The exceptional provision by the group is in line with its ongoing commitment to implementing a robust enterprise risk management system across its global operations. It must be noted that the bank recently embarked on implementation of International Financial Reporting Standards (IFRS) and BASEL 2. This entails an integrated implementation of key international best practices in risk management, financial reporting, internal controls and corporate governance

According to the Group Managing Director/Chief Executive Officer UBA Plc, Mr. Tony Elumelu, “the bank’s key performance indicators remain very strong with operating income up by 20%, liquid assets at N670bn, liquidity ratio at 41% (16% above regulatory minimum) while its deposit base remains one of the strongest in the country.”

He noted further that UBA has maintained the momentum of growth on its deposit base to N1.12 trillion rising from N834bn in 2008 with shareholder funds of N208 billion noting that this strong base will impact positively on the bank’s future results.

“We have been involved in strategic deals in recent times such as the US$265 million NNPC/Exxon Mobil Upstream financing with UBA as lead arranger, the N75bn Federal Government Agric fund inflow and the successful conclusion of the N18.5 billion Imo state bond issue. With this development, I am optimistic that this and other strategic alliances will readily provide UBA the platform for enhanced performance in future” he said.

As further recognition of UBA’s ability to support private and public enterprises across the African Continent, the African Development Bank (AfDB) recently granted UBA a US$150 million facility under its Trade Finance Initiative. This facility will be used to fund projects and trade finance operations in Africa and also provide the bank the leverage to deepen its play in the corporate banking space.

This facility is the largest commitment to a single bank in Africa by the development finance organization and is a testament to both UBA’s position as a pre-eminent African financial institution and ability to support trade business across the African Continent.

The Group also participated in the provision of a $151m facility for MTN Cote D’Ivoire.

United Bank for Africa (UBA) plc has consolidated its position as leading African banking brand with more subsidiaries springing up in different parts of the continent. In 2009 alone the bank has opened additional six subsidiaries across the continent growing its footprint on the continent to 12 with plans to be in 25 African countries by end of 2009. This is in addition to the bank’s presence in key international financial markets such as London, New York, and Paris.

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The signing ceremony in Cotonou, capital of Benin Republic was witnessed by a delegation from the United Bank for Africa (UBA) Plc led by Mr. Rasheed Olaoluwa, CEO UBA Africa and government led by the Minister of State, Mr. Pascal Koupaki.

UBA Plc had in late 2008 similarly acquired majority stake in the state owned Banque Internationale du Burkina (BIB) thus paving way for the bank’s extension of its brand into the Francophone West African countries.

Commenting on the most recent acquisition by the Group, Mr. Rasheed Olaoluwa, CEO, UBA Africa said, “The acquisition of the Continental Bank of Benin has already been approved by both the Central Bank of Nigeria and the Banking Commission UEMOA. The event is consistent with the commitment of the UBA Group to extend its brand presence across Africa, and is poised to bringing the number of its presence in African countries in 2009 to at least 25, assuring that plans are already in place to commence operations in other key financial markets in the continent for takeoff of its operations.

“Apart from Nigeria, UBA Plc has expanded its operation to 8 African countries including; Ghana, Liberia, Cote D’Ivoire, Sierra Leone, Uganda, Cameroon, Liberia, and Burkina Faso, with presence in key global financial markets such as New York and London.

UBA’s brand positioning as Africa’s global bank is an effective touchstone that facilitates market acceptance even before consumers have the opportunity to experience its products. Expectedly this will be brought to bear in Burkina Faso as has been the case in other geographies in Africa where UBA quickly has become one of the key providers of financial services.

UBA Plc is one of the leading financial services group in Africa providing a full range of solutions and financial services to over six million customers spanning all market segments. Customers of the bank are able to enjoy walk-in services, through the bank’s expansive retail distribution network of over 700 business offices, as well as remote services through electronic channels.

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Apart from Nigeria, UBA is firmly grounded in Ghana, Liberia, Sierra Leone, Uganda, Cameroon and Liberia whilst its presence in key global financial centers like New York and London, provides it with a platform to financial solutions to African business globally.
The initial investment in BIB, which has received all approvals by the apex regulatory financial institutions in Burkina Faso, is consistent with the UBA Group’s vision that is driven by the need to establish a strong pan-African presence. “We are delighted with the opportunity to extend our operations to Burkina Faso. BIB is the leading bank in the country and provides a solid platform for the deployment of innovative financial services and products to the people” said Rasheed Olaoluwa, CEO UBA Africa.
BIB was founded in 1974 as BIAO, following restructuring of BIV (Banque International de Voltas) which was changed in 1991 to Meridien BIAO and later operated under strategic partnership with BELGOLAISE. The bank has a very strong legacy as the first bank to commence commercial operations in Burkina Faso and share similar characteristics with UBA. Apart from having the largest ATM network in the country it equally has an extensive branch network with affiliates in the brokerage and leasing businesses. Its array of innovative products include Africard, the first prepaid visa card in Burkina Faso that was launched last year.

The reconstituted BIB Board of Directors has announced the appointment of one of the foremost bankers in the region, Mr. Alphonse Kadjo as the new MD/CEO. Educated at Ecole Superieure de Commerce of Abidjan and Brighton Business School in England, Kadjo with over 19 years experience has worked in several geographies and several institutions including Citigroup.

UBA’s brand positioning as Africa’s global bank is an effective touchstone that facilitates market acceptance even before consumers have the opportunity to experience its products. Expectedly this will be brought to bear in Burkina Faso as has been the case in other geographies in Africa where UBA quickly has become one of the key providers of financial services.

United Bank for Africa (UBA) Plc is one of the leading financial services group in Africa providing a full range of solutions and financial services to over six million customers spanning all market segments. Customers of the bank are able to enjoy walk-in services, through the bank’s expansive retail distribution network of over 700 business offices, as well as remote services through electronic channels.

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Elumelu was honored alongside other notable Nigerian including the Chairman of The National Communications Commission, Mr. Ernest Ndukwe and former Nigerian High Commissioner to The United Kingdom, Dr. Christopher Kolade, at the Expo Center, Eko Hotel, Lagos.

Professor Pat Utomi, Chairman of Vivante, said Elumelu was chosen in recognition of his immense contribution to economic development as he epitomizes the face of a the new Nigerian. According to him, “the likes of Tony Elumelu are champions of nation building. It is our duty to recognize and celebrate”.

Deputy Director of Marketing and Corporate Relations, UBA Plc, Mr. Martins Anyanwu received the award on behalf of Mr. Elumelu describing the UBA helmsman as not only nationalist but afro-centric in outlook. Under the leadership of Mr. Elumelu he said UBA has consolidated its leadership status in the Nigerian Banking Industry and is sure footed in its regional expansion drive. With presence in 11 African countries, UBA plans to extend to another eight before the end of the next financial year he said.
Tony Elumelu has been gaining increasing recognition as one of the leading and widely influential corporate leaders in Africa since he conceived and managed the merger of legacy Standard Trust Bank Plc and UBA Plc in 2005, a union that has grown to the largest financial services group in West, Central and East Africa. He has received many awards and honors some of which include African Business Leader of the Year 2006 by the Africa Investor magazine.

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Receiving the award on behalf of Mr Elumelu, the CEO of UBA Capital, Mr Nandan Mer dedicated the award “to the over 20,000 employees of UBA around the world from China to Nigeria, to the United States of America, for serving our customers better everyday with innovative products and services and for powering the vision to build a model global African financial institution”.

Mr Elumelu has been gaining increasing recognition as one of Africa’s leading and widely influential corporate leaders since he conceived and managed the merger of Standard Trust Bank Plc and UBA Plc in 2005.

Source: allAfrica.com

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UBA had already acquired five (5) other failed banks; City Express Bank, Gulf Bank, Trade Bank, Afex bank and Metropolitan bank. All the six banks have now joined Africa’s global bank as a member of the UBA family of over 700 business offices, over 1000 ATMs and a vast range of innovative financial solutions.

“This acquisition inches us closer towards the actualization of our vision of leading the financial services sector across the continent,” said Victor Osadolor, Executive Director /Group Financial Officer, UBA Plc.

In line with the Purchase and Assumption scheme, UBA has acquired the physical assets, including all the 17 branches of Liberty Bank, and also assumed the private sector deposit liabilities of the bank.

A statement from the bank said that though the acquisition of banks under the P&A is a commercial decision, it also serves as the bank’s contribution towards bringing relief to the depositors of the banks in liquidation after a long and anxious wait.

Accordingly, from 23rd June 2008, UBA will commence the verification and assumption of all the private sector depositors as at the date of Liberty Bank’s closure. Creditors (including trade and contingent liabilities, etc) and debtors of the bank shall continue to liaise with the Nigerian Deposit Insurance Corporation (NDIC) for the settlement of their claims and repayment of their debts.

United Bank for Africa (UBA) Plc is West Africa’s largest financial services group with assets in excess of US$14 billion. Assenting to its brand positioning as Africa’s global bank, UBA recently restructured its operations to be optimally positioned to actualise its global expansion strategy. With a rapidly expanding presence in Africa, the bank can be found in Nigeria, Ghana, Uganda, Cameroon, Cayman Islands, as well as in global money centres - London and New York.

UBA is increasingly recognized as a respected player in the global financial space. This is evidenced in the types of alliances, partnerships and transactions that the bank has been able to secure. Recently, the bank entered into an exclusive partnership with Arsenal FC for the development of co-branded financial services as well as football-related CSR initiatives. Also recently, UBA was appointed by International Air Transport Association (IATA) as the sole Billing and Settlement Plan (BSP) clearing bank; and in May 2008, the Bank of New York Mellon (BNYM), the world’s largest Global Custodian with over 20 Trillion USD in Custodial Assets, appointed UBA Global Investor Services (UBA GIS) as a Sub-Custodian in Nigeria for its Depositary Receipts Programmes. These, among others, underscore the confidence that UBA enjoys from global institutions as a respected African player within the global financial arena.

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This partnership with Arsenal supports UBA’s commitment to developing grassroots football in Africa and the bank’s strategy to spearhead the use of electronic banking products in the continent. “African youths yearn for inspiration. They need to be inspired and given opportunities to nurture their talents and achieve their dreams of becoming successful football stars. This strategic alliance and other UBA football related initiatives will go a long way towards achieving this,” said Angela Nwabuoku, Executive Director, Products and Segment Banking, UBA.

Arsenal has successfully developed a number of similar commercial and technical partnerships across the world but this represents the Club’s first significant financial services partnership in the Africa continent. ”This partnership with UBA represents an exciting opportunity for us. We are aware that Arsenal has an exceptionally strong following in Africa and we look forward to working with the bank in the development of financial services and football at grassroots level. The partnership will enable us to develop a closer affiliation with our supporters and give many fans the opportunity to visit Emirates Stadium, receive Arsenal merchandise and win shirts signed by our first team squad. UBA and Arsenal are also committed to renovating pitches across West Africa. Initially twelve pitches in Nigeria will be laid with artificial surfaces providing a durable and lasting facility for local players and we’ll also provide local support with visits to the region by our community coaches” said Adrian Ford, Commercial Director at Arsenal.

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The US Office of the Comptroller of the Currency (OCC) and Financial Crime Enforcement Network (FinCEN) issued a joint press Release today announcing a US$15 million civil penalty against the New York Branch (NYB) of UBA for violations of the Bank Secrecy Act (BSA).

As a matter of record, the infractions about which the OCC and FinCEN are concerned stem from anti-money laundering violations (AML) that predate the existing management and Board of UBA.  The existing UBA management self-reported their suspicions in 2005 and committed to resolving them in cooperation with the US authorities.

In January 2007, the OCC issued a Consent Order detailing what internal controls needed to be implemented by the UBA NYB to ensure compliance with the BSA.  During an examination conducted in November 2007, the OCC determined that the measures taken by the NYB to comply were not yet sufficient.  This examination culminated in a revised Consent Order issued in February 2008.  As part of the February 2008 Consent Order, a penalty of US$15 million has been imposed.

UBA is fully committed to improving risk management practices across the Group and in particular meeting our obligations under the BSA.  In close consultation with PwC, we have implemented a BSA/AML program that we continue to strengthen and assess in line with market and regulatory developments.   The OCC is due to examine the NYB’s compliance again in October 2008 and we are confident that we will have conclusively met all of their requirements at this time.

UBA would like to assure all stakeholders that we do not anticipate any material impact on our financial performance and profit forecasts for 2008 due to the revised Consent Order.

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The ceremony witnessed by UK and African business leaders, representatives of leading investment banking firms, clients in Europe and key players in the London and African financial markets, took place at the historic venue of the Duke of Wellington Arch, Hyde park, London.

The birth of UBA Capital was the result of the substantial equity investment by UBA in Afrinvest Ltd, a privately owned investment banking firm in London specializing in African securities.

This transaction resulted in a name change to UBA Capital (Europe) Ltd, providing UBA (and its subsidiary UBA Global Markets, one of the most innovative local investment banks and leading debt capital market originators and distributors) with a strategic presence in London from which it will be able to distribute primary and secondary securities of African issuers into Europe.

In addition, London will also act as an important addition to UBA’s Pan African asset management business, providing international investors with access to investment opportunities across the African continent.

As Africa’s global bank, UBA has been expanding from Nigeria where it has attained dominant status, to other parts of West, East and Central Africa . The London affiliate will further extend the Bank’s presence outside Africa in addition to its operations in New York and the Cayman Islands . Leveraging the group’s footprints in Africa, UBA Capital ( Europe ) has extended its range of products and enhanced the liquidity of its existing trade capabilities.

Based on competencies built over the years as a London-based independent investment banking firm, UBA Capital is continuing the tradition, providing specialized research and investment advice for London-based institutions interested in the African markets as well as executing services for international institutional clients seeking to deal in African securities.

In line with UBA’s aspiration is to be Africa ’s global bank providing comprehensive financial services, the mission for UBA Capital is to become the investment bank of choice for African issuers and international institutional investors. “We are most delighted at the launch of UBA Capital.” It marks a significant milestone for us as we leverage this platform for all transactions involving Africa and Africa-related businesses” said Mr. Tony Elumelu, the Group Managing Director/ CEO , UBA Plc.

UBA Plc is the largest banking group in West Africa with a balance sheet of approximately US$15bn and more than 6 million customers across the region. It is a full service financial services institution, offering retail banking, corporate and investment banking, private equity, asset management, stockbroking and custodian services.

UBA has an expanding footprint across the African continent, and its local investment banking subsidiary, UBA Global Markets, has rapidly gained a reputation as an innovative originator and leading distributor of securities, having transacted over US$8bn in local securities in the past 18 months.

UBA is rated as follows: Fitch A+, GCR AA+ long term and Agusto & Co AA+.

The Group is listed on the Nigerian Stock Exchange and also has an unlisted GDR programme currently administered by the Bank of New York.

Managed by a dynamic team of change-drivers led by its Group Managing Director/ CEO, Mr. Tony Elumelu, the bank has won many awards over the years, most recently “Africa’s Emerging Global Bank” as adjudged by a panel organised by the acclaimed African Banker Magazine.

Source: AllAfrica.com

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