Intercontinental Bank Boss Woos Investors Over N50b Offer
 27th OCT 2006

Vice Chairman/Chief Executive of Intercontinental Bank Plc, Dr. Erastus Akingbola, has urged the investing public to take wise investment decisions capable of guaranteeing their future.
Akingbola said participation in the bank’s ongoing N50 billion public offer would create avenue for them to generate additional income and also enable them possess a huge slice of the impressive returns on investment the bank has consistently delivered since inception.

In an interview with Vanguard, the bank’s chief executive observed that the banking sub-sector has remained most active sector in terms of shares trading despite the general plunge in the indices of performance of blue chips stocks, owing largely to renewed confidence of stakeholders in the industry after the consolidation programme, saying that the trend presents veritable opportunity for discerning investors to have the bank’s shares in their portfolio.

“Our Bank boasts of one of the highest returns on investment in the industry in the last 15 years. We have consistently paid dividends to our shareholders and issued bonus shares six times within the same period. In addition, our shareholders have continued to enjoy huge capital gain on the bank shares. Between 2004 and 2006 alone, cumulative return on investments has climbed to over 230 per cent”, he declared.

The chief executive said that it was as a result of these enviable track records and the need to continuously assist customers and the investing public that the bank secured regulatory approval to absorb over subscription of up to N80 billion for the offer.

A breakdown of the offer shows that Right Issue, which is only for existing shareholders, account for 1.5 billion ordinary shares while the general public will scramble for about 740.7 million shares. The Bank is offering the two grades of shares at a uniform discounted price of N13.50. The current market price of the share at the Nigerian Stock Exchange is N 16.13. The Public offering and Rights Issue, which opened on September 28, will close on November 7, 2006.

Proceeds from the Public offer would be used to finance the bank’s massive expansion drive and deployment of Information Technology (IT) driven services such as ATMs and internet banking services. The fresh funds will also help buoy the bank’s working capital.

Back to Top
Post Your Feedback