Shell Energy Entrepreneurs banner Yudala banner
CBN extends lifeline to Skye Bank by another year

By News Express on 18/07/2017

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 508

•CBN Headquarters.
•CBN Headquarters.

 Nigeria’s central bank has extended guarantees to Skye Bank for another year while it considers the bank’s recapitalisation proposal, the mid-tier lender said in a statement.

The central bank shored up the Skye last year with a 100 billion naira ($328 million) capital injection, after sacking its top management for failing to meet minimum capital requirements. It then appointed a new management team.

The bank said it had recovered 60 billion naira in bad loans, closed some branches and sold four subsidiaries to boost capital in the past year.

Skye’s problems started after it used short-term funds to buy local lender Mainstreet Bank in 2014 but failed to raise fresh cash. It was in talks with shareholders and investors last year to raise 30 billion naira but suspended the plans when weak oil prices hit capital markets and drove foreign investors away.

“The bank continues to require assistance from central bank and government as it repairs the damage inflicted on the institution in the past and charts a sustainable path forward for the bank,” Skye Bank said in a statement.

It said it had reached restructuring agreements with many of the chronic bad debtors resulting in improved payments and prospects of future recoveries, it said in a statement.

Skye shares rose more than 3 percent on Tuesday and were up 16 percent this year, after last year’s 68 percent plunge.

The bank, which posted a pre-tax loss in 2015, said it had submitted its 2016 accounts for approval.

The central bank designated Skye as one of Nigeria’s systemically important banks due to the size of total deposits it holds after it acquired Mainstreet Bank. This means it has to increase its capital ratio to 16 percent, the industry average.

The bank said it has appointed advisers to guide it on a recapitalisation process and that it has identified various options with proposals being considered by the central bank. (Reuters)

 

Source News Express

Posted 18/07/2017 9:04 PM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

Let us build the most comprehensive online database of worthy and credible Nigerians from all walks of life. It is worth doing!

Loss Off Your Belly Fats, Upper Arm Fat and Body Fats In 2weeks Time.. Click HERE To Start Now!

 

You may also like...
Confirmed: 54 Nigerian pilgrims died in Hajj stampede...

Revealed: Why Buhari fired Head of the Civil...

House Speaker, Deputy pocket N1.4b ($9m) “quarterly allowance”...

Reps give Finance Minister 24 hours to face...

29 days to 2013 Nations Cup: Drogba, Yaya...

5 Nigerian women converted to sex slaves by...

Coup scare: Army clamps down on suspected soldiers...

Bread scarcity looms as bakers threaten strike

No substitute to Nigeria’s unity: Ambode •Makes case...

Pictured: Obama’s wife throws weight behind #BringBackOurGirls campaign...

DSS again fails to bring Ifeanyi Ubah to...

Army recovers list of names of Boko Haram...

 

Latest News FG queries Magu, Keyamo over corruption charges against CCT Chairman Israel, Iran clash over nuclear threat Exodus hits Ekiti community over fear of attack by herdsmen Nigeria in a state of uncertainty and confusion under Buhari — Cardinal Onaiyekan Boss Mustapha, Rotimi Amaechi have derailed; they should resign now: HURIWA Fulani herdsmen fighting us because Benue frustrated 1804 Jihad — Ortom ‘Kano Big Girl’ arrested for impersonation No crisis in Nigeria; country in safe, competent hands — Minister It was horrible working with Pinnick-led NFF — Oliseh Police nabs 3 over Zamfara killings Bayelsa soon to become hub for medical tourism, says Obasanjo ‘Black Panther’ smashes Box Office records

 

Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (324,989 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (316,529 views) Shameless Genevieve Nnaji exposes breasts in public (253,144 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (207,798 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (194,156 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (186,784 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (162,251 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (145,600 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (139,861 views) Lagos plane crash: Journalist releases victims’ names (128,793 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (127,259 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (122,591 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (34) Business (2,894) Business Verdict (33) Columnists (802) Complaints & Requests (94) Enterprise & Opportunities (203) Entertainment (446) Features (548) Global Business Monitor (225) International (1,797) Interviews (143) Live Commentary (28) Love Matters (104) News (32,932) Opinion (883) Pidgin (10) Politics (4,503) Religion (677) Sports (1,434) Stock Watch (27) AMA & Al Jazeera Global Update

 

CBN Banner advert

CBN Words on marble

 

 

Football president George Weah puts Liberian army to the test

 

APO Group Partner

 

CLASSIFIED ADS

Let us build the most comprehensive online database of worthy and credible Nigerians from all walks of life. It is worth doing!

Loss Off Your Belly Fats, Upper Arm Fat and Body Fats In 2weeks Time.. Click HERE To Start Now!

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement