Category: Banking

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Resort Savings & Loans Plc set to hold Board Meeting on October 5

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Resort Savings & Loans Plc has announced that it will be hosting a Board of Directors Meeting on the 5th day of October, 2021, at 11:00am prompt.

According to a notice signed by the Company’s Secretary, Mrs Benedicta Sadare, the Board meeting was scheduled to enable the bank consider and deliberate on strategic, governance and capitalization issues facing the institution.

Consequently, the Company will commence a closed period from Friday, the 17th day of September, 2021 until 24 hours after the outcome of the Board Meeting is announced to the investing public. During the closed period, no director, person discharging managerial responsibility and adviser of the Issuer and their connected persons shall deal in the securities of the Company.

 

See link to notice.

NPF Microfinance Bank appoints Adamu Usman as Non-Executive Director.

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The Board of NPF Microfinance Bank Plc (‘’the Bank’’) has approved the appointment of Mr Adamu Usman as a Non-Executive Director, subject to regulatory approval from the Central Bank of Nigeria.

According to a notice acknowledged by the bank, dated 15th of September, 2021, Mr Usman was appointed to fill the void created by the retirement of a former director- Mr Aminu Saleh, who until his retirement was representing the interest of the Nigerian Police Cooperative Multi-Purpose Society Limited on the Board of the Bank.

As at the period of reporting this, Mr Usman’s appointment is yet to be ratified by the Central Bank of Nigeria (CBN) and the shareholders of the Bank.

About Mr Adamu Usman

Adamu Usman is currently the Assistant Inspector General of Police (AIG) in charge of the Nigerian Police Cooperative Multi-Purpose Society Limited. He enlisted in the Nigerian Police Force (NPF) on 15th of March, 1988, and later became the Public Relations Officer (PRO) in the defunct Gongola and Adamawa states.

Mr Usman holds a degree in Public Administration from Ahmadu Bello University, Zaria and a Master in Public Administration from Imo State University. He also obtained an Advanced Diploma in Security Operations/Management from the University of Lagos.

Usman is a member of the International Chief of Police and International Security Organisation (ISO-SEC) Switzerland. He is a fellow of International Institute of Professional Security (FIIPS). He has undertaken several professional courses both locally and internationally.

Union Bank appoints former Minister for Women Affairs, Aisha Abubakar as Independent Non-Executive Director.

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Union Bank of Nigeria Plc (‘’Union Bank’’) has announced the appointment of Ms Aisha Abubakar into its Board, as Independent Non-Executive Director, effective from 9th of September 2021.

The Bank in a statement filed with the Nigerian Exchange Limited (NGX) today, revealed that the appointment has been approved by the Central Bank of Nigeria (CBN).

It would be recalled that Ms Abubakar served as Nigeria’s Honourable Minister for Women Affairs and Social Development from 2018 to 2019. Prior to this, she also served as the Honourable Minister of State for Industry, Trade and Investment between 2015 and 2018.

About Ms Abubakar

Ms. Abubakar is an accomplished public sector administrator with over three decades of professional experience in Public Service and Pension Administration, Investment Banking, SME Finance/Rural Enterprise Development and Micro-Credit Administration. She is a Fellow of the International Professional Managers Association (IPMA-UK), and the President of the International Experts Consultants (IEC-UK).

Ms. Abubakar also boasts of valuable private sector and development experience, having worked at Continental Merchant Bank Limited, African Development Bank and African International Bank.

What they are saying:

Commenting on her appointment, Union Bank’s Board Chair, Mrs. Beatrice Hamza Bassey, said: ‘’On behalf of the Board of Directors, I welcome Ms. Aisha Abubakar to the Board. She brings many years of robust experience which will be invaluable in supporting our efforts to steer the Bank forward and deliver on our strategic objectives.”

Also commenting, the Chief Executive Officer of Union Bank, Emeka Okonkwo, said: ‘’ I am pleased to welcome our new Independent Non-Executive Director, Ms. Aisha Abubakar to the Board. We look forward to drawing from her wealth of experience and fresh perspectives as we continue to execute our vision to be Nigeria’s most reliable and trusted partner.”

Fidelity Bank holds H1 2021 Investors Presentation.

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Fidelity Bank Plc held its Half Year (HY) 2021 results presentation to investors and analysts. Below are the facts to the figures;

  • Gross earnings grew by 6.2% YoY to N105.8bn as the gradual recovery of business activities translated to an increase in non-interest revenue. This is as total customer induced transactions across all service channels increased by 58% YoY.
  • Total interest income increased by 1.7% YoY, though interest income on liquid assets dropped by 40.3% YoY.
  • Net interest margin dropped to 5.3% from 6.4% in H1 2020, as the decline in average yield on earnings assets surpassed improved average funding cost in H1 2021.
  • Average cost of deposits dropped by 135bps to 2.7%, while the average borrowing cost declined by 29bps to 4.9%.
  • The Bank also recorded a N7.2 billion drop in key expense lines as it deepens operational efficiency through process improvement and cost optimization. The bank partly hinged the drop on harnessing the benefits of remote working, which impacted the overall operating cost.
  • Total assets grew by 12.8% to N3.11 trillion from N2.8 trillion as at December, 2020.
  • Customer deposits increased all deposit types. The top three are; Debt securities (+28.8% YTD), Tenor deposits (+26.8% YTD) and Demand deposits (+18.4% YTD). The bank further explained that low cost deposits accounted for 75.5% increase in total customer deposits.
  • Net loans & advances increased by 15.8% YTD to N1.54 trillion, with 30.7% of the loan book within the 12 months or less maturity portfolio.
  • CAR stood at 18.8%, well above the regulatory minimum requirement of 15.0%

For more information about the Investors presentation, click HERE.

 

Infinity Trust Mortgage Bank projects profit after tax of N160.33 million in Q4 2021.

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Infinity Trust Mortgage Bank Plc released its earnings forecasts for the fourth quarter of the year (Q4, 2021)

  • Gross earnings were projected to hit N431.57 million.
  • Interest income was projected at N334.23 million.
  • Net operating income projection of N367.94 million
  • Operating expenses projection of N189.8 million
  • Tax projection of N17.8 million
  • Profit after tax was projected at N160.33 million.

See link to results.

Stanbic Africa Holdings Limited acquires additional 5.5m units of shares in its Nigerian unit,  worth N216.2 million.

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Stanbic Africa Holdings Limited (SAHL) has announced the acquisition of an additional 5.5 million units of shares in its Nigerian subsidiary- Stanbic IBTC Holdings PLC, in a deal worth N216.2 million.

This is according to a disclosure signed by the secretary of Stanbic IBTC Holdings Plc, Chidi Okezie, and filed with the Nigerian Exchange Limited (NGX).

The breakdown of the transaction which occurred in Lagos on Tuesday showed that SAHL acquired additional 5,557,703 units of Stanbic IBTC shares at a unit price of N38.90, amounting to N216, 194,646.7

This transaction comes barely 24 hours after the financial services holding company had similarly spent about N194.4 million for the purchase of an additional 5 million stakes in its Nigerian subsidiary.

In this light, the recent transaction thereby raises the stake of SAHL in Stanbic IBTC to about 67.16% translating to 7,454,008,002 units of shares. Recall that as at 30th of June, 2021, the former held about 7,443,450,299 units of shares in the latter, indicating about 67.02% of the latter’s total shareholdings.

Stanbic Africa Holdings Limited (SAHL) is an unlisted, wholly owned subsidiary of Standard Bank Group Limited (SBG). SAHL is registered in the United Kingdom and is the holding company for majority of SBG’s African subsidiary banks.

Stanbic IBTC Holdings Plc closed trading today 15th of September, 2021 at N38.9 per share on the floor of the Nigerian Exchange Limited (NGX).

 

 

Amid massive global interest, Access Bank successfully launches $500m Senior Unsecured Eurobond.

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Access Bank Plc has announced the successful launching of a $500 million 144A/RegS Senior Unsecured Eurobond, as part of its Global Medium-Term Note Programme.

According to a notice signed by the company’s secretary, Sunday Ekwochi, and made available on the website of the Nigerian Exchange Limited (NGX), the transaction recorded a massive interest from top quality investors globally, including the United States, Europe, Middle East, Asia and Africa, anchored by a number of large tickets.

The offering achieved the lowest (outstanding) Nigerian bank Eurobond coupon, supported by an over 3x oversubscribed orderbook of over $1.6 billion, which represents the largest orderbook ever for a Nigerian bank Eurobond transaction. The bond which will mature on the 21st of September, 2026, was issued with a yield and coupon of 6.125%, with interest payable semi-annually in arrears. The coupon of 6.125% is another first in the corporate Eurobond issuance space.

Interestingly, the bond is already trading at a premium from issue levels with bids around 5.89% levels whilst offers are around 5.78% as the unmet demand from the auction filtered into the secondary market. (101/101.50 indicative price)

On what it intends to use the proceeds for, the lender revealed that the net proceeds of the Eurobond will be used to provide medium term funding in a bid to enhance its capacity and support its general banking purposes.

Commenting on the Eurobond Issuance, the Group Managing Director of Access Bank, Dr Herbert Wigwe said: ’’At Access Bank we remain committed to our vision to become the World’s Most Respected African Bank and Africa’s Gateway to the World. The success of our US$500 million Senior Unsecured Eurobond is yet another stride towards the realisation of that vision and underscores our investors’ confidence in the Access Bank story. We are pleased with the diversity of the order book and the success of this issuance further strengthens our resolve to deliver on our strategic objectives.’’

What you should know:

  • The Senior Eurobond is a 5-year unsecured note under the Bank’s $1.5billion Global Note programme
  • Absa, Barclays Bank, JP Morgan and Standard Chartered acted as Joint Bookrunners on the transaction, and Chapel Hill Denham and Rand Merchant Bank acted as Financial Advisors and Joint Bookrunners.

In case you missed it:  Nairametrics had earlier reported plans by the financial giant to launch the 5-Year Senior Unsecured Eurobond. The recent development is following an imminent retirement of the Bank’s $300 million senior bond issued in 2016 and due for repayment in October, 2021. With the restrictive FX policy stance of the CBN, the lender hopes to optimize this offering to refinance its debt.

Access Bank holds HY 2021 Investors Presentation.

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Access Bank Plc held its Half Year (HY) 2021 results presentation to investors and analysts. Below are the facts to the figures;

  • Gross revenue grew by 14% YoY to N450.6bn, comprising of 71% in interest income and 29% in non-interest income. The Group explained that the strong and diversified revenue growth were driven by expansive retail banking growth as evident by the increased velocity of transactions, well executed trading strategy, optimizing value chain of wholesale banking customers, prioritizing margin growth through efficiencies, and delighting the customer at every touchpoint.
  • Interest income grew by 30% YoY, due to the improved yield environment and a growth in interest on loans and advances to customers, which partly cancelled out the decline in cash and cash equivalents.
  • In its retail banking division, the bank recorded over 42million customers, opened 1.3 million accounts under its agency banking initiative, recorded 75, 231 registered agents nationwide and attracted about N1.37 trillion in savings account deposits during the period under review.
  • The bank also showed resilience during the period as its assets yields increased by 80bps YoY to 10.3%. Net interest margin increased by 157bps YoY to 6.4%, while Cost of Funds (CoF) decreased by 80bps YoY to 2.9%.
  • Operating expense grew by 9% YoY to N189.8bn due to enlarged franchise following the acquisitions in Kenya, Mozambique, South Africa and Zambia.
  • The group maintained strong asset quality relative to peers with NPL ratio stable at 4.3% in June 2021. (December 2020: 4.3%)
  • Digital loans worth N68bn were disbursed during the period.

For more information about the Investors presentation, click HERE.

 

Stanbic Africa Holdings acquires additional stakes in its Nigerian unit worth N194.4m.

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Stanbic Africa Holdings Limited (SAHL), a wholly-owned subsidiary of Standard Bank Group Limited, has increased its stakes in Stanbic IBTC Holdings PLC, a company trading its stocks on the Nigerian Exchange Limited (NGX).

According to a statement signed by the secretary of Stanbic IBTC Holdings Plc, Chidi Okezie, and filed with the Nigerian Exchange Limited (NGX), SAHL paid about N194.4 million to acquire the additional equities.

The breakdown of the transaction which occurred in Lagos on Monday showed that SAHL acquired additional 5 million units of Stanbic IBTC shares at a unit price of N38.88, amounting to N194, 400,000.

What you should know about Stanbic Africa Holdings Limited (SAHL)

  • Stanbic Africa Holdings Limited (SAHL) is an unlisted, wholly owned subsidiary of Standard Bank Group Limited (SBG). SAHL is registered in the United Kingdom and is the holding company for majority of SBG’s African subsidiary banks.
  • As at 30th of June 2021, the financial services holding company owned about 7,443,450,299 units of shares translating to about 67.02% of Stanbic IBTC total shareholdings.
  • The recent transaction will raise the total shareholdings of the financial services holding company to 7,448,450,299 units, translating to 67.09%.

Stanbic IBTC Holdings Plc is currently trading at N39 per share on the floor of the Nigerian Exchange Limited (NGX).

 

For more information about the disclosure, click HERE.

 

 

 

2021 HY Results: Fidelity Bank grows half year profit by 71% to N19.31 billion.

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Fidelity Bank Nigeria Plc released its interim results for the half year period ended June 30, 2021.

  • Gross earnings for the period under review totalled N112.3 billion.(+6.2% YoY)
  • Net interest income of N50.3 billion. (+4.1% YoY)
  • Personnel expenses totalled N11.1 billion. (-8.9% YoY)
  • Customers deposit at the period stood at N1.98 trillion
  • Profit for the period was N19.31billion. (+70.8% YoY)
  • Earnings per share of 67 kobo Vs 39 kobo YoY.
  • No dividend was announced in the period.

See link to results.