Key Points
- Access Bank raised $228 million to meet regulatory capital requirements.
- Expansion plans include Morocco, Egypt, and the United States.
- The bank targets doubling international asset share by 2027.
As it pursues development aspirations, Access Bank Plc, Nigeria’s largest lender by assets, raised 351 billion naira ($228 million) in a rights sale to meet regulatory requirements and enhance its capital base.
Access Bank raises $228 million in capital through rights offer
According to a statement released by the lender on Wednesday, the bank’s share capital now stands at 600 billion naira, which is 20% more than the minimum required by international banks doing business in Nigeria.
The capital increase has been approved by the Securities and Exchange Commission and the Central Bank of Nigeria.
Access Bank aims to double international assets by 2027
The new investment would help Access Bank achieve its goal of doubling its share of assets outside of Nigeria by 2027 by entering markets including Morocco, Egypt, and the US.
The bank’s $1.5 billion capital-raising plan includes the rights sale in order to meet the central bank’s mandate that big lenders raise their capital base to 500 billion naira by March 2026.
As stated by Business day, after aggressive expansion Access Bank, which is owned by Access Holdings Plc, now operates in 23 countries. In order to grow in South Africa, it announced last month that it will pay 2.8 billion rand ($159 million) to acquire Bidvest Bank Holdings Ltd.
In Lagos, Access Bank’s stock has increased 6.7% so far this year after more than doubling in 2023.
