Monday, 27 May 2013

SKYE BANK CONVEYS 7TH ANNUAL GENERAL MEETING, DECLARES DIVIDEND OF 5OKOBO PER SHARE


Skye bank has just concluded its annual general meeting for the year ended 31st December 2012. The AGM events spanned from may 17 to May 22.







The exciting AGM week ended with the grand AGM meeting on Wednesday, may 22, 2013. The event took place at the exquisite Oriental hotel on Lekki road, Victoria Island.
The Skye bank chairman, Mr Akintunde Ayeni opened the event by introducing the skye bank executives, representatives of shareholders, auditor, and regulatory bodies present.
The notice of meeting was read out by the company secretary. The objectives of the meeting as stated are the following:
1.       To receive and consider audited financial statement
2.       To declare dividend
3.       To appoint directors.
4.       Authorize directors for enumeration
5.       Appoint members of the auditing committee
6.       Fix the directors earning for the year
7.       Authorize directors to raise more capital, up to 50 billion naira

If approved, a dividend of 50k per share is to be paid to shareholders. Payment of dividend would commence from May 24. The auditor’s representative read the independent auditor’s report;  the consolidated financial statement, presents fairly, the position of the bank for year ended 31 December, 2012.
The Chairman of audit committee presented the audit committee report. He verified that:
1.       The report of audit is accurate
2.       The bank policy corresponds with best practices in the industry
3.       The banks finances are properly monitored

The report of the board evaluation committee was also presented by representative of Price Waterhouse cooper. The performance of the Skye bank board of directors was confirmed to be satisfactory.
After the presentations, Shareholders raised many issues and asked questions.
1.       Commendations for the Skye bank board on increasing the share capital base. Shareholders want assurance that there will be no restructuring which may cause reduced dividends
2.       Is the basis of measurement fair to shareholders? Need for more explanations from skye bank on this.
3.       Commendation for hitting 1trillion naira balance sheet and doubling the dividend per share. 
4.       Shareholders want more cut out of the earning per share of 95kobo
5.       A shareholder suggests making an abridged version of the annual report so that it get to all shareholders on time.
6.       Shareholders demand to know about probable undisclosed funds i.e paid to external consultants, regulatory bodies and penalties
The GMD addressed the issues raised.  He assured them that Skye bank will increase the productivity of the West African subsidiaries in the coming year. An independent director has been introduced to the board which is compulsory by regulatory bodies. Skye bank is growing as a leading bank but capital is needed to increase growth, hence the need to raise extra capital. On the issue of penalties, the bulk of the penalties came from a particular transaction that lapsed.
Chairman reinforced the GMD’s points and assured that dividend will not reduce.
After the question and answer session, voting commenced on AGM resolutions. The resolutions on financial report was proposed and seconded. Next was election of members of the audit committee. All other resolutions followed in succession. The votes were collated and counted. At the end, all resolutions were adopted and taken.
The reaction to the 7th AGM from stakeholders was positive. Shareholders were happy that dividend has increased. The bank was commended for hitting the trillion naira asset base for the first time. The bank is growing steadily and there is a lot of room for expansion. The bank stands at 8th position in terms of total assets. From zero, Skye bank  has in seven years emerged to be a leader in banking and it continues to evolve. 

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