Abbey Building to shore up share capital to N15 billion
Category: Investors NewsBeat
October 14, 2008 at 16:41 GMT
Abbey Building Society Plc (Abbey) would be shoring up its Share Capital to N15 billion from its current N3.5 billion. Rose Okwechime, Managing Director/Chief Executive Officer (MD/CEO) of the Primary Mortgage Institution (PMI) made this affirmation to Proshare NI in LagosNigeria.
Okwechime affirmed that N15 billion Share Capital would make the company to be a major player in the mortgage banking sector of the Nigerian Stock Exchange (NSE).
ÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â¢ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã…Â¡Ãƒâ€šÃ‚Â¬ÃƒÆ’Ã¢â‚¬Â¦ÃƒÂ¢Ã¢â€šÂ¬Ã…â€œWe are looking towards N15.0 billion Share Capital, for us to be a major mortgage banking playerin the market, I think that is what Abbey Building require and we are very hopeful we can achieve that; despite the current market situationÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â¢ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã…Â¡Ãƒâ€šÃ‚Â¬ÃƒÆ’Ã¢â‚¬Å¡Ãƒâ€šÃ‚Â Okwechime said.
Okwechime further affirmed that to achieve the N15 billion Share Capital, AbbeyBuilding is planning to do a post listing Initial Public Offer (IPO) towards the end of year 2009.
As earlier reported by Proshare NI, the Mortgage Company would on October 21, 2008 list shares worth N14.7 billion on the Floors of the NSE.
Abbey would be listing 4,200,000,000 Ordinary Shares of 50 Kobo each at N3.50 Kobo per share.
Also as earlier reported by Proshare NI, the companyÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â¢ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã…Â¡Ãƒâ€šÃ‚Â¬ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã…Â¾Ãƒâ€šÃ‚Â¢s 10 months unaudited results as at August 31, 2008 shows that the companyÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â¢ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã…Â¡Ãƒâ€šÃ‚Â¬ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã…Â¾Ãƒâ€šÃ‚Â¢s Gross Earnings for the period increased from N509.8 million in year 2007 to N871.6 million in the same period of year 2008 indicating an increase of 71 percent in the review period.
Its Profit before Tax (PBT) also rose from N137.6 million in the 10 months period of year 2007 to N229.4 million in the same period of year 2008 representing a rise of 67 percent.
However, audited Five Year Financial Summary ending October 31 shows that Gross Earnings of Abbey rose from N73 million in year 2003 to N603 million in year 2007 showing a rise of 726 percent in the review period.
While the companyÃƒÆ’Ã†â€™Ãƒâ€šÃ‚Â¢ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã…Â¡Ãƒâ€šÃ‚Â¬ÃƒÆ’Ã‚Â¢ÃƒÂ¢Ã¢â€šÂ¬Ã…Â¾Ãƒâ€šÃ‚Â¢s PBT also appreciated from N63.433 million in year 2003 to N144.888 million in year 2007 indicating a growth of 128 percent growth.
Profit after Tax (PAT) grew from N44.835 million in year 2003 to N111.292 million in year 2007 showing a growth of 148.22 percent in the review period.