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Shareholders endorse Access Holdings Capital structure

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Shareholders endorse Access Holdings Capital structure

Shareholders of Access Holdings (Access Corporation) Plc, have approved the transfer of 35.545 billion shares in the issued and paid-up capital of Access Bank to the Holding Company.

The shareholders at Access Holdings Extra General Meeting held yesterday in Lagos adopted the statutory report of the Holdings in compliance with the provisions of Section 235 of the Companies and Allied Matters Act (CAMA).

According to the resolution passed at the bank’s Ordered General Meeting held on December 16, 2021, during which the Scheme of Arrangement was approved by the Bank’s shareholders. In line with the scheme of arrangement between Access Bank and holders of its fully paid-up ordinary shares of the Bank were exchanged for 35.545 billion of 50 kobo each in Access Corporation.

Speaking to shareholders, the Group chief executive of the Corporation, Herbert Wigwe, said, the Holding company, in its bid to become Africa’s gateway to the world, is set to launch a new company, Hydrogen.

Wigwe noted that, with the launch of the subsidiary, Access Holdings would be supporting intra-Africa trade, adding that in partnership with some DFIs, Hydrogen would be responsible for payment across the continent.

“We share the fact with you that we wanted to be known as Africa’s gateway to the world and what that meant was that we are going to be responsible for payments across the entire continent, irrespective of where you are and where you’re transferring money from. We are going to support intra-African trade, which is a big problem today,” he said.

According to Wigwe, “the bank cannot do this alone because this is very specialist skills and it will allow us to be able to ensure there are settlements even in countries where we don’t have a physical presence. The idea is that wherever you are in the world if you’re making a transfer to anybody across the continent, one out of every three transactions that come into the continent will be settled on Access Bank’s platform.”

He, however, confirmed to shareholders that though this business would generate commissions and fees it would not lead to significant credit risk, saying, “they do have operational risk, obviously, but we do have strong compliance process and technology platform which we will enhance to ensure that operational risks will be significantly mitigated.”

Speaking further, the Access Holding Group CE said, plans are underway for the establishment of more subsidiaries, among which are Insurance Brokerage, and Lending platform targeted at youths, among others.

He assured the shareholders that the Corporation would increase its earnings base as it continues to spread its tentacles across the continent.

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