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Tag: Wema Bank

  • Wema Bank trains students on etiquette

    Wema Bank Plc yesterday marked this year’s Children’s Day with students from different Lagos schools by training them on social etiquette.

    The lender, which hosted many students at its head office in Marina, Lagos, also used the opportunity to teach them social etiquette like how to speak fluently, use cutleries, sitting at social functions, history of etiquette among other issues.

    The students also used the opportunity to practice different soft skills that relate to their daily living. The programme, is in furtherance of the ‘goes with you all the way’ slogan has imparted school children with soft skills to build their lives in celebration of this year’s Children’s Day.

    The training was done in conjunction with The English Manner Nigeria and the children were taken on etiquette and skills that will take them all the way through school and life generally. The bank said it decided to start the life-long soft skills learning quite early for the school kids, adding that adherence to it by the school children will have a huge impact on their lives.

    Wema Bank’s Team Lead, Retail Product, Abiola Afolayan said the bank decided on etiquette because most schools do not have it in their curricula due to the cost of getting teachers.

    He said the school children were selected across different schools and were the first to be taken on it due to the need to bank its customers early in life. He said they have been celebrating Children’s Day for long but decided to change the narrative this year because of the gains inherent in equipping the kids with soft skills.

  • Wema Bank to reward customers

    Wema Bank Plc is taking some of its customers to Russia next month as part of its promo. The promo, which will reward a selected number of customers who have saved at least N100,000 in their Wema Savings or ALAT Accounts over 30 days with a trip to Russia, coincides with the FIFA World Cup season.

    “We are rewarding our customers who operate Savings Accounts and have saved N100,000 or more for at least 30 days, with a trip to Russia,” said Dotun Ifebogun, Head Retail and SME Banking at Wema Bank.

    “This promotion is our way of saying thank you to customers who have committed to saving. It is also a way of encouraging non-customers to start saving by opening a Wema Savings Account or ALAT Account as new customers who open an account and save a minimum of N100,000 for 30days will also be rewarded,” Ifebogun added.

    Wema Bank, which recently celebrated its 73rd anniversary and the first anniversary of its digital bank ALAT, is committed to encouraging savings. The bank has in the past supported events and campaigns that drive savings culture. The latest initiative is believed to encourage more people to save.

    “Savings helps people become financially secure and provide a safety net in case of an emergency,” stressed Funmilayo Falola, Head of Brand and Marketing Communications at Wema Bank Plc. “It gets even better when you are being rewarded for saving your money,” she added.

    The bank said it decided on sending its lucky customers to Russia because 2018 is the best year in recent times anyone could have gone to the world’s largest nation. Also, June is the month with the best weather most convenient for long hours of sightseeing and “ball-watching”.

     

  • Wema Bank to resume dividend payment

    Shareholders of Wema Bank Plc will soon begin to reap benefit of the bank’s turnaround as the first generation bank continues to improve its profitability.

    Addressing shareholders at the Annual General Meeting of the bank in Lagos, its Managing Director, Mr Olusegun Oloketuyi, said the bank has entered the final stage of the restructuring process that started in 2009 and would soon be in a position to pay dividends to shareholders.

    He noted that the bank had witnessed a remarkable turnaround over the years with consistent improvement in all key indicators.

    He pointed out that despite the slow start to 2017, the bank recorded significant progress and was able to conclude its capital reorganisation scheme.

    According to him, with all relevant regulatory approvals in place and duly passed and reflected in the 2017 financial year accounts, the conclusion of the exercise would now lead to an efficient balance sheet, as ploughed back profit can be capitalised to grow the business while positioning the bank for dividend payment in the near term.

    He noted that given the relative decline in interest rates and possible growth within the economy, the bank will be re-opening the 2nd series of its N50 billion debt issuance programme within the next few months.

    Chairman, Wema Bank Plc, Mr. Babatunde Kasali said the bank delivered on a substantial proportion of its strategic goal for 2017 while undertaking bold steps to ensure that it consolidated on earlier gains.

    He pointed out that year-on-year, the bank continues to record significant achievements in various areas, which include the launch of ALAT, Nigeria’s first fully digital bank, as it also develops new capacities for sustainable competitive advantages.

    He outlined that the bank’s business is focused on four areas including innovation and technology; relationships; risk management and national footprint to achieve its set targets.

    “In our continued bid to continuously position the bank for sustainable competitive advantages, the bank invested in building new capabilities with the launch of ALAT, Africa’s first fully digital bank, in 2017, ALAT has recorded significant milestones especially around customer acquisition. Furthermore, we will continue to improve on our people through requisite trainings while driving and gaining efficiencies within our processes,” Kasali said.

    He assured that the bank will continue to reinforce its commitment towards balance sheet optimization and income generation, efficiency and value creation for the customers and shareholders.

    “As a bank, we look forward to 2018 with renewed confidence. Internally, significant steps will be taken in 2018 that will deliver value for our shareholders,” Kasali said.

     

  • Wema Bank posts N65.27b full-year gross earnings

    Wema Bank PLc has grown its gross earnings by 20.07 per cent to N65.27 billion, its audited financial result for the year ended December 31, 2017has shown.

    The result, released yesterday showed the performance  was a great improvement from N54.36 billion gross earnings for the same period in 2016.

    The growth, the bank said,  was supported by the launch of ALAT – Nigeria’s first fully digital bank, enhancing Wema Bank’s already existing alternate platforms which recorded a combined growth rate of 205.67 per cent in transactions executed and with an estimated 30,000 accounts opened monthly.

    The bank’s  Managing Director/CEO, Segun Oloketuyi said despite the slow start to the year, 2017 recorded significant progress, highlighted by the introduction of the Investors & Exporters (I&E) Forex window and recovery in oil prices.

    “Our target market is the upwardly mobile youth segment, the young entrepreneurs, the young professionals and the financially excluded, where we continue to leverage incremental innovation and integral capabilities. For us, banking should be simple, reliable and convenient,” he added.

    Oloketuyi added: “We continue to execute our omni channel business model with precision, as we made in-roads to Kaduna, Bauchi, Kano, Mararaba (Nasarawa), Warri, Aba, Sangotedo (Lagos) and Lagos State University (LASU). Furthermore, we recorded increases in the number of strategic partnerships forged and expect this trend to further gain momentum.

    “In October, the bank held its Extra-Ordinary General Meeting (EGM) towards its proposed Capital Reorganisation Scheme.  I am delighted to announce that the exercise has been concluded, with all relevant regulatory approvals in place and duly passed and reflected in the 2017 financial year accounts. As earlier highlighted, the conclusion of the exercise would lead to an efficient balance sheet, as ploughed back profit can be capitalised to grow the business while positioning the Bank for dividend payment in the near term.

    “I would like to appreciate our esteemed shareholders for their patience and the trust reposed in us. We are now in the final stage of our three-pronged strategy; stabilise the bank (2009 – 2012), reposition the bank (2013-2017) and grow the Bank (2017 and beyond).”

    The bank’s Chief Finance Officer Tunde Mabawonku noted that the lender’s 2017 result was reflective of its continued resilience despite realities arising from increased impairment charges during the period.

  • Wema Bank secures $35m AfDB, ICD funds for SMEs

    Wema Bank Plc has secured $35million loans from two multilateral development finance institutions – the African Development Bank (AfDB) and the Islamic Corporation for the Development of the Private Sector (ICD).

    It signed a $15 million deal with AfDB and a $20million agreement with ICD to support small and medium scale enterprises (SMEs).

    The agreement was signed at the third Africa Islamic Finance Forum.

    Wema Bank Managing Director, Segun Oloketuyi, said the funds would bolster the bank’s vision of building a sustainable retail sector by supporting micro, small and medium scale enterprises.

    SMEs are one of the greatest contributors to the country’s growth. Research has shown that the sector contributed over 55 per cent of Gross Domestic Product (GDP) and over 65 per cent of total employment in high-income countries.

    Also, SMEs account for over 60 per cent of GDP and over 70 per cent of total employment in low-income countries, while they contribute over 95 per cent of employment and about 70 per cent of GDP in middle-income countries.

    “We believe efforts like this, ultimately, help to create jobs, accelerate industrialisation, redistribute wealth and fight poverty,” Oloketuyi said.

    Wema Bank, through its newly-launched ALAT, the first digital bank in Africa, will deploy the line of credit to boost the funding.

    ICD Acting CEO Mohammed Al Ammari, confirmed the partnership, adding that it would further deepen its footprint in Africa, where a significant portion of its investment portfolio is domiciled.

    “ICD’s line of investment portfolio has been heavily concentrated in Africa over the years, seeking opportunities to grow funding for SMEs and provide economic-stimulating investments within the region,” he said.

    Wema Bank has continued to growing its capacity to provide solutions tailored to suit the lifestyles of its customers and build to deliver value to all stakeholders.

     

  • Wema Bank boosts CSR initiatives

    Wema Bank Plc has assured stakeholders that it would continue to promote Corporate Scial Responsibility (CSR) to create lasting impression in the lives of the people. The bank in a statement, said it will continue to celebrate people in its communities every-day, doing the little things that Make A Difference (M.A.D).

    “As a bank that prides itself in creating wealth for its people, we are determined to shape the minds of those around us that wealth is beyond financial fortunes; beyond riches. It is an overall wellness of the entire being. This means wealth is reserved for a few but can be found and experienced in the little things that make meaningful impact,” it said.

    Over the years, the bank has championed this narrative by pursuing meaningful, life-changing initiatives that has transformed lives, empowered people and provided a brighter future for several others.

    In recent times, Staff members of the bank have come together as a family to donate a day’s salary towards a noteworthy cause including paying in full the medical bills of patients in public hospitals, providing a brighter future for several children by taking up their school fees, and renewing the hope of families by providing financial aid to support their businesses.

    In 2016, a physically-challenged hairdresser bought herself a wheelchair and set up a beauty shop from the funds received from the such donations. She is doing well and has started production of her beauty care line.

    Last year, donations were channeled into paying the hospital bills of patients at the Children’s emergency ward at LUTH, Braithwaite Memorial Specialist Hospital, Old GRA Port Harcourt and Wuse General Hospital, Abuja, ensuring that these kids have another chance at chasing their dreams.

    This year, the bank is keen to showcase wealth in all spheres of life by celebrating people and showcasing the wealth of opportunities abound in our communities. For the first 14 days in February, we have lined up simple, everyday activities that will impact every segment of society; from our kids to the elderly, the less privileged to the working professional and business person.

  • Wema Bank partners Petrolex on $300m tank farm

    Wema Bank has partnered with Petrolex, an indigenous oil and gas company, for the development of $300 million Ibefun Tank Farm.

    The farm, located in Ibefun, Ogun State, holds a 300 million litres storage capacity and can turn over 600 million litres of petroleum products in one month. The complex also comprises a residential estate for staff, an army barracks, 30 loading gantries for product disbursement, and a 4,000 truck capacity trailer park with accommodation for drivers.

    The facility is part of a long-term plan by Petrolex to develop a $6 billion Oil Megacity. Once completed, it is expected to be Africa’s largest petroleum products hub.

    The megacity will sit on a landmass that spans over 101 square kilometres, a tenth of the entire size of Lagos State. It will house a 250,000 barrels per day capacity refinery – estimated to cost $3.5 billion, an ultramodern lube plant, an LNG and LPG plant, and a power plant. The project is expected to create over 2000 direct and indirect jobs.

    Chairman and Chief Executive Officer of Petrolex, Segun Adebutu, explained that while the tank farm will immediately bring on board thousands of jobs, his long term vision for the megacity is to build a largely indigenous company that will enhance the livelihood of many Nigerians and ensure the country’s self-sufficiency dream in energy is made a reality.

    The Managing Director/Chief Executive Officer  of Wema Bank Plc, Olusegun Oloketuyi,  expressed his delight that Wema Bank was part of such a prestigious project. He said the bank’s involvement in part-financing the largest Tank Farm in sub-Saharan Africa further reaffirms its commitment to play a crucial role in the country’s growth and development by providing funding for critical, economically-enhancing projects.

    “We are extremely delighted to have partnered with Petrolex on this laudable project,” said Mr Oloketuyi. “Our participation in this remarkable venture further reaffirms our brand position to go all the way with our customers in ensuring their dreams become a reality. We remain unwavering in our quest to support historic and value-adding propositions that ultimately enhance the lives of people and bring about economic prosperity.”

  • Wema Bank marks World Savings Day

    Wema Bank marks World Savings Day

    Wema Bank Plc has joined the world in celebrating the World Savings Day under the theme “Our future starts with savings”. The Deputy Managing Director of the bank Ademola Adebise was at Edokpolor Grammar School, Benin City, Edo State, where he encouraged students to imbibe the savings culture.

    “There is no future as secure as the future of a person who saves. Saving shows how dedicated you are to planning for the future and anyone who plans usually succeeds,” said Adebise in an interactive session with the students of the school.

    “Your future starts with savings. How much do you get from family and friends? Have you thought about saving the money for books or to ensure you study at a University you really like? There are many possibilities you can explore if you commit to saving. Don’t ever forget that your future starts with savings,” Adebise told the students who gave a rousing applause as he ended the session.

    The DMD also answered questions asked by the students on savings and ensured that they understood every explanation clearly.

    The World Savings Day emphasizes the importance of savings to economic development, and provides a good occasion to look at how fintech may help solve the challenge of savings.

    In its 72 years of existence, Wema Bank has encouraged the savings culture among its customers and has reinforced this position by setting up ALAT, a digital bank that offers 10% interest on savings. There are two variants of savings on ALAT; ALAT Stash and ALAT Savings Goal. Customers can enjoy 10% interest on both variants regardless of despite the flexibility they offer.

    Commenting on ALAT’s unique proposition Funmilayo Falola who heads Brand & Marketing Communications at Wema Bank says the Bank understood the importance of saving, hence the 10% interest rate it offers on ALAT Savings Goals and ALAT Stash.

  • Wema Bank to reorganise capital for efficiency

    Wema Bank to reorganise capital for efficiency

    Wema Bank Plc has issued a notice of an Extra-Ordinary General Meeting (EGM), to seek the consent of its shareholders for a comprehensive scheme of capital reduction.

    The exercise is in line with the procedures set out in Sections 105, 106, 107, 108, 109, 110, 111 and 120 of Companies and Allied Matters Act (CAMA) and Rules 4(d), 4(g) and 5(4) of the Company Proceedings Rules 1992.

    Wema Bank is pursuing this holistic approach to enable it position its balance sheet for better efficiency. Having been transformed to one of the leading banks within the retail banking space, Wema Bank with its national authorisation, has reemerged stronger, more efficient, resilient and customer-focused organisation with a robust risk and governance structure.

    A review of the bank’s financials revealed the carrying of a negative retained earnings balance, which arose from losses prior to June 2009 when the current management assumed office.

    Though the bank has since returned to profitability in the last four years, the implication of negative retained earnings is that, the bank, by regulation, is precluded from providing necessary returns to providers of capital.

    “We believe the completion of this exercise would result in the plough back of subsequent years’ profits – aiding the continued growth of the institution, improvements in performance, particularly as it relates to the reduction in our cost to income and return on equity ratios while commencing the payment of dividend,” a statement from the bank said.

    The holistic capital reduction scheme would have no impact on the current holdings of shareholders, though the Bank will be creating a capital reduction account while an equivalent amount will be moved from its share premium account to effectively close the entries. Following the consent of the shareholders, the bank will subsequently make an application to the Federal High Court  for the approval of the scheme.

    Wema Bank continues to improve on its performance, despite the relatively challenging business environment. Furthermore, the bank has recorded successes in several financial and non-financial priorities specifically, Wema Bank’s growth strategy – Project LEAP – revolves around a blended approach involving partnership, growing branch network and digitization.

    This was further strengthened by the May 2017 launch of ALAT – Nigeria’s first fully digital Bank. ALAT is the first of its kind with its end-to-end digital offering and customer interaction

    The bank has its National Long-Term Rating affirmed at (BBB-) by Fitch and Global Credit Rating (GCR), both leading credit rating and research agencies with its Non-Performing Loans (NPLs), Capital Adequacy Ratio and Liquidity Ratio all within the regulatory threshold.

  • Wema Bank plans capital reduction to write off retained losses

    Wema Bank plans capital reduction to write off retained losses

    Wema Bank’s Board of Directors at the weekend indicated that it has called an extraordinary general meeting of shareholders of the bank to consider a comprehensive capital reduction exercise that will lead to a write off of accrued legacy losses in the bank’s balance sheet.

    Under the capital reduction exercise, the bank will create a capital reduction account to charge off impaired assets and legacy losses while simultaneously moving the equivalent amount from its share premium account to effectively close the entries. The capital reduction will, however, have no impact on the shareholdings of the bank.

    Shareholders are expected to meet next week to consider and vote on the capital reduction scheme. If approved, the bank will subsequently apply to the Federal High Court for the approval of the scheme in line with extant laws.

    In a regulatory filing signed by the Company Secretary/Legal Adviser, Wema Bank Plc, Mr Oluwole Ajimisinmi, the comprehensive capital reduction represents an holistic approach that will enable the bank to position its balance sheet for improved efficiency.

    The bank noted that while it has emerged stronger and more profitable, negative earnings that arose from legacy losses prior to June 2009 have continued to undermine the bank’s ability to pay dividends while restricting the ability to raise new capital.

    “Though the bank has since returned to profitability in the last four years, the impaction of negative retained earnings and other impaired assets is that, the bank, by regulation, is precluded from providing necessary returns by way of dividends to shareholders and most importantly, restricts the ability and cost to raise new capital,” the bank said.

    Wema Bank’s capital reduction plan comes on the heels of plan by another quoted company, Prestige Assurance Plc,  to cancel about 1.6 billion ordinary shares out of its issued and fully paid up share capital under a share reconstruction that seeks to write off accumulated losses.

    Under the share reconstruction proposal, Prestige Assurance is seeking to reduce its share capital from N2.685 billion or 5.370 billion ordinary shares of 50 kobo each to N1.909 billion or 3.817 billion ordinary shares of 50 kobo each in the issued and fully paid up ordinary shares of the company.

    This will lead to reduction of N776 million or 1.55 billion ordinary shares. “The share capital so reduced will be applied in writing off the capital of the company, which is lost or unrepresented by available assets,” according to a regulatory filing on the reconstruction.

    Prestige Assurance stated that the essence of the capital reconstruction is to enable it wipe out its accumulated retained losses of N776.511 million.

    The company noted that the reconstruction will reposition it on a trajectory for subsequent accumulated retained profit while creating more value to its shareholders.