adminThe Dangote Group, Africa’s leading indigenous conglomerate, has become the latest entity to join the African Export-Import Bank (Afreximbank) as a shareholder. Information released on Friday by Afreximbank showed that the Dangote Group completed the process of acquiring equity in the Bank on May 30, 2016, with a “substantial investment”.
“I consider Afreximbank a good vehicle for fostering regional integration in Africa which aligns with our vision and mission for growth and development across the continent,” said Dangote Group President and chief executive officer, Aliko Dangote.
Welcoming the action by the Dangote Group, Benedict Oramah, President of Afreximbank, said that the investment was “a strong vote of confidence in the Bank by, arguably, the largest indigenous corporate in Africa”. “The massive investments the Group is making across Africa makes it a partner of choice in the delivery of our Intra African Trade Strategy.
“Working with the Dangote Group, we will build supply chain financing across Africa that could reach $1 billion in the short term, promoting intra-regional trade and growth of SMEs and creating much needed jobs,” he said.
Afreximbank has four classes of shareholders, divided into classes A, B, C and D, which are made up of a mix of African governments, central banks, regional and sub-regional institutions, African private investors, African and non-African financial institutions, export credit agencies and non-African private investors.
Class “A” shareholders are African states, African central banks and African public institutions, including the African Development Bank, while Class “B” is made up of African financial institutions and African private investors.
Class “C” shares are held by non-African investors, mostly international banks and export credit agencies, including Standard Chartered Bank, HSBC, Citibank, China Exim Bank and Exim India.
Class “D” shares, a tier approved in December 2012, are fully paid par value shares that can be held by any investor. — New Ziana
derick.khumalo