Access Holdings to raise N351bn via Rights Issue

By Chukwuma Umeorah

Access Holdings Plc has unveiled plans to raise N351 billion through a Rights Issue, announced during a formal signing ceremony on Tuesday.

Under this Rights Issue, Access Holdings is offering 17,772,612,811 ordinary shares at N0.50 each, priced at N19.75 per share. Shareholders will have the opportunity to purchase one new ordinary share for every two existing shares held as of 7 June 2024.

Pending approval from the Securities and Exchange Commission (SEC), the Acceptance and Application Lists for the Rights Issue will open on Monday, 8 July 2024, and close on Thursday, 8 August 2024.

The Acting Managing Director/CEO of Access Holdings Plc, Bolaji Agbede, stated at the ceremony, “The Rights Issue is a significant step in delivering our 2023–2027 strategic plan. The additional capital will enable us to maximise emerging opportunities and deliver long-term value to our shareholders.”

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She added that the move aims to enhance the group’s working capital requirements, supporting both its banking and non-banking subsidiaries.

The plan to raise additional capital through the Rights Issue follows the approval by shareholders at the company’s second Annual General Meeting (AGM) on 19 April 2024, where they endorsed a Capital Raising Programme totalling approximately $1.5 billion, including the Rights Issue initiative.

Chapel Hill Denham is leading the issuance process, with Atlas Registrars Limited acting as Registrars. The joint issuing houses include Coronation Merchant Bank, Stanbic IBTC Capital, Vetiva Advisory Services, Greenwich Merchant Bank, FCSL, First Ally Capital, FCMB Capital, Renaissance Capital Africa, and Meristem Capital.