Access Bank, a Nigerian lender with operations in eight other nations, received shareholder approval to raise $1 billion of capital to finance loans for energy and power projects.
The capital may comprise both debt and equity funding, Chief Executive Officer Herbert Wigwe told reporters in Lagos today. He declined to say when the bank would raise capital.
Access Bank plans to increase loans by about 20 percent this year as it targets oil, gas, power and infrastructure projects in Africa’s biggest economy, Wigwe said. The Lagos-based bank may close unprofitable African units after selling businesses in Burundi and Cote d’Ivoire to focus on operations that “add value,” he said. Profit declined 20 percent to 34.6 billion naira ($215 million) last year.
Access Bank shares advanced 1.1 percent to 8.19 naira in Lagos trading, paring this year’s decline to 15 percent. The Nigerian Stock Exchange All-Share Index has declined 6.9 percent over that period.