FCMB Group Plc’s shareholders gathered at the company’s 11th Annual General Meeting (AGM) on Monday and voted to significantly boost the company’s capital reserves. Shareholders approved a plan to nearly double the bank’s issued share capital, raising it from ₦9.9 billion to ₦19.8 billion. Additionally, they greenlit a plan to raise an additional ₦150 billion in capital, which will be used to fuel the company’s future growth initiatives.
The meeting wasn’t all about raising capital; shareholders also saw a significant boost in their payouts. FCMB approved a 100% increase in dividends, going from 25 kobo per share in 2023 to 50 kobo per share this year. This move reflects the company’s commitment to rewarding its shareholders for their investment.
Chairman, Mr. Oladipupo Jadesimi, commended the workforce’s contribution to the company’s strong operating performance. He said, “FCMB Group Plc demonstrated resilience, the result of which has given me the great pleasure of being able to inform you that for the full year ended 31 December 2023, the Group declared a profit before tax of N104.4 billion, up 185.6% from the full year 2022. The diligence exhibited by our workforce across the country have been remarkable. I commend everyone who contributed to this strong operating performance for the year under review. As we navigate through the challenges and opportunities that our mission presents, the Board and Management remain steadfast in their commitment to cultivating a culture that will inspire excellence in our employees, customers, partners, and every member of our ecosystem.”
This would be the first Annual General Meeting of FCMB Group Plc without the presence of the Founder, the late Otunba Michael Olasubomi Balogun, CON. A minute’s silence was observed at the commencement of the meeting and tributes were paid in his honour. Shareholders lauded the management for honouring and perpetuating the Founder’s legacy and the accelerating growth in most key indices, expressing optimism for a more rewarding future.
In his comments, Chief Timothy Adesiyan of Nigeria Shareholders Solidarity Association said, “we are happy that FCMB Group and its subsidiaries are growing in leaps and bounds. Of note are the strong corporate governance structures, succession plan and the commitment of the Bank to support key sectors of the economy, including corporate social responsibility programmes. However, the Bank should expand its interventions to artisans and other underserved sectors. We were grateful that from the 25 kobo dividend paid last year, and now we are receiving 50 kobo this year, a 100% increase. The Board, Management and Staff should continue to sustain the legacy of the late Founder, Otunba Subomi Balogun.”
In seeking approval for the N150 billion increase in share capital, the Group on behalf of its flagship bank, made clear its aspirations to retain its international license, with this year’s capital raise being the first step in that process.
Also speaking, the Secretary General of the Independent Shareholders Association of Nigeria (ISAN), Mr. Eke Emmanuel, applauded FCMB Group’s results and endorsed the capital raising programme. He said: “the 2023 financial results of FCMB Group Plc show that the institution is in a healthy position and ready to transform challenges into opportunities. The recapitalisation plans are commendable and achievable. We are optimistic that FCMB will scale the hurdle and be better positioned to deliver more value to shareholders and Nigeria.”
The AGM concluded with renewed confidence among shareholders and stakeholders in the financial institution’s leadership and strategic direction. Board members reassured shareholders of their commitment to maintaining high governance standards and delivering consistent value while highlighting ongoing efforts to enhance risk management frameworks and ensure full regulatory compliance to safeguard the Bank’s reputation.
About FCMB Group Plc
FCMB Group Plc is a financial services group with operating companies divided into four business groups: The Banking Group (First City Monument Bank Limited (‘The ‘Bank’), ‘FCMB Bank UK Limited and FCMB Microfinance Limited); Consumer Finance (Credit Direct Limited); Investment Banking (FCMB Capital Markets Limited and CSL Stockbrokers Limited); and Investment Management (FCMB Pensions Limited, FCMB Asset Management Limited and FCMB Trustees Limited). Listed on the Nigerian Stock Exchange (NSE) with the ticker ‘FCMB’’, FCMB Group Plc has 19.8 billion ordinary shares held by over 516,000 shareholders.
The Group and its subsidiaries are building and driving an ecosystem that fosters inclusive and sustainable growth in the communities they serve, primarily in Africa, its diaspora, and the United Kingdom
