Associated Discount House gets merchant banking licence

ASSOCIATED Discount House Limited (ADH) has been granted final approval for a full Merchant Banking license by the Central Bank of Nigeria (CBN).

The approval of the license followed the divestment from ADH by Access Bank Plc and Wema Bank Plc, in line with the CBN’s directive to commercial banks on divestment from non-bank subsidiaries.

The divestment was announced at the company’s 21st AGM on Thursday April 30th, where the Chairman of the Board of Directors Aigboje Aig-Imoukhuede also announced the retirement of those directors representing the member banks.

The retiring directors are Aig-Imoukhuede, Mr. Herbert Wigwe, Mr. OlusegunOloketuyi and Mr. Nurudeen Fagbenro.

At the same meeting, the shareholders appointed Mr Babatunde Folawiyo, Ms Evelyn Oputu and Mr Adamu Atta as Non-Executive Directors of the company, with Folawiyo taking over as the Chairman of the Company.

The outgoing Chairman however, expressed gratitude to God, the shareholders and board members for the opportunity to serve the company, noting that they are handing over a strong financial institution with the cleanest balance sheet in the industry.

According to him, “the acquisition of a merchant banking license marks an important step in the evolution of Associated Discount House to provide a broader range of services to our clients and participate more broadly in the revitalization of Nigeria’s Capital Markets.

“I am delighted to be handing over to a new Chairman of the caliber of Folawiyo and look forward to watching the company grow and fulfil its potential over the coming years.”

ADH had retained the 2014 Augusto and GCR A-rating, while it made a profit after tax of N1.61 billion for the year and grew its shareholders’ fund to N16.52 billion.