FBNH Shareholders Approve N14bn Dividend For 2023

The shareholders of FBN Holdings Plc have approved a total dividend of N14.4 billion for the financial year ended December 31, 2023.

They gave the approval at the company’s 12th Annual General Meeting held virtually, yesterday. The approved dividend translated to 40 kobo per share.

Also, the shareholders gave their approval for the appointment of Mr Adebowale Oyedeji as the incoming Group managing director.

Speaking, a non-executive director of FBNH, Dr Alimi Abdul-Razaq, representing the chairman of FBN Holdings, Mr Femi Otedola, said Oyedeji a seasoned professional with a proven track record in the financial sector would succeed Mr Nnamdi Okonkwo at the conclusion of his tenure.

The transition in leadership marks a significant milestone for FBN Holdings as the Board of Directors aims to ensure continuity and drive sustainable growth for the organisation.

Abdul-Razaq said the decision to appoint Oyedeji reflects the board’s confidence in his leadership capabilities and vision for the future of FBN Holdings.

In addition to the current N150 billion right issue, the company sought shareholder’s approval for an additional N350 billion at the AGM.

He said, “it is important to note that these funds will be allocated carefully and strategically to support the bank in achieving its objectives and fulfilling its obligations to its stakeholders.

“The prudent use of these combined funds will enable the bank to strengthen its financial position, enhance its operational capabilities, and better serve its customers and the community at large.”

“This significant capital injection reflects the company’s commitment to sustainable growth and value creation, while also ensuring compliance with regulatory requirements and industry best practices.

“As we move forward with this proposal, we remain dedicated to transparent communication, effective governance, and responsible decision-making to secure the long-term prosperity and success of the firm,” Abdul-Razaq said.

The outgoing GMD, Nnamdi Okonkwo underscored the significance of sustaining the growth as demonstrated in the recently concluded financial report.

He expressed unwavering confidence in the company’s capabilities and assured shareholders of the strategic initiatives already in motion.

“This commitment reflects the leadership’s steadfast dedication to driving the firm towards further success and prosperity, he said.

He said, “today, we have 42 million customers in First Bank flagship operation, we have 15.6 million subscribers on USSD platform, we have 6.6 million mobile phone subscribers. In agency banking, nobody comes near us, we have over 270,000 agents across the country.”

The decision to raise N350 billion will be through various financial instruments and opportunities such as public offerings, private placements, and rights issues in both local and international capital markets.

The pricing mechanisms for these activities will be determined through rigorous valuation methods such as book building processes, ensuring transparency and fair market value.