By Ogbuotobo Chuks

Clear facts are beginning to emerge concerning the scope of the intended offer by Access bank plc. It was gathered that Access Bank is proposing to raise approximately N70 billion from the market. Access Bank on Friday, submitted its intention to raise the above amount in order to increase its working capital and other expansion purposes.

It was also learnt that the bank would be the first to enjoy the recently reviewed cost of raising funds from the market. In a recent development, the Securities and Exchange Commission (SEC) had reduced the cost in the market by 40 per cent. Consequently, it set a limit of seven per cent for public offers and six per cent for Rights Issue.

Other companies intending to come to the market to raise fresh funds include First Assurance and Equity Indemnity Insurance for merger, Dunlop Plc for their supplementary offer.

Dunlop went to the public to raise money and got more. Since the company had earlier made provision for absorbing excess money in their prospectus for supplementary allotment, they made fresh application to the Exchange to take in more money.

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This entry was posted on Sunday, May 27th, 2007 at 5:30 pm and is filed under Stock Market News. You can follow any responses to this entry through the RSS 2.0 feed. Tags: Access bank
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