Access Holdings has reportedly begun exploring a sale of one of its foreign subsidiaries in order to comply with a new regulatory requirement from the Central Bank of Nigeria (CBN). The move comes as the lender seeks to align its capital structure with the bank’s latest prudential guidelines.
As of 30 September, the group’s investments in subsidiaries were valued at N446.6 billion, which represents about 19.29 percent of its shareholders’ funds. The figure highlights the significant exposure the bank has to its overseas operations.
While the company has not yet confirmed the sale, industry observers say the divestment would help Access Holdings meet the CBN’s capital adequacy or foreign investment limits. The decision is part of a broader effort by Nigerian banks to tighten their balance sheets in the face of tightening regulatory scrutiny.
Access Holdings has not released a formal statement on the potential exit, but the report from Premium Times Nigeria suggests the move is under serious consideration. The outcome will likely affect the lender’s asset mix and could influence its future expansion plans abroad.
<small>Source: Premium Times Nigeria — read the original story there.</small>
