Access Holdings mulls additional capital to support 5-year strategic plan – Nairametrics

Managing Director, Access Holdings Plc, Mr. Herbert Wigwe
Access Holdings Plc said it will raise more capital outside of its internally generated capital to fund its strategic 5-year (2023-2027) growth plan. 
The Chief Executive Officer of Access Bank, Mr Roosevelt Ogbonna, disclosed this during the presentation of the Access Corporation’s Corporate strategy 2023-2027. 
Planned capital raise: Ogbonna noted that the corporation needs to work with its DFI partners and international financial markets to achieve the capital raise. He said:
Earnings expectations: Meanwhile, the Group Managing Director of Access Holdings Plc, Mr Herbert Wigwe, said that by 2027, the group expects the Nigerian subsidiary would be contributing about 52% of revenues compared to the 82% revenue it contributed to group revenue as of Q3 2022. 
He added that the new verticals will also be contributing 12% of total revenues, as revenues from African Subsidiaries are expected to double over the next 5 years.  
He noted that PBT contributions from Nigeria Bank are expected to reduce from 63% (9M’22) to 33%, while the new verticals are expected to contribute 19% of the profitability by 2027, while African Subsidiaries will contribute 20% as its footprint grows across the Continent. 
Wigwe said the Net Interest Margin (NIM) is expected to be at least 6% in 2027, according to him the growth in NIM will be driven by increased lending within the core Bank and by the growth in LendCo’s business which will typically have higher margins on average.  
African opportunities: Wigwe noted that across Africa, there is an opportunity for Access to extend financial services to the unbanked and deepen its financial services offerings to banked customers. 
Last 5-year scorecard: He noted that during the 2018 – 2022 retail banking growth & wholesale bank, consolidation showed that retail has grown to 52 million customers surpassing the original aspiration of 35 million. 
He said gross revenue grew 25% to N907 billion (from 9M’18 to 9M’22) adding that there has been steady growth across all income lines. 

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