Abbey Building Society warms up for listing on the Exchange
Category: Capital Market
Barring any unforeseen circumstances, Abbey Building Society Plc, a mortgage banking company, will be listed on the Nigerian Stock Exchange in November 2007.
Preparatory to the listing, the company has just concluded a private placement, which increased its shareholders\' to 305 from the original 17 and plans are underway to increase the company\'s authorised share capital to N3.5 billion.
Speaking with The Guardian recently, the company\'s Managing Director, Mrs. Rose Okwechime also described that Mutual Benefit Assurance Plc - one of the foremost insurance firms in the country was warming up to take 20 per cent stock in the company.
Besides, a foreign investor, Africinvest had signed a Memorandum of Understanding (MoU) with the company with a view to investing in it and making it a global player.
She also disclosed that the company would probably approach the capital market with an Initial Public Offering (IPO) before the end of the second quarter of next year.
She disclosed that the company was currently having a paid-up capital of N1 billion made up of two billion ordinary shares of 50 kobo each and an authorised share capital of N1.56 billion divided into three billion shares of 50 kobo cash, which would be increased soon to N3.5 billion made up of seven billion ordinary shares of 50 kobo each.
She added that the company, which started with a share capital of N5 million had an asset of over N4.4 billion.
She said: \"We are at the point of being listed the Nigerian Stock Exchange, but we are waiting for the Central Bank of Nigeria to release the share verification of our private placement.
\"We will list by introduction and later approach the capital market through an IPO for fresh capital. We will also explore other areas like the Real Estate Investment Trust (REITS) for about N20 billion.\" - Guardian