Shareholders Authorise Ecobank to Raise Capital
Ecobank Transnational Incorporated (ETI), the parent of the Ecobank Group, shareholders have approved all resolutions presented at its annual meeting including the borrowings plan to boost capital position.
The leading pan-African bank with a presence in 35 African countries, held its 35th Annual General Meeting (AGM) and an Extra Ordinary General Meeting, today in Lomé, Togo.
At the meeting, shareholders approved the accounts and the appropriation of profits for 2022.
In addition, shareholders voted for the re-election of Mr Simon Dornoo, Professor Enase Okonedo, Dr George Donkor, Mr Deepak Malik and Ms Zanele Monnakgotla as directors of ETI. The co-option of the Managing Director, Mr Jeremy Awori, as a director, was also ratified.
Furthermore, shareholders approved the resolution authorising to raise senior-ranked debt, additional Tier 1, Tier 2-qualifying subordinated debt, or a combination of any of these forms of instruments as the board of directors may deem appropriate.
Speaking at the meeting, Alain Nkontchou, Ecobank Group Chairman, said: “Ecobank is a powerhouse in the African banking landscape and is positioned to support and facilitate the growth and development of African businesses as they grasp the immense single market opportunities created by the African Continental Free Trade Area. Quite simply, Ecobank is the solution for SMEs and corporates.
“The strength of our borderless payment, collection, working capital and financing solutions exemplifies this.”
Also, Jeremy Awori, Chief Executive Officer, Ecobank Group, recall that in 2022, Ecobank demonstrated strong financial results and performance, despite the challenging economic conditions of high interest rates, inflation, and Ghana’s debt restructuring.
“This success can be attributed to the bank’s diversified business model, digital expertise, innovative approaches, growth momentum, and efficiency. These strengths allowed the bank to navigate the adverse economic environment, absorb the impact of the debt restructuring, and continue to thrive.”
MarketForces Africa reported that ETI’s profit for the year was $222 million compared with $295 million in 2021. The Group’s profit before tax, net revenue, and total assets increased by 13 per cent, 6 per cent and 5 per cent, to $540 million, $1,862 million and $29,004 million, respectively.
In addition, the return on tangible equity of 21.1% in 2022 is the highest Ecobank has achieved in the last decade.
“For the first quarter of 2023, our Group performance results are showing momentum as we continue to benefit from our pan-African and diversified business model, efficiency, balance sheet stability, deep customer relationships, and the hard and smart work of all Ecobankers”, management said.
Ecobank is one of the leading banking groups in Africa and by far the largest in terms of countries of presence.
It is renowned for its continuous delivery of innovation and excellence in customer service to its broad range of Consumer, Commercial, Corporate and Investment Banking customers.
The bank has significantly invested in its digital capabilities, including mobile banking, internet banking and payments infrastructure. This focus on digital banking enables it to reach more customers, reduce costs and improve efficiency.