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Access Bank Group

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Access Bank Group
Company typePrivate
Nigerian Stock Exchange: ACCESS
ISINNGACCESS0005
IndustryFinancial services
Founded1989; 35 years ago (1989)
HeadquartersVictoria Island, Lagos
Lagos State, Nigeria
Key people
Aigboje Aig-Imoukhuede
Group Chairman[1]
Bolaji Agbede
Acting Group Managing Director & Acting Group CEO
ProductsBanks, Mortgages Investments
Total assetsUS $22.419 billion[2]
(NGN: 36.5 trillion) (30 June 2024)
Number of employees
28,121+ (2021)
Websitewww.accessbankplc.com

Access Bank Group is a financial services conglomerate, headquartered in Nigeria, with subsidiaries in Angola, the Democratic Republic of the Congo, Ghana, Ivory Coast, Kenya, Nigeria, Rwanda, The Gambia, Guinea, Cameroon, Sierra Leone, Mozambique, Botswana, South Africa, Tanzania, Uganda, Zambia, France and the United Kingdom. The group also maintains representative offices in China, India, Lebanon and United Arab Emirates.

In May 2023, the bank group opened an operational banking subsidiary in Paris, France. It is reported that the French subsidiary will first focus on funding trade finance between France and francophone Africa, before opening subsidiaries in French-speaking Africa.[3] As of July 2021, the group serviced in excess of 42 million customers[4] in Africa.[5][6] After the merger of Access Bank Plc. and Diamond Bank on 1 April 2019, Access Bank Plc is now Africa’s largest bank by customer base, and the largest bank in Nigeria by assets.[7]

Overview

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As of 30 June 2024, Access Bank Group announced total assets of NGN 36.5 trillion (approx. US$22.419 billion), with shareholders' equity of NGN 2.8 trillion (approx. US$1.72 billion).[2] As of that time, the group maintained operational banking subsidiaries in 20 countries in Sub-Saharan Africa, Europe and the Middle East.[2]

Acquisition of Diamond Bank

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In 2018, Access Bank Nigeria, which accounts for approximately 75 percent of the groups assets, agreed to merge with Diamond Bank, another Nigerian commercial bank that was struggling to maintain regulatory capital ratios.[8][9] The transaction required regulatory and shareholder approval from both banks.[10] The merger was completed in March 2019. The combined bank retained the name Access Bank Nigeria.[11]

Recent events

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On 24 October 2021, Access Bank announced it has entered a binding pact to merge its Zambian unit with African Banking Corporation Zambia Limited in a planned reformation coming barely 9 months after it bought the subsidiary. The agreement confirms Access Bank's will to broaden its presence in the Southern African country to 70 branches and agencies, customer base to 300,0000, and total assets with a value in the neighbourhood of US$1 billion through the combined entity.[12]

On mid-October 2021, Access Bank announced that the group has finalised the acquisition of 78.15 percent shareholding in the African Banking Corporation of Botswana, otherwise known as BancABC Botswana.[13]

On 4 October 2021, the group issued a $500 million Eurobond, priced at 9.125 percent. According to Access Bank Group, this additional Tier One Eurobond which is issued under the bank's medium term note programme is a Basel III compliant Perpetual Non-Call 5.25-year Subordinated Note to be heated on the London Stock Exchange. The Eurobond may be called anytime from 7 October 2026, subject to conditions including the Central Bank of Nigeria's approval.[14]

History

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The bank was founded in 1988 and incorporated as a private commercial bank in February 1989. It actually began operations on 11 May 1989, establishing its first office located at Burma Road in the Apapa district of Lagos.

In March 1998, Access Bank changed its legal status and became a public limited company and in the same year, on 18 November, entered the Nigeria Stock Exchange.

In 2002, Aigboje Aig-Imoukhuede was appointed managing director and Herbert Wigwe, Deputy Managing Director, with the mandate of raising the bank from 65th place to the top 10 in 2007.

In 2003, Access Bank raised more than NGN 14.5 billion with a public offering, registering a 133% oversubscription. The same year, the bank received the Hewlett Packard Award for the best implementation of a basic banking application (Flexcube 6.2) in West Africa. The following year, Access Bank acquired Capital Bank and Marina Bank through a merger by absorption and integration.[15]

During 2007, Access Bank became the first Nigerian bank to introduce Visa credit cards in Nigeria[16] and achieved EMV certification for the multi-card ATM services platform. It also received funding from the Belgian Investment Company for Developing Countries. Access Bank successfully concluded its 3rd public offering in 2008, raising more than US$1 billion.

In 2009, Access Bank merged with the Intercontinental Commercial Bank (ICB)[17] and was listed the same year (2012)[18] on the LSE (London Stock Exchange). A 350 million dollars Eurobond was also successfully raised in parallel.

During 2018, Access Bank announced its intention to acquire Diamond Bank, which had a portfolio of 29 million customers, for US$235 million. The group also announced a collaboration with 25 global banks to develop the principles of sustainable banking and align the sector with the United Nations sustainable development goals, and the launch of Access WhatsApp Banking. Completion of the merger with Diamond Bank was announced in March 2019.

In March 2021, Access Bank announced the acquisition of a stake in Grobank, a South African bank, for US$60 million.[19]

In March 2024, Access Bank Group signed binding contracts to acquire National Bank of Kenya, a subsidiary of the Kenya Commercial Bank Group. The transaction which requires regulatory approval in Kenya and Nigeria, is expected to conclude in Q4 2024.[20]

Expansion plan

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In Africa

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In early 2021, Access Bank announced that it had identified eight new African countries for potential expansion, seeking to benefit from a continent-wide free trade agreement. The target markets are Morocco, Algeria, Egypt, Côte d'Ivoire, Senegal, Angola, Namibia and Ethiopia, which would extend the international presence of the bank to 18 countries. Access Bank is expected to establish offices in some countries and in others, should partner with existing banks and leverage its digital platforms to provide services to clients.[21]

In January 2024, Access Bank made binding commitments, subject to regulatory approval in Nigeria and Uganda, to acquire 80 percent shareholding in Finance Trust Bank, a Ugandan commercial bank that specializes in lending to women customers and women-led businesses.[22]

Acquisition of selected assets of Standard Chartered in five African countries

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In July 2023, Access Bank Group reached binding agreements with Standard Chartered Plc (SCB) of the United Kingdom for the Access group to acquire SCB shareholding in subsidiaries domiciled in Angola, Cameroon, Gambia and Sierra Leone. Access will also buy SCB's consumer, private & business banking business in Tanzania. The deal requires regulatory approval in the United Kingdom, Nigeria and in each of the five respective subsidiary domiciles. Completion of the acquisition is expected during H2 of 2024.[23][24][25]

In France and Europe

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In July 2021, the French government manifested its will to strengthen its ties with Nigerian captains of industry including Herbert Wigwe, the group managing director of Access Bank, and announced that an agreement had been signed which would allow the group to settle in France.[26] This agreement confirms the group's vision and desire to extend its influence and activities to all of France and gradually to all of Europe. The opening of Access Bank in Paris will be managed by the group's London branch, headed by Britain's Jamie Simmonds. The new offices in France will focus on trade finance. The Nigerian bank is also considering embarking on investment and wealth management services.[26]

Member companies

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As of October 2024 the member companies of Access Bank Group include but are not limited to the following:

Country Name Citation
 Angola Access Bank Angola [23]
 Botswana Access Bank Botswana [23]
 Cameroon Access Bank Cameroon [23]
 Democratic Republic of the Congo Access Bank Congo [27]
 France Access Bank France [3][28]
 Gambia Access Bank Gambia
 Ghana Access Bank Ghana
 Guinea Access bank Guinea [29]
 Ivory Coast Omnifinance Bank [27]
 Kenya Access Bank Kenya
 Mozambique Access Bank Mozambique [30]
 Nigeria Access Bank Nigeria
 Rwanda Access Bank Rwanda [6][27]
 Sierra Leone Access Bank Sierra Leone [23]
 South Africa Access Bank South Africa
 Tanzania Access Bank Tanzania [23][31]
 Uganda Access Bank Uganda (Requires regulatory approval) [32]
 United Arab Emirates Access Bank United Arab Emirates
 United Kingdom Access Bank United Kingdom
 Zambia Access Bank Zambia [33]

Location

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Access Bank headquarter in Lagos.

The headquarters of Access Bank Group were previously located at Plot 999c, Danmole Street, Off Adeola Odeku/Idejo Street, Victoria Island, Lagos, Nigeria.

In February 2020, the headquarters were relocated to Access Tower, 14/15, Prince Alaba Oniru Road, Oniru, Lagos, Nigeria.[34] The geographical coordinates of the banking groups headquarters are: 06°26'00.0"N, 03°26'36.0"E (Latitude: 6.433459, Longitude: 3.445069).[35]

See also

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References

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  1. ^ Deborah Dan-Awoh (13 March 2024). "Access Holdings board of directors appoints Aigboje Aig-Imoukhuede as Chairman". Nairametrics. Lagos, Nigeria. Retrieved 15 March 2024.
  2. ^ a b c MM Partners (September 2024). "Access Holdings Grows Revenue To ₦2.2 Trillion In H1 2024". Nairametrics. Lagos, Nigeria. Retrieved 15 October 2024.
  3. ^ a b Radio France Internationale (16 May 2023). "Leading Nigerian bank opens French subsidiary in Paris". Radio France Internationale. Paris, France. Retrieved 21 May 2023.
  4. ^ "Access Bank grows customer base to 42 million". punchng.com. 20 January 2021. Archived from the original on 20 January 2021.
  5. ^ James Anyanzwa (3 November 2019). "Nigeria's biggest lender enters EA market to grow African footprint". The EastAfrican. Nairobi. Retrieved 31 August 2020.
  6. ^ a b Faith Ikade (3 June 2020). "Access Bank Becomes Major Shareholder In Its Rwanda Subsidiary". Lagos: Ventures Africa. Retrieved 31 August 2020.
  7. ^ "Access Bank takes top spot as Nigeria's biggest bank by asset". premiumtimesng.com. April 2021. Archived from the original on 1 April 2021.
  8. ^ Zainab Babalola (22 January 2020). "Diamond and Access Bank Merger - Changing Financial Landscape in Nigeria". Ikoyi, Lagos, Nigeria: TNP Nigeria. Retrieved 31 August 2020.
  9. ^ "Nigeria's Access Bank to buy rival Diamond Bank to create Africa's 'biggest bank'". Business Daily Africa. Nairobi. Reuters. 19 December 2018. Retrieved 31 August 2020.
  10. ^ Chijioke Ohuocha (5 March 2019). "Nigeria's Access Bank gets approval for Diamond Bank takeover". Reuters.com. Retrieved 31 August 2020.
  11. ^ Aderemi Ojekunle (20 March 2019). "Access Bank, Diamond Bank successfully complete merger to create one of Africa's largest banks". Ikeja, Lagos, Nigeria: Pulse Nigeria. Retrieved 1 September 2020.
  12. ^ "Access Bank Plc announces proposed merger with Zambian African Banking Corporation". nairametrics.com. 26 October 2021. Archived from the original on 26 October 2021.
  13. ^ "Access Bank Acquires 78.2 Percent Stake In BancABC Botswana". 13 October 2021. Archived from the original on 13 October 2021.
  14. ^ "Nigeria's Access Bank issues $500 mln Eurobond, priced at 9.125% -bookrunner". Reuters.com. 4 October 2021.
  15. ^ "Merger: Access Bank set to raise $250m Tier 11 capital in 2019 - Premium Times Nigeria". 19 December 2018. Retrieved 21 June 2022.
  16. ^ "Access Bank introduces the first VISA credit card in Nigeria". proshareng.com. 20 October 2007. Archived from the original on 1 November 2021.
  17. ^ "Access Bank, Intercontinental to complete merger March 2012". vanguardngr.com. 7 December 2011. Archived from the original on 7 December 2011.
  18. ^ "Access Bank Group | notfound".
  19. ^ "Nigeria's Access Bank buys $60 million stake in South Africa's Grobank". Reuters.com. 30 March 2021. Archived from the original on 30 March 2021.
  20. ^ Taofik Salako (21 March 2024). "Access Bank acquires Kenya's major bank". The Nation (Nigeria). Mushin, Lagos State, Nigeria. Retrieved 25 June 2024.
  21. ^ "Nigeria's Biggest Bank Picks Eight Countries for Expansion". Bloomberg.com. 19 January 2021. Archived from the original on 11 February 2021.
  22. ^ Edna Mwenda (27 January 2024). "Nigeria's Access Bank acquires Ugandan lender". The EastAfrican. Nairobi, Kenya. Retrieved 29 September 2024.
  23. ^ a b c d e f Yousef Saba and Jason Neely (14 July 2023). "StanChart to sell five sub-Saharan Africa businesses to Access Bank". Reuters. Retrieved 28 July 2023.
  24. ^ Caleb Nnamani (14 July 2023). "Access Bank to acquire Standard Chartered's subsidiaries in sub-Saharan Africa". TechCabal. Lagos, Nigeria. Retrieved 31 July 2023.
  25. ^ "Access Bank Plc enters into acquisition agreements with Five Standard Chartered Shareholdings in Africa". The Citizen (Tanzania). Dar es Salaam, Tanzania. 26 August 2023. Retrieved 27 August 2023.
  26. ^ a b This Day (18 July 2021). "Herbert Wigwe Set to Take Access Bank to France". This Day Nigeria. Lagos, Nigeria. Retrieved 21 May 2023.
  27. ^ a b c Tume Ahemba (20 May 2008). Louise Ireland (ed.). "Nigeria's Access Bank Buys Three Foreign Banks". Reuters. Retrieved 17 October 2024.
  28. ^ David Ijaseun (2 June 2023). "Access Bank unveils initiative to ease Nigeria-France trade". Business Day (Nigeria). Lagos, Nigeria. Retrieved 12 June 2024.
  29. ^ Diala, Sam (23 July 2023). "Access Corporation Plc: 5-Year Strategic Plan Shows Early Signs of Accomplishment". THE WILL.
  30. ^ Adenuga, Adepeju (19 May 2021). "Access Bank acquires Mozambique's African Banking Corporation". Punch Nigera.
  31. ^ "Access Bank completes acquisition of BancABC Tanzania, now operating as Access Bank Tanzania Limited". The Citizen (Tanzania). Dar es Salaam, Tanzania. 25 September 2024. Retrieved 8 October 2024.
  32. ^ Muhereza Kyamutetera (26 December 2023). "Nigeria's Access Bank Plc Set To Acquire Uganda's Finance Trust Bank". CEO Magazine Uganda. Kampala, Uganda. Retrieved 12 June 2024.
  33. ^ Lusaka Times (7 August 2020). "Access Bank acquires Cavmont Bank Ltd". Lusaka Times. Retrieved 1 September 2020.
  34. ^ Abiola Odutola (15 February 2020). "Access Bank moves headquarters to Oniru, Lagos". Ikeja, Lagos, Nigeria: Nairametrics.com. Retrieved 31 August 2020.
  35. ^ "Location of headquarters of Access Bank Group" (Map). Google Maps. Retrieved 31 August 2020.
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