Access Bank: Building strong brand, empowering women entrepreneurs

Managers of 26 years old Access Bank are acting the bank’s strategic growth document religiously. A few years ago, they set out to be one of the top three banks in the Nigerian market. This was a bold statement which they held themselves accountable to. They were much aware that they would require capital to be able to drive that expected growth.

With its vision already set, the bank in the face of planned 2015 election and the resultant fear, uncertainty and insecurity in the market, last year approached the capital market and raised N41.8 billion through rights issue.

Due to the fear and skepticism, the international investors, who hold 35 percent equity stakes in the bank, did not fully pick up their rights. According to the bank’s Executive director, commercial banking, Roosevelt Ogbonna, foreign investors only contributed N290 million while domestic investors accounted for N40.7 billion. To him, the subscription pattern of the rights issue has further underscored the wide acceptance of the bank as a value stock among Nigerian investors.

The new equity fund from the rights issue has placed the bank in a stronger position. As Ogbonna said the new fund has further pushed Access Bank within the top three banks in terms of capital.

“If you understand how capital works for banks, it gives further impetus to engage the market, to take advantage of the opportunities that are out there, to lend more money and engage new customers. That is what will happen in the second half of the financial year. We are now a much stronger bank, larger capital base”, he told a group of journalists recently in Lagos.

Also embedded in that strategic growth document was floating of $400 million Euro bond which was successfully executed last year. “We were celebrated especially going in to the US market to raise the bond” even when Europe was facing economic crisis, Ogbonna said.

He further hinted that Access Bank plans to raise additional capital to complete its three-level capital raising programme. This, he said would be through a unique local currency instrument that will appeal to various investors’ groups. Though the bank is yet to make public the timing and amount of the new issue, but Ogbonna said the features will be unique in structure, which will make the new issue first-of-its-kind in the Nigerian financial market.

The bank is confidently marching ahead and as the Group Managing Director, Access Bank, Herbert Wigwe, once said, “We are putting in place the building blocks for our future. The capital raised will allow us to retain our place among Nigeria’s best-capitalised banks and underscores our continued commitment to prudent risk management as we seek growth opportunities both in Nigeria and abroad.”

As the bank continues in its growth trajectory, it is creating women inclusive programmes as further brand building initiatives. Under its W’ Initiative, the bank has empowered women entrepreneurs of various sectors of the economy with over N11 billion loans advances in one year.

Victor Etuokwu, executive director, personal banking, said in Lagos that the bank celebrate women who have defined all odds to achieve success. In this regard it has created four awards category for women whose contributions to the $510 billion Nigerian economy are exceptional.

The first category is women entrepreneurship of the year award. This is award for women entrepreneur who has a well defined running business. The second category is young professional of the year award. This award is for women between 25 and 35 years who stands out in her profession. The third and forth categories are seasoned professional of the year award and amazon of the year award. While seasoned award will go to a woman who has seen it all and who has done great things, the amazon award will be clinched by a special woman who was able to combine family and business effectively.

The award according to Access Bank’s executive director, personal banking, Victor Etuokwu is part of women empowerment and inclusive programmes of Access Bank. Presently the bank is requesting for nominations of women that merit the criteria for any of the award categories.

W’ Initiative of the bank offers privileges to women and their families to a variety of products, including access to a comprehensive range of loan products and credit facilities; access to the ‘W’ community with helpful advice on family and financial matters; home and family articles and details of special offers; and access to a wide range of discounts, special offers and freebies on health, beauty and fitness.

Victor who said that the bank has about 1.5 women customers out of a total of 7 million customers further said that during the award, the bank would also launch a book about 100 women who have helped to shape the Nigerian economy.

The bank is on a long brand building strategy as it it strives to deliver sustainable economic growth that is profitable, environmentally responsible and socially relevant.

Daniel Obi