Wema Bank to Continue Operating Nationwide, Says CEO

Wema Bank will retain its national license as it aims for the tier-1 banking sector. This development was highlighted by the Managing Director/CEO, Moruf Oseni, of Wema Bank. 

He said this in an Annual General Meeting at the bank, which was held virtually on Tuesday. 

Wema Bank National Status 

He said, “The apex bank has done its due diligence and approved our N40bn rights issue, which is currently undergoing Securities and Exchange Commission approval to be listed on the Nigerian Exchange. Our capital base now stands not at the current N15bn but, with the rights issue, at N55bn—significant headway towards N200bn.

“Following the shareholder’s and board’s approval, we are set to raise the N200bn within the 24-month timeline through public placements and a public offer, which we are confident that we will achieve before the timeline expires. We have shared our plans with the CBN, and we will work assiduously to balance our capital base in the near future.

Also Read: Wema Bank Rolls Out New Digital Solution for Cooperative Societies

“At a minimum, Wema Bank will remain a national bank, we will keep working tenaciously to become a systematically important bank, retain tier-1 status, and continue providing optimum value for every shareholder and stakeholder of Wema Bank.”

Wema Bank Growth In Gross Earnings 

During the Annual General Meeting (AGM), the shareholders authorized a N0.50 dividend for the year 2023. Additionally, they received the appointment of two accomplished non-executive directors, Yewande Zaccheaus and Yusuf Kazaure. Also, the esteemed executive director, Segun Opeke, a beneficial addition to the Wema Bank Board of Directors.

In a remarkable display of financial strength, Wema Bank reported a staggering 196 percent increase in profit before tax, soaring from N14.75 billion to N43.59 billion by the end of 2023. Moreover, the bank achieved an impressive 220.4 percent surge in profit after tax, skyrocketing from N11.21 billion to N33.66 billion.

Its gross earnings rose from N132.30bn to N225.75, indicating a 70.63 percent increase.

Conclusion 

Applauding the bank’s 2023 results, a shareholder, Mr Badmus Tunde, said, “Since 1945, the Bank has seen the good, the bad, the beautiful and the ugly. However, through thick and thin, it has gotten to where it is today. The results are overwhelming, and profitability has been maintained. Kudos to the board and management.”

Wema Bank, a pioneer of Africa’s first fully digital bank, ALAT, is one of the oldest banks in Nigeria. It recently celebrated its 79th anniversary. 

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