Olufemi Adeyemi
Infinity Trust Mortgage Bank (ITMB) Plc, announced its intention to secure an additional N50 billion through a private placement. This strategic move aligns with the bank’s vision of transforming into a digital commercial bank, expanding its services and capabilities to meet the evolving needs of its customers.
During the “Facts Behind the Presentations” capital market
community event in Lagos, the Chairman of ITMB, Mrs. Okwa Ene Iyana, announced
a capital raising initiative. This strategic move aims to leverage new
opportunities, expand the bank’s reach as a catalyst for financial
inclusiveness, and solidify its leadership position in the sector.
Mrs. Iyana emphasized that this initiative reflects the
unwavering confidence of shareholders in the bank’s potential, workforce, and
future prospects.
“As we navigate through the complexities of its dynamic
industry, we remain steadfast in our mission to provide innovative,
customer-centred solutions, to fostering sustainable growth and creating long
term value for all our stakeholders.
“Our unwavering commitment to excellence, integrity, and
transparency has been the compass of our success to date and we will continue
to uphold these values.”
She further noted that since IITMB was listed on the NGX in
2013, the management has consistently distributed dividends to shareholders in
the fifth month of each year.
“It will interest you to note that this track record began
before ITMB was listed on NG, it has become a culture that we hold very dear,
and we are committed, to ensuring that this will continue,” she said.
In discussing the primary objective of the capital raising
initiative, Mrs. Ngozi Chukwu, the Acting Managing Director and Chief Executive
Officer of ITMB, emphasized the goal of evolving into a digital commercial
bank.
This transformation aims to enhance financial support for
critical sectors and address the challenges faced by Micro, Small, and
Medium-sized Enterprises (MSMEs) as well as unbanked individuals.
She referenced a 2022 report from the Central Bank of
Nigeria (CBN) indicating that there are over 39 million MSMEs with limited
access to financing for business growth.
Notably, only 0.3 percent of commercial banking credit is
allocated to this group, with more than 75 percent of MSMEs relying on internal
funds, which are often insufficient and inefficient.
She stated, “ITMB will utilize technology and digital
solutions to effectively reach our target customers, resulting in lower
interest rates and increased returns through higher transaction volumes.
Technology is crucial for our strategy.” The focus will be on MSMEs and those
underserved by microfinance and commercial banks.
She outlined six strategic pillars: promoting financial
inclusion, leveraging deep industry expertise, utilizing data and technology,
innovating and customizing products, forming partnerships, and achieving cost
efficiencies.
In discussing the advancement of financial inclusion, she
noted that the company aims to offer financial services to those who are
underserved and underbanked, in alignment with the Central Bank of Nigeria’s
strategic objective of raising the financial inclusion rate to 80 percent.
She elaborated that ITMB plans to develop initiatives in
digital banking, transportation and logistics, asset management, healthcare and
pharmaceuticals, real estate and green finance, agriculture, foreign exchange,
as well as empowerment programs for women and youth, all while seeking to
generate an additional N50 billion in capital. Furthermore, she projected a
Dividend Per Share (DPS) of N2.46 by 2028, up from N0.42 in the 2024 financial
year.
Earlier, Mr. Jude Chiemeka, the Chief Executive Officer of
the Nigerian Exchange Limited, acknowledged the ongoing economic challenges but
praised the Infinity Trust Board and management for their efforts in enhancing
operations, ensuring business continuity, and restoring investor confidence.
He remarked, “Their commitment and dedication to these goals
reflect their resilience and adaptability, which are vital in today’s market
landscape.”
Chiemeka also emphasized the Exchange's dedication to
facilitating infrastructure funding through specialized financial instruments
like Infrastructure Bonds and Infrastructure Funds, highlighting their
importance in addressing Nigeria’s funding shortfall and promoting sustainable
development.