FCMB, NIGERIA’S FIRST INDIGENOUS BANK BERTHS FULL-FLEDGED LONDON SUBSIDIARY

Nigeria’s first indigenous Bank, First City Monument Bank (FCMB) Plc has established, an independently incorporated subsidiary, FCMB Bank (UK) Limited. The new Bank has launched exciting personal and banking propositions in London, United Kingdom and Lagos, Nigeria.

This development is anchored on the Bank’s London Leverage and Africa Awareness which will enable the financial institution deliver its promise of being the Corporate and Private Bank for African-oriented entrepreneurs, investors and professionals across all their banking needs.

The launch follows the latest variation of permission obtained by the United Kingdom-based Bank to extend its services to include retail (investments) for individuals and business enterprises. This is in addition to the existing wholesale deposit taking activities, foreign exchange, treasury, corporate banking and trade finance offerings to corporate and institutional customers of FCMB Bank (UK) Limited.The variation of permission was granted by the Prudential Regulation Authority, the financial services regulatory body of the United Kingdom, and it became effective on June 8, 2018. While speaking at the launch, the Group Chief Executive of FCMB Group Plc, Mr. Ladi Balogun, explained that the launch of FCMB Bank (UK) Limited’s personal and business banking proposition is as much a statement of substance as it is one of intent.

Also speaking, the Chief Executive Officer of FCMB Bank (UK) Limited, Mr. James Benoit, said that “with the extension of its services, the Bank is now able to receive deposits from both customer segments as well as provide them bank loans to enable them meet their financing needs. The deposit products on offer include current, notice savings and fixed deposit accounts at competitive rates; while its lending products include Buy-to-Let Mortgage Loans enabling target customers to acquire a piece of London and purchase property to include in their investment portfolios.” Adding that the Bank will be expanding its premises and entering into partnerships with Fintech providers to open up service options to its clients and enhance their overall banking experience.

It will be recalled that FCMB became Nigeria’s first indigenous bank by dint of hardwork and sheer determination by its founder, Oloye Subomi M. Balogun, the Otunba Tunwashe of Ijebu.

First City Merchant Bank Ltd as it was then known, was incorporated as a private limited liability company on April 20, 1982 and granted a banking licence on August 11, 1983. It was the first bank to be established in Nigeria without government or foreign support. On July 15, 2004, FCMB changed its status from a private limited liability company to a public limited liability company and was listed on the Nigerian Stock Exchange (NSE) by introduction on 21 December 2004.

Through an initial public offering in 2005, FCMB raised over N16bn towards the N25bn share capital target stipulated by the Central Bank of Nigeria, becoming one of only 25 banks to achieve this target. In 2007, FCMB acquired Cooperative Development Bank, Midas Bank and Nigerian American Bank (for Nigerian subsidiary of Bank Boston). From 26 branches in 2005 (pre-consolidation), the bank grew to 150 branches by 2007. The bank attracted sizeable foreign shareholding. Tier 1 capital raised through public offering from just over N31bn to N133bn.

In November 2010, both FinBank and First City Monument Bank (FCMB) announced that FCMB had expressed interest in acquiring shareholding and became the strategic investor in FinBank, another Nigerian commercial bank that was undercapitalized. In February 2012, following regulatory approval, FCMB acquired 100% shareholding and began integration of FinBank in its existing operations.

FCMB Group Plc was formed as a non-operating holding company for the existing group entities in June 2013 and was listed on the Nigerian Stock Exchange (NSE). This followed the issuance of Regulation 3 by the Central Bank of Nigeria (CBN) in 2010, which required banks to divest their non-Banking businesses or retain them under a CBN-approved financial group structure.

First City Monument Bank Ltd (FCMB) is the flagship of the Group and is a wholly owned primary banking entity. From its early origins in investment banking as City Securities Limited in 1977, FCMB has emerged as one of the leading financial services institutions in Nigeria. As at December 2017, FCMB had 3.7 million customers and 204 branches in Nigeria and its then wholly owned subsidiary in the United Kingdom which has now been independently incorporated. Now 84, Otunba Balogun, FCMB founder, remains a very active in philanthropy and promotion of culture. In a recent chat with newsmen during the 2018 Ojude Oba festival, Otunba Balogun observed that though he’s involved in a lot of charities, he has special focus on healthcare, which informed his decision to build and donate the National Paediatric Centre to the University of Ibadan. According to him “The good lord has enabled me to build one of the largest in Africa, purposefully built children’s hospital, which I’ve now given to the University of Ibadan; it has been converted to a Medical College affiliated to the College of Medicine, University of Ibadan. If you walk in there, you will find quite a lot of equipment that you don’t find everywhere,”

Otunba Subomi Balogun, Commander of the Niger (CON) and FCMB are both stellar Nigerian brands whose lights shine brightly across Nigeria’s Banking and Financial firmament.