Shareholders endorse Intercontinental, Access Banks MoU

By Babajide Komolafe
Intercontinental Bank’s shareholders have endorsed the signing of Memoran-dum of Understanding (MoU) on business combination between the Bank and Access Bank Plc, describing it as the surest safety net for their investments.

The endorsement was given at an interactive parley between the management of Inter-continental Bank and representatives of the Bank’s shareholders on Monday.

Intercontinental Bank’s MD/CEO, Mahmoud Lai Alabi seized the oppor-tunity to reiterate the essence and benefits of the proposed combina-tion to the shareholders, saying, “the combination of the two banks will create a formidable Nigerian bank.”

He noted that “the new entity, as a significant player in the wider African market, will be well positioned to capture future growth oppor-tunities, capitalising on proven track records, management team and best practice culture applied to extensive and complementary branch network.”

Alabi revealed that the complementary business models of both banks would provide strong strategic rationale for the partnership.

In his remarks, the President, Association for the Advancement of the Rights of Nigerian Shareholders (AARN), Dr. Faruk Umar, said “we are in full support of the signing of this MoU and we want to assure you of our unflinching support.”

The Chairman, Onitsha Zone of Shareholder Association of Nigeria, Bishop Goodluck Akpore, said “shareholders have enough information to take informed decision on the MoU, therefore, management should move quickly to consolidate on the gains of the signing.”

On his part, the Executive President, Nigeria Shareholders Solidarity Association (NSSA), Chief Timothy Adesiyan, noted share-holders were more interested in the recapitalisation of the Bank via the business combination than to engage in frivolous litigations, which will further erode their investment.

In his views, the representative of Shareholders Trustees Association of Nigeria (STAN), Alhaji Muktar Muktar, said the Bank was positioned to regain its rightful place with the expected value proposi-tion the combination will generate in view of the synergies of both banks.