Remarkable Journey Of Access Holdings: A Legacy Of Transformation, Growth

This year marks the 22nd anniversary of a pivotal moment in Nigerian banking history. On March 22, 2002, two ambitious young bankers, Aigboje Aig-Imoukhuede and Herbert Wigwe, took control of a small, nondescript bank, embarking on a journey that would transform it into one of the continent’s largest financial institutions. The story of Access Holdings, originally Access Bank, is a testament to vision, perseverance, and strategic brilliance.

The Bold Takeover

The acquisition process, which began two years prior, culminated in March 2002 when Aig-Imoukhuede and Wigwe assumed their roles as Managing Director and Deputy Managing Director, respectively, at the bank’s corporate headquarters on Oyin Jolayemi Street, Victoria Island, Lagos. This audacious takeover set the stage for one of the most inspiring success stories in Nigeria’s financial sector.

Transformation Agenda and Capitalization

Soon after the takeover, Access Bank now Access Holdings embarked on a five-year transformation agenda. Midway through this plan, the Central Bank of Nigeria (CBN) announced a N25 billion capitalization requirement by December 2005. Access Holdings ’ management responded swiftly, raising N15 billion through a public offer, acquiring Capital Bank Ltd. and Marina International Bank Ltd., and convincing FMO, the Netherlands’ development finance company, to convert a $15 million term loan into an equity investment. With the capitalization goal met and exceeded, Access Bank set its sights on further growth, raising additional funds from local and foreign markets.

Strategic Growth and International Expansion

Between 2006 and 2007, Access Bank raised N11.9 billion through a local bond issue and N136 billion through public offerings, including an oversubscribed global depository receipt (GDR). The establishment of Access Bank UK in 2007 marked the beginning of its international expansion. In 2008, the bank launched its second five-year transformation plan, focusing on becoming a top-tier financial institution. By 2011, Access Bank had passed CBN’s stringent audits and achieved significant milestones, including acquiring Intercontinental Bank and being named IFC Sustainable Bank of the Year.

Achieving Industry Leadership

The acquisition of Intercontinental Bank in 2011 propelled Access Holdings to the fourth largest bank in Nigeria. This period was marked by rigorous staff reorientation and an aggressive drive to attract top talent. In 2012, the bank raised $350 million through a Eurobond, divested non-banking subsidiaries, and was designated as a systemically important financial institution by the CBN. These achievements underscored its growing influence and stability within the Nigerian economy.

Leadership Transition and Continued Growth

In January 2014, Herbert Wigwe took over as Group Managing Director and CEO, following Aigboje Aig-Imoukhuede’s retirement. Under Wigwe’s leadership, Access Bank continued its upward trajectory, raising N42 billion through a rights issue in 2017 and issuing a $300 million subordinated note. The merger with Diamond Bank in 2018 further cemented its leadership, creating the largest bank in Nigeria by assets and retail reach.

Expanding Footprint and Innovation

Access Bank’s expansion into Kenya and Mozambique in 2020 and its establishment in South Africa underscored its pan-African ambitions. In 2019, it issued Nigeria’s first green bond, reflecting its commitment to sustainable finance. By 2022, Access Bank had restructured into Access Holdings, aiming to leverage synergies across its diverse businesses, including payments, insurance, consumer finance, and pensions.

A Pan-African Vision

In 2023, Access Holdings launched operations in Paris, marking its entry into the European market. The institution’s strategic ventures across Africa and beyond demonstrate its vision of fostering economic development through innovative financial solutions and support for SMEs. By tailoring its approach to the unique dynamics of each market, Access Holdings has contributed to job creation, entrepreneurship, and sustainable development across the continent.

Future Prospects

As Access Holdings moves into the second half of 2024, it enters a phase of consolidation and efficiency, aligning with its five-year plan to achieve its 2027 strategic objectives. This phase aims to solidify its market presence, enhance operational efficiencies, and continue its legacy of transformation and growth.

The journey of Access Holdings from a modest bank to a financial powerhouse is a remarkable narrative of strategic vision and execution. With its continued focus on innovation, expansion, and sustainable growth, Access Holdings stands as a beacon of success and a model for financial institutions across Africa and beyond.

By Augustine Idoje