FBN Holdings Plc has launched a new short-term strategic growth plan that will enhance the leadership position of the holding company and ensure better returns to shareholders over the next few years.
Group chairman, FBN Holdings Plc, Dr. Oba Otudeko, who spoke at the annual general meeting of the company in Lagos yesterday, said the new strategic plan covers between 2014 and 2016 and would build on the successes of the previous plan that covered 2011 to 2013.
According to him, the high-level aspirations and specific actions in the short-term growth plan will be building blocks that will not only sustain the company’s momentum but raise its leadership position in the evolving market place.
He said the company has made significant progress integrating its business planning process and harmonising its investment decisions in a way that allowed the entire group to take full advantage of opportunities in non-banking spaces.
“As we continue to diversify our profit base through this process, we will remain focused on containing costs and ramping up operational efficiency through targeted centralisation of all functions that lend themselves group-wide,” Otudeko said.
He said the experience of the company with the holding company structure has helped to hone its business focus, deepen centralisation and skill sets across the group and increase prospects of profitability.
In a review of the outlook of the company, chief executive officer, FBN Holdings, Mallam Bello Maccido, said the outlooks for each of the group’s businesses remained positive with increased contributions from the businesses expected to cumulate into better returns for the group.
He said the group has increased investments across its business lines with a view to strengthening its leadership positions pointing out that the recent acquisitions of ICB banks across four West African countries, the acquisition of Oasis Insurance and ongoing efforts to strengthen the investment banking and asset management business through the acquisition of a merchant banking licence would help to enhance benefits to all stakeholders, especially the shareholders.
“As we steadily progress in our journey under the holding company arrangement, we expect to drive growth in each of our business lines, in a way that will enhance the aggregate performance of the group. This will be complemented by reinforcing the pre-eminence of our commercial banking franchise, while driving the level of contribution from each of the non-banking subsidiaries,” Maccido said.
Talk is cheap like they say. FBNH is basically telling us they are confident that the holdco model is working or will work. Not even sure which one to believe. But it better work considering the dip in its share price of recent. It needs to bring its Mojo Back!