SEC Approves Extension of Access Holdings’ Rights Issue Due to National Protests
The Securities and Exchange Commission (SEC) has approved an extension of the rights issue of Access Holdings Plc to August 23, citing the effects of nationwide protests across the country. The financial institution’s initial N351 billion rights issue was scheduled for Wednesday but has been postponed to give shareholders more time to participate.
Under the new arrangement, Access Holdings will issue 17.772 billion ordinary shares at N19.75 each, based on a 1:2 ratio, meaning one new share for every two held as of June 7, 2024. The company’s insiders will be prohibited from trading their shares until the extension period ends.
The decision was made in response to the recent nationwide protests, which disrupted business operations and affected many individuals across Nigeria. The extension aims to provide shareholders with ample opportunity to subscribe to their rights and participate in the rights issue.
“This is an important step in our growth strategy and capital-raising plans, reinforcing our financial strength and accelerating our strategic ambitions,” said Bolaji Agbede, the Acting Group Chief Executive Officer of Access Holdings Plc. “We believe that this execution will propel us towards our goal of becoming one of the top 5 financial institutions in Africa by 2027.”
The company has strict rules in place to limit insider dealing during the extended period, which is subject to the SEC’s Non-Dealing Period on the company’s Audited Interim Financial Statements for the Period Ended June 30, 2024. This period will remain in effect until 24 hours after the publication of the interim financial statements.
The rights issue is part of Access Holdings’ plan to further expand its growth strategies and financial strength. The company aims to become a leading financial institution in Africa, and this move is a crucial step towards achieving that goal.
Note: This article is for informational purposes only and does not constitute investment advice. Always do your own research and consult with a financial advisor before making any investment decisions.
