Shareholders of NOVA Merchant Bank have approved the transition of the highly rated wholesale bank to a full commercial bank.
Shareholders gave unanimous approval to the conversion of the merchant bank to commercial bank with optimism that the bank has been well positioned to sustain and build upon its growth legacy.
Chairman, NOVA Merchant Bank, Mr. Phillips Oduoza, who addressed shareholders at the annual general meeting in Lagos, said that the decision to transit will help the bank to further streamline its operations, bolster its financial stability, and foster sustainable growth across its businesses.
He took time to unveil a comprehensive restructuring plan on how the bank will transit from a merchant bank to a commercial banking license.
He said the strategic move was in line with the bank’s vision of expanding operations and diversifying services while providing exceptional services to its valued customers.
“I am excited about the prospects of NOVA as we embark on this new growth phase. The management of the bank has firmly established a remarkable legacy of growth since its inception and has consistently demonstrated its ability to achieve substantial progress across various parameters and the commercial banking license will strengthen the Bank’s revenue base, entrench value creation, impact earnings growth and sustain higher returns for the shareholders, while affording more banking customers across the nation the opportunity to enjoy the products and services of NOVA Bank,” Oduoza said.
Managing Director, NOVA Merchant Bank, Mr. Nath Ude, explained that with the new license, the bank is poised to extend its comprehensive range of financial services throughout Nigeria and cement its position as a leading player in the Nigerian banking industry.
According to him, the resounding approval from the shareholders for the transition to a commercial bank reflects their confidence in NOVA’s ability to thrive in the evolving financial landscape.
“The bank remains resolute in its pursuit of sustainable growth, while continuing to provide its customers with innovative financial solutions. As we transition into a commercial bank, NOVA aims to expand its services and further enhance its position as a trusted provider of cutting-edge financial solutions in Nigeria,” Ude said.
He added that the bank’s commitment to continue to invest in new technologies, including robust digital platform, to create exceptional service experience for its customers.
Shareholders also ratified the bank’s result for the full year ended December 31, 2022, where the bank recorded impressive performance and significant growth across all its indicators on the back of innovative offerings and exceptional customer service.
Total assets grew by 14.6 per cent to close 2022 at N279.9 billion as against N244.2 billion recorded in 2021. Profit before tax rose significantly by 107.9 per cent to N3.50 billion in 2022 while profit after tax jumped from N1.58 billion in 2021 to N3.21 billion in 2022, representing an increase of 102.9 per cent.