Access Holdings Plc has finalized plans to raise $N351.01 billion through a Rights Issue for existing shareholders.
According to the group, the offer is part of its strategy to improve its working capital, including funding for organic growth for its banking and non-banking subsidiaries.
The Signing Ceremony for the offer took place at Access Tower, Access Holdings’ corporate office in Lagos on Tuesday, June 2, 2024.
Recall at its 2nd Annual General Meeting (AGM), which was held on Friday, April 19, 2024, Access Holdings’ shareholders unanimously backed its plan to execute a Capital Raising Programme of about US$1.5 billion and the subset initiative to raise capital through a Rights Issue of ordinary shares to its shareholders.
Under the Rights Issue, 17,772,612,811 (Seventeen billion, seven hundred and seventy-two million, six hundred and twelve thousand, eight hundred and eleven) ordinary shares of N0.50 each at N19.75 per share based on 1 (one) new ordinary share for every 2 (two) existing ordinary shares held as of Friday, June 7, 2024.
At the signing ceremony, Bolaji Agbede, the Acting Managing Director/Chief Executive Officer of Access Holdings Plc, stated, “The Rights Issue” represents a major milestone in achieving our strategic plan for 2023-2027. The raised capital will empower the company to take advantage of emerging opportunities and deliver lasting value to our shareholders.’’
Chapel Hill Denham is the Lead Issuing House to the Offer, while Atlas Registrars Limited will serve as Registrars through the exercise.
The Joint Issuing Houses are Coronation Merchant Bank, Stanbic IBTC Capital, Vetiva Advisory Services, Greenwich Merchant Bank, FCSL, First Ally Capital, FCMB Capital, Renaissance Capital Africa, and Meristem Capital.
Other parties to the Offer are Coronation Merchant Bank, Coronation Securities, Chapel Hill Denham Securities Limited, FSDH Capital, Cordros Capital, Cowry Securities, First Integrated Capital Management Ltd, Network Capital Ltd, CSL Stockbrokers Limited, Compass Investment & Securities Ltd, PAC Securities Limited, Dynamic Portfolio, Chartwell Securities Limited, Tiddo Securities Limited, and Futureview Securities Limited.
Subject to the Securities and Exchange Commission (SEC)’s approval, the Acceptance and Application Lists for the Rights Issue are expected to open on Monday, July 8, 2024, and close on Thursday, August 8, 2024.
The Rights Circular for the Issue, which contains a Provisional Allotment Letter and the Participation Form, will be mailed directly to the Group’s shareholders. Printed copies of the Participation Form can also be obtained at any Access Bank branch and the offices of the Issuing Houses during the Offer Application Period.
All existing shareholders and prospective investors are encouraged to read the Rights Circular and Prospectus and, where in doubt, consult their Stockbroker, Fund/Portfolio Manager, Accountant, Banker, Solicitor, or any other professional adviser for guidance before subscribing.
