Abbey Mortgage Bank Transitions to Regional Banking with N100 Billion Boost

Abbey Mortgage Bank has approved plans to raise N100 billion to support its transition from a primary mortgage bank to a regional commercial bank, aligning with the Central Bank of Nigeria’s (CBN) minimum capital requirement of N50 billion.

The bank’s funding strategy includes issuing shares via rights issues and public offers, alongside financial instruments such as global depository receipts, commercial papers, loans, convertible and non-convertible securities, medium-term notes, and bonds. The funds may be raised in tranches, series, or proportions, with terms and interest rates set by the Board, subject to regulatory approval.

Following approval at its 33rd Annual General Meeting (AGM), the Board has been authorized to enter agreements, execute relevant documents, and take necessary steps to ensure a seamless transition. This includes appointing professional advisers, securing regulatory approvals, allotting shares, and listing them on the Nigerian Exchange Group Limited.

Industry experts believe this shift will enhance financial inclusion and provide broader banking services, particularly in underserved areas, positioning Abbey Mortgage Bank competitively within Nigeria’s evolving financial sector