Banking Briefs
Additional listing of scheme shares increased Access Bank’s total outstanding shares from 28.93 billion ordinary share to 35.545 billion
THE Access Bank has become one of the six most capitalised financial institutions in Nigeria with the listing of the merger shares and the delisting of Diamond Bank. The Nigerian Stock Exchange, NSE, listed 6.617 billion ordinary shares of 50 kobo each issued as consideration to shareholders of the defunct Diamond Bank in the name of Access Bank Plc.
The additional listing of scheme shares increased Access Bank’s total outstanding shares from 28.93 billion ordinary shares of 50 kobo each to 35.545 billion ordinary shares of 50 kobo each. With the listing of the new merger shares allocated to shareholders of the defunct Diamond Bank, the NSE also simultaneously delisted the entire paid up shares of Diamond Bank totalling 23.16 billion ordinary shares of 50 kobo each.
The listing and delisting followed the approval of the National Council of the NSE, after the banks had completed the due diligence and merger process including approvals of their shareholders, approvals of the regulators, sanctions of the Federal High Court, payments of considerations and allocation of the relevant scheme shares.
Meanwhile, Access Bank has also listed its N15 billion green bond on the NSE and FMDQ OTC Securities Exchange. The listing followed approval of the bond by the Securities and Exchange Commission, SEC. The green bond is the first of its kind to be issued by an African corporate and represents a major milestone in the development of the local green finance market.
The five-year fixed rate senior unsecured N15 billion Green Bond was awarded an Aa- rating by Agusto & Co, the underlying framework verified by PwC (UK) and the bond was certified by the Climate Bonds Initiative as having met the global climate bonds standard. The offer for the green bonds was achieved by way of a book build which was fully subscribed. The bonds priced at a coupon of 15.5 percent, with participation from a wide range of asset managers and pension fund administrators.
The listing of the bond came on the heels of the completion of the bank’s merger with Diamond Bank and the launch of its new brand identity that fuses the bank and Diamond Bank’s visual identities symbolizing their shared philosophy. Herbert Wigwe, group managing director, Access Bank Plc, said the green bond issuance highlights the bank’s commitment to sustainability and its status as a pioneer in green financing in both the domestic and international capital markets.
He noted that the bond comes amidst a global drive for responsible and sustainable green financing and will allow the financing of new loans and refinancing of existing loans in accordance with the bank’s green bond framework. He said the green bond will support projects directed at flood defense, solar generation facilities and agriculture.
“At Access Bank we are a pioneer in both domestic and international capital markets, leading the way with our commitment to sustainable banking. We hope that this bond issuance inspires other African companies to support the long-term development of the green finance market whilst simultaneously realizing the growth potential of the fast-developing low carbon economy,” Wigwe said.
– Apr. 5, 2019 @ 15:49 GMT |
Tags: Access Bank now among most capitalised financial institutions in Nigeria
