Access Bank Plc is concluding arrangements for its transition from a commercial banking group to a holding company (holdco).
In a regulatory filing at the weekend, Access Bank confirmed that the Federal High Court (FHC) has sanctioned the scheme of arrangement for the transition.The sanctioning of the scheme by the court rounded off the approving phase of the scheme, allowing the bank to conclude the transaction.
The transition to holdco had earlier been approved by shareholders of Access Bank at a combined physical and virtual court-ordered meeting. The bank had also secured the “no-objection” approval of the Securities and Exchange Commission (SEC) and the Central Bank of Nigeria (CBN).
The transition will enable the group to invest in non-banking subsidiaries, a move that places the first tier bank in a pillar position to expand into a global one-stop financial services group.
Under the transition arrangement, the entire issued share capital of Access Bank comprising of 35.545 billion ordinary shares of 50 Kobo each will be converted into same shares of holdco and distribute to all shareholders of Access Bank on the basis of one share of Access Bank in exchange for one share of the new Access Holdings Plc.
Thereafter, Access Bank Plc will be delisted and Access Holdings Plc will be listed on the Nigerian Exchange (NGX). The immediate members of the holdco will be Access Bank and its subsidiaries including Access Bank (Gambia) Limited; Access Bank (Sierra Leone) Limited; Access Bank (Rwanda) Plc; Access Bank (Zambia) Limited; Access Bank (R.D Congo) S.A.R.L; Access Bank (Ghana) Plc; Access Bank (Guinea) S.A; The Access Bank (UK )Limited; Access Bank (Mozambique) S. A; Access Bank Kenya Plc; Access Bank (South Africa) Limited; and African Banking Corporation of Botswana Limited.
The holdco is, however, expected to make new major investment moves in the next few months, according to insiders with knowledge of board and management strategies.