Nairametrics
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Content Partners
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Get Data
    • Macro-Economic News
    • Research Analysis
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
No Result
View All Result
  • Home
  • Exclusives
    • Financial Analysis
    • Corporate Stories
    • Interviews
    • Investigations
    • Metrics
  • Markets
    • Cryptos
    • Commodities
    • Equities
      • Dividends
      • Stock Market
    • Fixed Income
    • Market Views
    • Securities
  • Industries
    • Company News
    • Consumer Goods
    • Content Partners
    • Corporate deals
    • Corporate Press Releases
    • Energy
    • Entertainment
    • Financial Services
    • Hospitality & Travel
    • Manufacturing
    • Real Estate and Construction
    • Tech News
  • Economy
    • Get Data
    • Macro-Economic News
    • Research Analysis
  • Business News
  • Financial Literacy
    • Career tips
    • Personal Finance
  • Lifestyle
    • Billionaire Watch
    • Profiles
  • Opinions
    • Blurb
    • Op-Eds
No Result
View All Result
Nairametrics
No Result
View All Result
Home Wealth & Lifestyle Profiles

This billionaire has a major deal in the works

Onome Ohwovoriole by Onome Ohwovoriole
December 5, 2018
in Profiles, Spotlight
Aigboje Aig Imoukhuede
Share on FacebookShare on TwitterShare on Linkedin

Co-founder of Access Bank Plc, Aigboje Aig-Imoukhuede during the  African Stock Exchanges Association (ASEA) conference held last week gave a rare insight into how himself and Herbert Wigwe bought and transformed Acess Bank, through the capital market.

The billionaire also hinted at a major deal in the works and gave advice to entrepreneurs interested in rolling out across Africa.

Prior to the takeover  

Aigboje begins the chat (with NSE CEO Oscar Onyema) with a background on Access Bank, prior to the takeover.

RelatedPosts

Access Bank Takes Business Protection Bundles to SMEs In the North

What the new ISO certification means for Access Bank

“Access Bank was a listed company on the NSE. It was a very small bank and wasn’t being run well. They tried to raise capital, and the markets were not responding very positively to its attempt to raise capital.”

Making a move 

He then narrates how they actualised the takeover.

“That was the opportunity for myself and Herbert Wigwe, whom I had convinced crazily that we should leave GTB and buy Access Bank. It took $10 million to buy 51% of Access Bank; between Herbert and I, we had $2 million. We understood the markets, and we were able to fund a group that basically raised $10 million, and then we bought Access Bank.

“Without Access Bank being listed, this story would never have happened. It would have been much difficult.”

Big goals 

After the acquisition, he then narrates how he set the audacious goal of Access Bank being among the top ten banks in Nigeria.

News continues after this ad


“In 2002, we bought into Access Bank, and the first thing I learned was that the dollar balance sheet of Access Bank was a bit smaller than Aliko Dangote’s credit card limit. I thought to myself, after GTBank, what had I gotten myself into.”

He continues

“In the market then, Access Bank was 80 out of 90 banks. We came to the stock exchange and said that in five years’ time, Access Bank would be among the top 10 banks. The market didn’t laugh. The investors didn’t laugh. They looked at these highly driven young men and women and said, let’s give them a chance. Five years later, we were number 8.”

Even bigger goals

After meeting his top 10 target set, the team set an even bigger goal of becoming one of the top 5 banks in Nigeria.

News continues after this ad


“We then said in 5 years’ time, we would be in the top 5. Moving from 80 to 8, was a bit easier than from 8 to top 5, because the institutions around were very formidable. That in itself, also concretised the need for us to grow regional.”

In response to a question on where Access bank is currently, Aig stated that the bank was currently in the 3rd/4th position in Nigeria, depending on what metric was used.

Post–Access career 

Aig also explained why he founded Coronation Capital, stating that basic needs were yet to be met in Africa.

“If you look at the African opportunity, it’s about meeting basic needs, because basic needs are largely unprovided for, and provide solutions to those basic needs at scale. Think about Aliko and cement.”

In his view, African financial providers had played a lot on the short end of financial solutions. Money transfer, credit cards, but the need around safety, security and wealth creation is completely unmet today, apart from in South Africa.

“Yes, we are beginning to open pensions; yes, we are beginning to Grow an asset management field, but honestly speaking, we are on the ground floor.

“When I left Access Bank, I said I’m going to keep my investments in short money, but focus my mind on the long money game.”

Whats Coronation Capital about? 

He then gives a brief into Coronation Capital, which he founded after leaving Access Bank.

“So Coronation Capital is essentially a private equity platform that has grown into a much larger diversified investment management platform. We want to, as we did with Access Bank, establish very firmly in Nigeria and then grow regional.”

A deal in the works 

Aig hinted at a deal in the works perhaps involving Coronation and the stock exchange.

“I kind of i’m giving you a sneak preview into a major announcement you are going to hear in January, but I think a lot of money is going to be made in that space.

“The stock exchange for the Coronation Investment platform is a tool that we are going to be providing to the market. So there’s a lot going to happen.”

Why now

The move would have taken place prior to this time, but for his serving as the President of the NSE.

“My being President of the Exchange held me down, because I couldn’t do things that would put me in conflict in my role. So as I disengage, I would be able to unleash my creativity in the capital markets for wealth creation.”

Tips on rolling out a Pan African business

Aig also gave a few tips for investors thinking of rolling out across Africa.

“Whether the country is small or the country is big, the country will have a President, the country will have a Central Bank Governor, and other regulators, who must be given their sovereign respect.”

He continues

“You need a lot of energy and you need a lot of relational skills when you say you want to roll out. When you receive a phone call that this President wants to see you now, you need to get on a plane and make sure you see him. When you need an approval, or a policy context that can make or mar your dream, you need to interact.”

Reasons for his focus on philanthropy 

Aig-Imoukhuede also gave a glimpse into why reforming the public service is a key focus of his philanthropic efforts.

“The one thing I have found across African countries is that it was too often the exception, that the public service in Africa, was an enabler of dreams. In Africa, too often policymakers and policy implementers were disablers of dreams.”

He continues

“And I said, why? Why should I almost have to die to make my business work? Why should I as a barber in Obalende, in addition to learning how to cut hair, why do I have to learn how to be a power generator to run a shop?”

He then gives his findings on why the public service was largely anti-business.

“I kind of did a study, and I found that over several years from the mid-70s, Africa suffered a massive under-investment in capacity development of the public sector, while there was a shift of massive investments to the private sector.”

Implications

“We cannot afford to live in Africa, with this under-investment in capacity in the public sector; we will all suffer for it.”

How to solve this 

“So, AIG (Africa Institute of Governance) is all about building capacity in the public sector. So, the first thing we did was scholarships to Oxford University Blavantik School of Government, to study for a Masters in Public Policy (MPP), on the condition that you must come back and work for your home country. Next, was fellowships for public servants who have excelled.”

Aig-Imoukhuede also disclosed that the organisation was working on a world-class finishing school, as good as JFK and BSG in Africa and for Africans.  In addition, AIG was working with the civil service in Nigeria around reform.

 How stock exchanges can provide value 

In conclusion, he listed two ways African stock exchanges can provide value.

“The first thing is this: clearly an exchange in Africa will have to walk the same path as exchanges across the world to make themselves fit for purpose. If you are mutual, you have to demutualise.”

In his view, this would enable the exchanges to be more entrepreneurial in thinking.

Adopting technology would also help exchanges be more useful.

“In addition, technology can also play a big role. I think that with the very many options around, from blockchain to distributed ledger technology, to simply digital systems for distributing retail products, the ability to leapfrog and serve retail markets is enormous.”

Related

Tags: Access BankAigboje Aig- ImoukhuedeOn the Money

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

inq
avatrade
Stanbic bank
Mega Millions
UBN
Hot forex
Access Bank
Bankers Committee
First bank






    Business News | Stock Market | Money Market | Cryptos | Financial Literacy | SME |

    Recent News

    • NGX closes negative with the market cap down by N20 billion 
    • FG asks students to sue ASUU over strike, insists lecturers won’t be paid during the period
    • Hackers exploiting stolen cookies to attack corporate organisations – Report

    Follow us on social media:

    Recent News

    Weekly Stock Update: Nigerian local bourse’s ASI depreciates by 0.22% w-o-w

    NGX closes negative with the market cap down by N20 billion 

    August 18, 2022
    FG to review January 18 resumption date for schools across the country

    FG asks students to sue ASUU over strike, insists lecturers won’t be paid during the period

    August 18, 2022
    • ABOUT US
    • CONTACT US
    • PRODUCTS
    • ANDROID APP
    • iOS APP
    • DISCLAIMER
    • CAREERS
    • PRIVACY POLICY

    © 2022 Nairametrics

    No Result
    View All Result
    • Home
    • Exclusives
      • Financial Analysis
      • Corporate Stories
      • Interviews
      • Investigations
      • Metrics
    • Markets
      • Cryptos
      • Commodities
      • Equities
        • Dividends
        • Stock Market
      • Fixed Income
      • Market Views
      • Securities
    • Industries
      • Company News
      • Consumer Goods
      • Content Partners
      • Corporate deals
      • Corporate Press Releases
      • Energy
      • Entertainment
      • Financial Services
      • Hospitality & Travel
      • Manufacturing
      • Real Estate and Construction
      • Tech News
    • Economy
      • Get Data
      • Macro-Economic News
      • Research Analysis
    • Business News
    • Financial Literacy
      • Career tips
      • Personal Finance
    • Lifestyle
      • Billionaire Watch
      • Profiles
    • Opinions
      • Blurb
      • Op-Eds

    © 2022 Nairametrics

    Social Media Auto Publish Powered By : XYZScripts.com