Access Holdings Plc, one of Africa’s premier financial services groups, has initiated its N351 billion Rights Issue, a strategic move aimed at reinforcing its financial base and funding organic growth.

The Rights Issue is part of Access Holdings’ broader Capital Raising Programme, targeting up to $1.5 billion. This initiative is intended to support the working capital requirements of the Group’s banking and non-banking subsidiaries.

Bolaji Agbede, Acting Group Chief Executive Officer of Access Holdings Plc, commented on the launch, stating: “The commencement of the Rights Issue subscription is an important step in our growth strategy and capital raising plans, reinforcing our financial strength and accelerating our strategic ambitions. This process is crucial for propelling us towards our goal of becoming one of the top 5 financial institutions in Africa by 2027. We are confident that this exercise will solidify our position as a market leader and drive sustainable growth for years to come.”

The Rights Issue offers 17,772,612,811 ordinary shares of N0.50 each at N19.75 per share. Shareholders are entitled to one new ordinary share for every two existing ordinary shares held as of Friday, 7 June 2024. Chapel Hill Denham Advisory Limited is the lead issuing house, with Atlas Registrars Limited serving as Registrars to the Offer.

Currently operational in 22 countries worldwide, including 15 in Africa, Access Holdings has built a reputation as one of the continent’s most reliable financial performers over the past two decades. The Group’s financial results for the year ending December 31, 2023, highlighted a 335 percent increase in pre-tax profit to N729 billion and an 87 percent rise in gross earnings to N2.59 trillion.

In addition, Access Holdings rewarded its shareholders with a final dividend of N1.80 per N0.50 ordinary share for the 2023 financial year, marking a 28 percent increase from the previous year.