Banking
Grant Properties Ltd’s Land Transparently Sold—Sterling Bank
By Dipo Olowookere
Sterling Bank Plc has denied accusations that it illegally sold to its former non-executive director, Mr Yemi Idowu, 10-hectares from the 50-hectare land used as collateral by Grant Properties Limited to obtain an N8 billion syndicated loan-financing.
Sterling Bank was the lead lender in the N8 billion syndicated loan-financing transaction involving three other banks.
Grant Properties Limited, a property development company, is owned by one Chief Olajide Awosedo.
Sterling Bank was accused of cornering the piece of land and sold it to Mr Idowu as a very ridiculous price.
But refuting the allegations, Sterling Bank said, “It is not true that 10 hectares of land was sold to Mr Yemi Idowu.”
It explained that, “The 10 hectares was sold to a company known as the Real Estate Development (RED) Company Limited and the decision to sell the 10 hectares was a joint decision between the consortium of banks (Wema, Skye, Unity & Sterling) and the developer (Grant Properties/Chief Olajide Awosedo) as the proceeds of sale was to be used to refund subscribers of Phase 2 of the project who had become restive due to the failure of the developer to commence work on the project (deliver various housing units with deposit from subscribers in excess of N2.1 billion).
“Sterling Bank could not have singlehandedly sold any part of the land as the security was pledged to the banking consortium that financed the project.
“It is instructive to note that the proceeds of sale of the 10 hectares was passed to Grant Properties/Chief Awosedo for onward transmission to the subscribers that had demanded for a refund.”
The bank also explained that the claim by Grant Properties Limited that a court ruling pronounced the land sale illegal was also not true.
According to Sterling Bank, “It is not true that that the Court pronounced the sale as illegal. The Court Ruling related to only 2.4 hectares out of the 10 hectares which the RED Company subsequently sold to UAC Property Development Company (UPDC) and this is now subject of an Appeal at the Court of Appeal Lagos.
“The Court did not void the sale of the 10 hectares to RED Company and there is no Order of Court that the 10 hectares be returned to the Grant Properties.”
On why Sterling Bank allegedly took out 10 hectares of the loan security for sale, the lender said, “We reiterate that Sterling Bank did not convert or single handedly sell the 10 hectares of land to any insider or third party. The sale of the 10 hectares was done by the consortium of Banks with the consent of Grant Properties/Chief Awosedo.”
It reiterated that the 10 hectares had been sold before the transfer of loan to Assets Management Company of Nigeria (AMCON) and therefore did not form part of the assets transferred to AMCON by the Consortium of Banks.
On what happens to the proceeds from the sales, Sterling Bank said, “The said proceeds were passed to Grant Properties/Chief Awosedo for onward transmission to settle subscribers to a housing project it halted before the AMCON take-over of the bad loan incurred from the banks/Grant Properties transaction. Despite the AMCON window, the consortium had to write off approximately N3billion from upon the sale of the bad loan to AMCON.”
The business deal started in 2002 when Grant Properties secured a 50-hectare land in Lekki, Lagos state, to build “Victory Park Estate”.
It approached the legacy banks of Unity Bank, Skye Bank, Wema Bank and Sterling Bank for an N8 billion ongoing loan to partly fund the project (to fund the purchase, sand filling and development of the land as site & Services for sale.
NAL merchant, the legacy bank of Sterling was the lead of the consortium. Grant Properties transferred the shares in its subsidiary, Knight Rook Limited, to the banks as security for the loan having purchased the Asset fully with bank loan.
By Adedapo Adesanya
Access Bank Plc, the banking subsidiary of Access Holdings Plc, has entered into a binding agreement with South African-based Bidvest Group Limited for the acquisition of 100 per cent equity stake in Bidvest Bank Limited.
The deal for the 24-year-old South African lender is due to be completed in the second half of 2025, upon regulatory approval.
This shows Access Bank’s further expansion plans in line with goals set by its late founder, Mr Herbert Wigwe.
The agreement to acquire 100 percent stake in Bidvest Bank reflects Access Bank’s commitment to strengthening its footprint in South Africa and consolidating on its position as the continent’s gateway to global markets as it seeks to optimise the benefits of recent acquisitions and accelerate its transition towards a greater focus on efficiencies.
Bidvest Bank, founded in 2000 is a niche and profitable South African financial institution providing a diverse range of services, including corporate and business banking solutions and diverse retail banking products.
As of its year ended June 2024, Bidvest Bank reported total assets equivalent of $665million and audited profit before tax of $20million.
Upon conclusion of this acquisition, Bidvest Bank will be merged with the bank’s existing South African subsidiary to create an enlarged platform to anchor the regional growth strategy for the SADC region.
This is coming just as the bank opened a new branch in Malta as part of efforts to focus on international trade finance after obtaining a banking licence from the European Central Bank (ECB) and the Malta Financial Services Authority (MFSA).
Access Bank said the licence marks a transformative milestone in bolstering Europe-Africa trade flows.
The Maltese branch was established by Access Bank UK Limited, the subsidiary of Access Bank Plc, which is also the subsidiary of Access Holdings Plc, which is listed on the Nigerian Exchange (NGX) Limited.
By Modupe Gbadeyanka
To strengthen Europe-Africa trade ties, Access Bank has opened a new branch in Malta. It will focus on international trade finance, employing approximately 30 people in its initial phase, with plans for controlled expansion over time.
It was learned that this Maltese branch was established by Access Bank UK Limited, the subsidiary of Access Bank Plc, which is also the subsidiary of Access Holdings Plc, which is listed on the Nigerian Exchange (NGX) Limited.
Access Bank Malta Limited commenced operations after obtaining a banking licence from the European Central Bank (ECB) and the Malta Financial Services Authority (MFSA).
Access Bank said the licence marks a transformative milestone in bolstering Europe-Africa trade flows.
Malta, a renowned international financial centre, and a gateway between the two continents, is strategically positioned to play a pivotal role in advancing commerce and fostering economic partnerships.
This strategic expansion into Malta enables The Access Bank UK Limited to leverage growing trade opportunities between Europe and Africa.
It underscores the organisation’s commitment to driving global trade, financial integration, and supporting businesses across these regions.
“By establishing operations in Malta, we will gain a foothold in a market that bridges European and North African economies, moving us one step closer to our goal of becoming Africa’s Gateway to the World.
“It further enhances our bank’s capacity to support clients with innovative solutions tailored to cross-border trade and investment opportunities,” the chief executive of Access Bank, Mr Roosevelt Ogbonna, stated.
“Europe has emerged as Africa’s leading trading partner, driven by initiatives such as the Economic Partnership Agreements between the EU and African regions and the African Continental Free Trade Area (AfCFTA).
“With Europe-Africa economic relations entering a new phase, The Access Bank Malta Limited is ideally positioned to deepen trade and meet the financing and banking needs of our clients in these expanding markets,” the chief executive of Access Bank UK, Mr Jamie Simmonds, commented.
Also speaking, the chief executive of Access Bank Malta, Renald Theuma, said, “Malta is uniquely positioned as a bridge between Europe and Africa, making it an ideal location for our subsidiary. This move allows The Access Bank Malta Limited to engage more closely with customers in Europe and deliver tailored financial solutions that drive growth and connectivity across both continents.”
By Adedapo Adesanya
The International Finance Corporation (IFC) and Goldman Sachs have announced a new partnership with African banks, including Nigeria’s Zenith Bank and Stanbic IBTC Nigeria to support the Goldman Sachs 10,000 Women initiative, a joint programme launched in 2008 to provide access to capital and training for women entrepreneurs globally.
The two Nigerian banks are part of nine financial institutions from across Africa which have agreed to join the 10,000 Women initiative committing to leverage the business education and skills tools the programme provides to create more opportunities for women entrepreneurs across the continent by providing access to business education.
Others banks include Stanbic Bank Kenya, Ecobank Kenya, Ecobank Cote d’Ivoire, Equity Bank Group, Banco Millenium Atlantico – Angola, Baobab Group, and Orange Bank.
Speaking on this, Ms Charlotte Keenan, Managing Director at Goldman Sachs said – “10,000 Women has had a powerful impact to date, but we know that there are more women to reach and more potential to be realized.
“We are delighted to partner with IFC to supercharge the growth of women-owned businesses across Africa, and mainstream lending to female business leaders. We remain committed to supporting entrepreneurs with the access to education and capital that they need to scale.”
Since 2008, the 10,000 Women initiative has provided access to capital and business training to more than 200,000 women in 150 countries.
“This expanded initiative marks a significant step forward in creating equitable economic opportunities for women in Africa, enabling them to build stronger, more resilient businesses and to realize their entrepreneurial goals,” said Ms Nathalie Kouassi Akon, IFC’s Global Director for Gender and Economic Inclusion.
Goldman Sachs’ 10,000 Women initiative complements the Women Entrepreneurs Opportunity Facility (WEOF), launched in 2014 by Goldman Sachs and IFC as the first-of-its-kind global facility dedicated to expanding access to capital for women entrepreneurs in emerging markets.
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