Access Bank Boosts Capital by ₦351 Billion, Targets Global Markets

Access Bank Plc has successfully secured ₦351 billion through a rights issue, significantly enhancing its capital base as it gears up for international expansion.

The bank disclosed that its share capital now stands at ₦600 billion, surpassing the Central Bank of Nigeria’s (CBN) minimum requirement for banks with international licenses by 20%. This fundraising effort has received the necessary regulatory approvals from both the CBN and the Securities and Exchange Commission (SEC).

According to the bank, the additional capital will facilitate its strategic growth into key markets, including Morocco, Egypt, and the United States. Access Bank aims to double the share of its assets outside Nigeria by 2027, aligning with its ambitious international expansion goals.

The rights issue forms part of the bank’s broader plan to raise $1.5 billion, a critical step in achieving its recapitalization target in response to CBN’s new capital requirements.

Earlier this year, the CBN introduced a recapitalization directive, increasing the minimum capital requirements for commercial, merchant, and non-interest banks. Financial institutions have been given a 24-month window, from April 1, 2024, to March 31, 2026, to comply with the new mandate.

Access Bank had previously received shareholder approval on April 20 to raise $1.5 billion from both local and international capital markets. This move underscores the bank’s commitment to strengthening its financial position and expanding its global footprint in the coming years.

The successful capital raise not only bolsters Access Bank’s regulatory compliance but also positions it to deliver on its mission of becoming a leading financial institution in Africa and beyond.