Business Hilights
Tracking Nigeria's Headline Business News Online

Can Access Bank manage new right issue, Diamond Bank buy over together?

Just as the Nigerian banking industry woke up to the sudden news report of acquisition of embattled Diamond Bank which is expected to be concluded next year, the same bank has signaled fresh move to raise N75 billion from existing shareholders through a rights issue.
Industry followers are however of the view that Access Bank may be biting too much critical issues at a time considering the intricacies involved in bank merger and acquisitions in Nigeria over the years.
It would be recalled that ever since former Skye Bank swallowed a number of banks in the name of merger, its life never remained the same after all.
However, Business Hilights gathered that regulatory filings at the Nigerian Stock Exchange (NSE) indicated that shareholders of Access Bank are scheduled to meet in Lagos on February 1, 2019.
At the meeting, shareholders of Access Bank are expected to consider increase in the authorised share capital of the bank from N20 billion to N35 billion, thus increasing the shares from 38.0 billion ordinary shares of 50 Kobo each and 2.0 billion preference shares of 50 Kobo each to 68 billion ordinary shares of 50 kobo each and 2.0 billion preference shares of 50 kobo each through the creation of 30 billion ordinary shares of 50 kobo each.