Access Holdings Extends N351bn Rights Issue

Access Holdings Plc has extended the acceptance period for its ongoing N351.02 billion rights issue.

Initially set to close on August 14, 2024, the period has now been extended to August 23, 2024, following the approval of the Securities & Exchange Commission (SEC).

Access Holdings, on July 8, 2024, commenced its rights issue offers of 17.773 billion ordinary shares of N0.50 each at N19.75 per share.

The offer was issued on the basis of one new ordinary share for every two existing ordinary shares held as of June 7, 2024.

In a statement signed by the Group’s company secretary of Access Holdings, Sunday Ekwochi said that “the decision is in response to the recent nationwide protest that disrupted operations of businesses and individuals across Nigeria and to provide shareholders with ample opportunity to subscribe to their rights.

“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 said.

Access Holdings stated that the proceeds from the issue will be used to enhance Access Bank’s capital adequacy, in compliance with the regulatory capital requirements, thereby deepening the Bank’s ability to withstand systemic shocks; and strengthen its fortress balance sheet, allowing it to meet its and other banking subsidiaries’ growth needs, in line with the Group’s medium-term strategic objectives.

Chairman of Access Holdings, Aigboje Aig-Imoukhuede stated that “Access Holdings continues to improve on its strong foundation of operational and financial excellence. The Group’s release year-end 2023 audited financials showed a robust 307 per cent growth in profit after tax to N619.32 billion, despite the challenging economic and regulatory operating environment.

“This positive indicator signals the success of our African expansion strategy, as we continue our journey to building a globally connected community and ecosystem inspired by Africa for the world.”

Speaking to shareholders, he said, “by accepting your rights, you will be making a strong statement regarding your commitment to ensuring that Access Holdings is well-positioned to achieve its strategic growth objectives. I therefore strongly recommend that you take advantage of the opportunities presented by this rights issue.”