Ecobank declares increased dividends

Thursday July 7, 2011

SHAREHOLDERS of Ecobank Transnational Inc, the parent company of the Ecobank Group are to receive a 33% increase in dividend payments this year following a resolution approved at the group’s annual general meeting (AGM) on June 29 at their new headquarters in Lome Togo.

Addressing shareholders at the AGM, the Group chairman, Kolapo Lawson said; “Having established a strong geographical platform for growth, we are now focused on the integration and optimization of business to maximise shareholder value. We will continue our strategy of increasing market share and revenues whilst plugging any gaps in our pan-African footprint.”

Reviewing Ecobank’s 2010 financial results, the Group Chief Executive, Arnold Ekpe said: “Overall, we believe that our strategy of diversification across geographies, customers and businesses has been a major factor in the improved performance of the Group.” Ekpe also pointed out that there was a marked improvement in the underlying performance of Nigeria, Ecobank’s main subsidiary, whilst a number of the Group’s start-up operations significantly reduced their losses or became profitable.

In 2010, Ecobank generated revenues of $900m and profit after tax doubled to $132m. The Group’s total assets surpassed the $10b mark for the first time, driven largely by a 22% growth in deposits.

Ecobank now operates in 35 countries Uganda inclusive and has 755 branches and offices.

Dele Alabi, the Ecobank Uganda managing director and David Twahirwa its Uganda chairman said the Uganda segment has since expanded to eight branches for the short time it has been here from January 2009. The Board Chairman said the best years for Ecobank lie ahead as the benefits of expansion, growth and its unique operating model are fully realised.

By Isaac Omodingin Lome Togo: The New Vision Newspaper