Tag: Wema Bank

As part of efforts to boost international trade among women in business, Wema Bank has entered into a partnership agreement with Naija Brand Chick (NBC) and Small and Medium Enterprise Development Agency of Nigeria (SMEDAN) to drive the initiative.

Addressing a briefing in Lagos on Tuesday ahead of the internationall trade fair scheduled from August 17-18, in London, the Divisional Head, Retail and SME, Wema Bank, Ayodele Olojede, said the partnership aims to bridge the gap between Nigerian exporters and the global market, facilitate foreign exchange collections, and drive socioeconomic transformation for women in Nigeria.

According to him, “In Africa, women only produce one-fourth of the total generated exported value, despite making up 50 per cent of the population.

“Through this partnership, we aim to increase investment, integrate Nigerian exporters into the global value chain, and facilitate foreign exchange collections using digital collection tools. The partnership will also provide shared market insights, business networking opportunities, and financing to support women in business.”

Olojede emphasised that Wema Bank’s commitment is to ensure the mainstreaming of women’s participation in driving the transformation of the Nigerian economy.

Also speaking, the Director General of SMEDAN, Charles Odili applauded the efforts of Wema Bank at empowering women owned businesses and SMEs in the country in recent years, saying that the agency would be collaborating with the bank to make the London event a success.

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Odili further revealed that his agency would be partnering with the bank to create jobs for the Nigerians in-line with the Bola Tinubu’s administration agenda to tackle unemployment and fight poverty.

“We are making sure what everyone who want to go for the exhibition in London get visa and we would work with relevant government agency to make this possible,” Odili said.

Also speaking, Tola Johnson Special Assistant to the President on Job Creation,  office of the Vice President, lauded the bank’s initiative at empowering SMEs and women in recent years through the Sara initiative.

Speaking further, Johnson said his office was ready to partner with the Wema Bank on programmes in the next few months to boost SMEs and create jobs for Nigerians, especially the youth.

Cooperative societies in Lagos have received a major boost with the support of Wema Bank’s CoopHub, a digital solution which guarantees optimal productivity for small businesses.

The bank unveiled the product during the occasion of the International Day of Cooperatives 2024 in Lagos.

International Day of Cooperatives is a global celebration commemorated annually on the first Saturday of July, to recognise the significant impact of cooperative societies in promoting sustainable economic growth and their role in building a more sustainable future.

Themed “Cooperatives: Building a Better Future For All”, the 2024 International Day of Cooperatives commemorated by the Lagos State Government in collaboration with Wema Bank, convened key players in the cooperative ecosystem towards proffering solutions to prevalent challenges faced by cooperatives in Nigeria and creating a more sustainable future for all, through the cooperative industry.

While justifying the role of cooperative societies as an essential avenue for economic growth, Wema Bank’s Divisional Head of Retail and SME, Ayodele Olojede, emphasised the need for intentional, impactful and sustainable efforts towards the advancement of the Nigerian Cooperative Industry.

“Cooperative Societies represent a very significant platform for socio-economic development and for us at Wema Bank, we stand proudly as the cooperative-centric bank that is committed to providing the resources and tailored solutions that these cooperatives need to thrive and remain successful.

“CoopHub is the perfect embodiment of this commitment, and we are thrilled that more cooperatives are discovering this solution and coming on board to optimise their operations and maximise the opportunities provided for their growth.

“The achievement of a sustainable and ideal future for cooperative societies not only requires that we adapt to the increasingly digital world we exist in, but also drive more inclusivity for the youth to also key in. CoopHub succinctly unites both pillars in one and as the digital solution pioneered by Nigeria’s most resilient and innovative bank, you can trust that the future we are enabling for cooperative societies is one that is built to last.

“As the Bank that is committed to creating and promoting viable opportunities for women, in celebration of International Day of Cooperatives, we are supporting every woman present here at the Lagos State Government Ministry of Commerce, Cooperatives, Trade and Investment International Day of Cooperatives 2024 Event, with a free healthcare plan through our women-focused proposition, SARA by Wema.

“We remain unwavering in our lifelong mission of empowering lives through innovation and are committed to proliferating our positive impact across every key vertical that is instrumental to the success of the people and the growth of the Nigerian economy.

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“We take this unique celebration as an opportunity to further reiterate our commitment to empowering cooperative societies for optimal productivity through CoopHub.”

Since its launch in May 2024, CoopHub, the first of its kind in the Nigerian financial services industry, has onboarded over 1,000 cooperative societies, helping them optimise their operations and secure the resources and support they need to thrive with maximum efficiency.

With its unique, simplified and tailored configuration, CoopHub stands as the future of Nigerian cooperative societies.

Wema Bank has successfully concluded the first tranche of its recapitalisation exercise having secured all relevant regulatory approvals for the allotment of its N40bn Rights Issue which was initiated in December 2023.

It may be recalled that the Central Bank of Nigeria (CBN) in March 2024, launched a recapitalisation programme requiring commercial banks to raise fresh capital in alignment with the minimum requirement for their respective banking licenses, within a 24-month timeline spanning April 1, 2024, to March 31, 2026.

The goal of this recapitalisation programme is to simultaneously boost the Nigerian economy and strengthen the financial services industry.

Consequently, Wema Bank in December 2023 launched a N40bn Rights issue which has now been approved by the CBN and the Securities and Exchange Commission (SEC).

Read Also: Wema Bank reiterates commitment to service delivery

In a statement made to the public by the Bank, Moruf Oseni, Wema Bank’s Managing Director and CEO, reiterated the Bank’s resolve in retaining its Commercial Banking license with National Authorisation, adding that the N40bn Rights Issue is a step in that direction.

“We are delighted to announce the conclusion of the 1st tranche of our Capital Raise Programme, after obtaining the relevant approvals of all regulatory authorities. Our move to commence our Capital Raise Programme very early demonstrates our push for excellence and with a strong emphasis on our digital play, we are set to amass more successes in the coming months.

“We were impressed by the vote of confidence given by our shareholders during the 1st Rights Issue exercise as our shares were fully subscribed. In addition, we obtained the approval of shareholders at our 2023 Annual General Meeting (AGM) to raise an additional N150billion to meet the capitalisation threshold set by the CBN.

“The process is expected to be completed within 12-18 months. We are committed to providing optimum returns for every stakeholder and the successful conclusion of this N40bn Rights Issue is a bold step in the right direction.”

In addition to the upward trend in the Bank’s financial performance and the success recorded so far in its recapitalisation exercise, Wema Bank’s corporate rating was recently upgraded to BBB+ by Pan African credit rating agency, Agusto and Co, and retained at BBB by international rating agency, Fitch.

Over the medium to long term, Wema Bank is positioned to not only dominate the digital Banking space but also the Nigerian financial services industry at large as it translates its industry leadership to significant market share.

Wema Bank is a leading financial services entity with banking operations across Nigeria, its leadership position in the digital banking space speaks to its aspirations to liberate Nigerian businesses and entrepreneurs by making digital platforms widely available.

A report alleging that the Central Bank of Nigeria will withdraw Wema Bank’s operating license is false and should be discarded, the bank said in a statement yesterday.

Wema Bank said the object of the falsehood is to cause unrest in the Nigerian financial services industry.

The report titled: “Addressing False Information Alleging Impending Commercial Banking License seizure and Bank Closure”, said recent industry occurrences have given rise to an influx of false information and propaganda targeted at causing unrest in the Nigerian financial services industry.

Among this fake news is a WhatsApp message alleging that a number of commercial banks stand at risk of losing their banking license and being closed; one of the banks mentioned was Wema Bank. We categorically confirm that this claim is FALSE and contrary to the reality of Wema Bank’s financial strength.

In a statement allegedly signed by The National Secretary of the Nigeria Union of Pensioners/Federal Civil Service Pensioners (NUP/FCSP), Abuja Branch, Wema Bank was mentioned as one of the commercial banks slated for impending license seizure by the CBN. The statement further urged pensioners and by extension the public, to relinquish their Wema Bank accounts and adopt other banks not listed in the statement, as a “proactive step against being caught in the web of the impending closure of the mentioned banks”.

Wema Bank is of sound financial health and at no risk of license seizure or closure. Our financial performance showcases financial strength and stability, as validated by stakeholders and auditors at our 2023 Annual General Meeting (AGM); a feat we have achieved despite Nigeria’s economic fluctuations. In addition, we are moving ahead to meet the N200 billion minimum capital requirement stipulated by the Central Bank of Nigeria for a commercial bank license with national authorization. We have raised an additional N40 billion in fresh capital over the past months and are on the path to meet the target within 18 months.

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Our financial strength is evident not only in our 2023 financial report and first quarter 2024 financial results but also in our growth trends over the past years, which ascertain that we are equipped to continue thriving.

As reported in our FY 2023 Audited financial results, our financials grew strongly in the past year with a 196 per cent increase in Profit Before Tax (PBT) from N14.75 billion to N43.59 billion, 220.4 per cent increase in Profit After Tax (PAT) from N11.21bn to N33.66bn, 70.63 per cent increase in Gross Earnings from N132.30bn to N225.75, 53.64 per cent increase in Loans disbursed from N521.43bn to N801.10bn, 26 per cent increase in Capital Adequacy Ratio from N12.74bn to N16.04bn and a remarkable 220.53 per cent increase in Earnings per share from N87.2 to N279.5, among other successful upturns. Our Non-Performing Loan rate also stands at 4.31 per cent, one of the lowest in the industry.

Furthermore, our stable financial future has been recently verified by the Pan-African rating agency Agusto & Co, who recently upgraded our rating to Bbb+ with ESG Score of 2 and confirmation of stable outlook. Despite financial headwinds, our Q1 2024 financial results show that we are on track to equal and/or surpass our 2023 results by the end of 2024.

In view of our positive financial record and solid financial standing, the claims made are not only 100 per cent false but also unsubstantial and have no grounds or basis for consideration.

With confidence in our financial standing and stable outlook, we have petitioned the security officials to invite NUP for questioning and will be taking legal action on the perpetrator(s) of this libelous statement.

Wema Bank is firm in its commitment to providing optimum returns for every stakeholder, and we will not condone the circulation of false information that could potentially cause panic in the country.

“As we follow through with stringent measures to hold the creators(s) of this allegation accountable, we take this moment to confirm categorically that Wema Bank is well equipped to continue serving our customers as a commercial Bank with National banking authorization, keep up the positive trends as we expand our reach and continue to provide all our shareholders and stakeholders with optimum returns,” the report said.

Wema Bank has received an upgraded rating from Agusto & Co. This development authenticates the bank as Bbb+ rated with an ESG score of 2 and confirming a stable outlook for the bank, this is coming following its strong financial performance in 2023.

By upgrading Wema bank’s rating from BBB to BBB+, Agusto has confirmed that Wema Bank is of stable financial standing and more equipped than ever to keep fulfilling its duties as a commercial bank with National authorisation.

This development is unsurprising as Wema bank’s financial strength is reflected in the bank’s FY 2023 audited financial report. Among the outstanding results achieved by the bank was a 196per cent increase in Profit before Tax (PBT) from N14.75bn to N43.59bn translating to higher pre-tax return on average equity (ROE) and pre-tax return on average assets (ROA) from 21.5per cent to 43.9per cent and 1 per cent to 2.1 per cent respectively.

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The bank also recorded a 220.4 per cent increase in Profit After Tax (PAT) from N11.21bn to N33.66bn, 70.63 per cent increase in Gross Earnings from N132.30bn to N225.75, 53.64 per cent increase in loans disbursed from N521.43bn to N801.10bn, a reduction in cost-to-income ratio (CIR) from 80.1 per cent to 64.4pre cent due to significant earnings growth despite economic fluctuations and 220.53per cent increase in Earnings per share from N87.2 to N279.5, among other indices.

According to Agusto & Co, “The upgrade of Wema Bank’s rating to Bbb+ is underpinned by improved profitability despite macroeconomic headwinds, lower impaired loan ratio, better deposit mix, strong shareholders’ support as reflected in the successful rights issue exercise and perpetual bond issuance. We have also attached an ESG score of ‘2’, reflecting our view that environmental, social, and governance issues have a minimal impact on Wema Bank’s rating”.

Wema Bank has placed its shareholders in celebration mode receiving commendation for a profitable 2023 financial performance, at its just-concluded 2023 Annual General Meeting  (AGM) held in Lagos yesterday.

The AGM is a yearly gathering convening shareholders and other stakeholders of Wema Bank to assess the Bank’s financial performance over the previous year, its strategies, as well as to determine resolutions on relevant aspects of the Bank’s operations to promote accountability, democratic utilisation of investors’ funds and strategic allocation of the Bank’s resources towards the sustainable success of the business. According to shareholder testimonials, not only was the 2023 Wema Bank AGM allegedly the best AGM in the Bank’s history, the financial performance as captured in Wema Bank’s FY 2023 Annual Report, is also allegedly the Bank’s best so far.

Exercising their voting rights, the Bank’s shareholders unanimously approved a N0.50 dividend for the year ended December 31st, 2023, as well as the appointment of two new Non-Executive Directors of the Bank—Yewande Zaccheaus and Yusuf Kazaure, and the new Executive Director, Segun Opeke, as new additions to the Wema Bank Board of Directors. Shareholders further commended the Bank on an exceptional 2023 financial performance as its financial report revealed a 196% increase in Profit Before Tax (PBT) from N14.75 billion to N43.59 billion, 220.4 per cent increase in Profit After Tax (PAT) from N11.21 billion to N33.66 billion, 70.63 per cent increase in Gross Earnings from N132.30 billion to N225.75, 53.64 per cent increase in Loans disbursed from N521.43 billion to N801.1 billion and a remarkable 220.53% increase in Earnings per share from N87.2 to N279.5, among other successful upturns.

Expressing gratitude to the Bank’s stakeholders for their contributions to the tremendous results achieved, Moruf Oseni, Wema Bank’s MD/CEO, disclosed the Bank’s progress towards realising the recapitalisation minimum target of N200 billion, set by the Central Bank of Nigeria (CBN). “As a Bank, we feel privileged and lucky to have enjoyed the support of our Shareholders and Stakeholders, especially in the past year. The Bank’s performance has been stellar throughout the year and the figures testify to that. None of it could have been possible without the support of the Board, my colleagues in Executive Management, and our customers who are extremely loyal and committed to helping us improve, but I think the most important ingredient of all is the followership of the 5000+ employees that I lead as the MD/CEO of Wema Bank. We have given them a purpose which has resonated with them, and they are working day and night to ensure that your Bank gets to the top. That is the reason you see the results you have seen”.

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 “To the owners of the Bank, our Shareholders, we are grateful. You have been relentless in your support of this administration and have constantly challenged to achieve greater and supported us. As always, we will continue to rise to the occasion. The apex Bank has done its due diligence and approved our N40bn Rights Issue, which is currently undergoing SEC 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 shareholders’ 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 meet balance our Capital Base in the nearest future. At a minimum, Wema Bank will remain a National Bank, we will keep working tenaciously to become a Systematically Important Bank, reattain Tier-1 status, and continue providing optimum value for every shareholder and stakeholder of Wema Bank”, Oseni concluded.

Commending the exceptional results, Mr. Badmus Tunde, a Shareholder of the Bank added, “I welcome the new Chairman on board and our MD/CEO as well, it is evident that they are very capable of steering the ship. I want to congratulate the Bank for coming this far, 79 years is not child’s play and I pray God grants us long life. Since 1945, Wema Bank has seen the good, the bad, the beautiful and the ugly, and 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.”

Upon Shareholder approvals, Wema Bank is set to disburse the N0.50 dividend for FY 2023 to its shareholders by May 29, 2024. In view of the Bank’s financial progress over the past 5 years, it is predicted that Wema Bank’s 2024 financial performance will outdo its past accomplishments, including that of the year ended December 31, 2023. Following SEC approval, the Bank’s N40bn Rights Issue is set to be listed on the Nigerian Exchange in the nearest future.

The third edition of Wema Bank’s reward initiative, the “5 for 5 Promo,” which began in July 2023, is slated for its grand finale in Lagos, next week.  The Wema Bank “5 for 5 Promo” is a reward initiative introduced by the Bank in 2019 with the goal of rewarding its customers for their active loyalty to the brand and its products. It has a cash prize of N90 million.

Through the “5 for 5 Promo,” customers of the Bank have enjoyed financial support for their personal, business and professional life. Executed via thoroughly regulated monthly draws per season, the Wema Bank 5 for 5 Promo through a raffle draw selects winners from the Bank’s pool of active and transacting customers, based on the minimum requirements and modalities of the season.

A total of 1,177 customers have received cash rewards of up to N63.3 million in the first 2 seasons of the Promo; 23 of whom emerged millionaires in season 1 and 2.

The 5 for 5 Promo has since become a beacon of hope to millions of Nigerians and businesses across the country.

Referencing the Bank’s intention for the 5 for 5 Promo, the Head, Brands & Marketing Communications at Wema Bank, Mabel Adeteye, expressed gratitude to customers of the Bank for their continued support throughout Wema Bank’s 79-year journey.

“At Wema Bank, our world revolves around our people and customers. Their support is what has got us this far so it’s only natural that we seize every opportunity to give back to them and fulfil our goal of providing optimum value for every stakeholder. The 5 for 5 Promo was birthed from a place of gratitude and commitment to empowering our customers and with each season, we have simplified the requirements and amplified the rewards to ensure that everyone can benefit from the Promo. Season 3 has been nothing short of remarkable and as we close out our 79th anniversary celebration with one more 5 for 5 Promo Season 3 draw, we are honoured to be the bank of choice for our diverse customer base. To the 1,000+ customers that have won over the past 9 months and the 120 that will win in the grand finale, I say a huge congratulations. Thank you for choosing Wema Bank”.

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With each month in the 10-month spread, the 5 for 5 Promo Season 3 train has toured different locations across Nigeria, surprising customers with cash prizes ranging from N25,000 to N1,000,000 each. The 5 for 5 Promo stands out for its inclusivity, diversity and impact, touching the lives of hundreds of Nigerians of different ages, statuses, interests and inclinations.

Encouraging Nigerians to take advantage of the last draw of the 5 for 5 Promo Season 3, Mabel Adeteye, elucidated the minimum requirements for qualification. “The requirements are simple, fund your account with at least N5,000 and make up to 5 transactions using the ALAT App, *945# or your ALAT/Wema Card, maintaining a N5,000 minimum average account balance. It doesn’t matter where you are, what you do or when you started banking with us, you can be a winner. NYSC members have won, business owners, undergraduate students, working class professionals, everyone from Gen Z to the baby boomers—there’s room for all in the Wema Bank family and the 5 for 5 Promo. A simple download of the ALAT App could be the first step for potential winners. I look forward to May 31st, as we put the final bow on this exceptional journey that has made the 5 for 5 Promo Season 3 a success.”

The 5 for 5 Promo has transformed the lives and experiences of thousands of Nigerians across the world, with cash prizes for transactions on both Naira and Domiciliary accounts.

With a total of N80,000,000 already disbursed in the first 9 draws of Season 3, the grand finale is set to reward 120 more Nigerians with a N10,000,000 cash prize.

To qualify to win in the grand finale of the Wema Bank 5 for 5 Promo Season 3, Wema Bank account holders are to fund their Wema/ALAT accounts and make up to 5 transactions before the month ends.