Access Bank management has now secured approval from shareholders to raise fresh capital for its recapitalization.
The bank’s management had prior to its annual general shareholder's meeting which was held on Tuesday 12th December, distributed a circular to the stakeholders proposing to raise Ghc300 million from the capital market.
The Access Bank management in the notice, claimed that the move was part of its effort to boost the institution’s capital base: ahead of next year – 2018’s deadline set by the Bank of Ghana (BoG) for meeting the new minimum capital requirement of Ghc400 million for the country’s commercial banks.
{loadmodule mod_banners,nativeads}
In a similar development, there are speculations that Access Bank is also considering the issuance of a five-year bond to mob-up at least Gh¢150 million in private placement or public offers that would be traded on the country’s Fixed Income market.
Although the second of its kind after HFC Bank, the move by Access Bank forms part of a series of measures adopted by various banking institutions in the country following the announcement of the new minimum capital requirement by Ghana's central bank: re-branding, proposed mergers, public offers, among others.