L-R: CEO, Sterling Bank LTD, Abubakar Suleiman; Group CEO, Sterling Financial Holdings Company, Yemi Odubiyi; Chairman, Sterling Financial Holdings Company, Yemi Adeola; Company Secretary, Temitayo Adegoke; and Executive Director/Chief Operating Officer, Sterling Financial Holdings Company, Olayinka Oni, at the Statutory General Meeting for Sterling Financial Holdings Company held in Lagos recently.
Shareholders of Sterling Financial Holdings Company Plc have commended the board and management of the company for its performance in its operations and earnings, and the diversification of the group’s business lines since completing the transition to a holding company structure. This commendation was shared at the recently held statutory meeting in Lagos.
The hybrid statutory meeting, which was held with online and physical attendance, saw the unanimous passing of the singular motion of the day; the adoption of the statutory report for the meeting, presented by the shareholders of the holding company.
Addressing the shareholders of the company, Chairman of the board, Yemi Adeola, thanked the company’s shareholders for their support during the journey to the successful transition to a financial holding company, highlighting the launch of The Alternative Bank; Sterling HoldCo’s ethical banking subsidiary, in increasing shareholder value.
Also in attendance at the meeting, Group CEO of Sterling Financial Holdings Company, Yemi Odubiyi, addressed the opportunities the transformation presents with the potential diversification into other business lines along with the commercial and ethical banking licenses operated by the company.
During the meeting, Dr. Faruk Umar, President of Association for the Advancement of the Rights of Shareholders (AARNS), commended the company for its transition into a Holdco structure. He added that the change would enable Sterling to diversify its operations into other sectors of the Nigerian economy.
Dr. Umar praised the group for the successful launch of The Alternative Bank (TAB) in Lagos, Abuja, and Kano, highlighting the potential profitability of the initiative as well as an appreciation of the board and management of the group for the appointment of Yemi Adeola as board chairman. He also noted Mr. Adeola’s significant contributions to the growth and development of Sterling Bank during his tenure as CEO, expressing confidence in the group’s continued growth trajectory under his leadership.
Dr. Umar also commended the Company Secretary, Mrs. Temitayo Adegoke, and the Chairman of the Statutory Audit Committee, Alhaji Mustapha Jinadu, for effectively communicating with shareholders about developments in the group during the transition from inception till completion.
Dr. Umar concluded by expressing the shareholders’ contentment with the board’s composition, and expressed hope that they would receive support in advancing the institution, pointing out that the transition has already yielded positive results with a rise in the HoldCo’s share prices on the floor of the Nigerian Exchange Limited (NGX).
Other shareholders who spoke at the meeting echoed Dr. Faruk’s remarks, with Mr. Matthew Akinlade stressing the importance of enhancing risk management practices, particularly with the emergence of more subsidiaries in the group; Mrs. Bisi Bakare Oluwayemisi spoke on the need for building resilience and diversifying earnings within the group, underscoring the robust nature of the Holdco structure; while Mr. Adeleke Adebayo encouraged the group to leverage the entire financial landscape to become a comprehensive financial services provider.
With the adoption of the Holdco structure now in full effect, Sterling now possesses the latitude to make inroads into other sectors within financial services, such as pensions, asset management, payment services, real estate, and different verticals, along with the current banking licenses held by the commercial and ethical banking subsidiaries; Sterling Bank and The Alternative Bank, which will operate as limited liability companies within the publicly traded holding company.
A holding company, or Holdco, is a company set up to make and manage, for its account, equity investments in two or more companies, which are its subsidiaries, engaged in the provision of financial services, one of which must be a bank.