitions.
“During the extended period of the Issue, dealings by the Company’s insiders on the Company’s shares will continue to be strictly limited to participation in the Rights Issue as earlier approved by the Exchange in respect of the Non-Dealing Period on the Company’s Audited Interim Financial Statements for the Period Ended June 30, 2024, until 24 hours after the publication of the Interim Financial Statements,” it added.
The extension comes 24 hours after Zenith Bank, Nigeria’s largest bank by market capitalization, flagged off a combined offer to raise ₦290 billion ($182 million) in line with new capital requirements of Nigeria’s Central Bank. Fidelity Bank, a tier-2 commercial bank, and GTCO, a Nigerian financial services group valued at ₦1.39 trillion, closed their public offers on August 12.
On July 9, Access Holdings told shareholders and regulators that it seeks to “become the world’s first truly African global brand in the financial sector.” In two decades, Access Holdings grew aggressively from a mid-sized lender to the biggest banks on the continent through strategic acquisitions. The lender now operates in 18 countries.
It will invest 65% of the raised capital to grow its loan book, spend 20% to upgrade its infrastructure and the remaining 20% will be used to set up new branches across the country.
