By Modupe Gbadeyanka
The board of Access Bank Plc has announced the cancellation of the Extraordinary General Meeting (EGM) earlier planned for next month.
The bank had fixed Friday, February 1, 2019 for shareholders of the company to meet to approve the proposed issuance of N75 billion rights issue.
In a notice to the Nigerian Stock Exchange (NSE) on Monday, Access Bank said the meeting of shareholders will no longer hold as earlier scheduled.
Access Bank neither gave any reason for the cancellation nor revealed when the meeting will hold in the future.
However, the lender said, “We regret any inconvenience that this cancellation may cause our shareholders.”
The financial institution had earlier announced that the EGM would take place at Balmoral Convention Centre, Federal Palace Hotel, Ahmadu Bello Way, Victoria Island, Lagos at 10.00 am.
The board of Access Bank wants shareholders’ approval to raise additional equity capital of up N75 billion via rights issue.
They also want the bank’s authorised share capital be increased from N20 billion made up of 38 billion ordinary shares of 50 kobo each and two billion preference shares of 50 kobo each to N35 billion by the creation of 30 billion ordinary shares of 50 kobo each.
The board are equally proposed to the shareholders that pursuant to the Memorandum of Agreement executed between Access Bank Plc and Diamond Bank Plc on the merger of the two entities, if the Rights Issue contemplated is undertaken prior to the implementation date of the merger, they be authorised by way of a Placing and subject to obtaining all requisite regulatory approvals, to offer to Diamond Bank shareholders shares in Access Bank to be purchased after the implementation date on the same term as the Rights Issue and in the same proportion that they would be entitled to as if they had already become shareholders of Access Bank Plc.
