Jaiz Bank Plc has started reaping the benefits of listing on the Nigerian Stock Exchange (NSE) as its shares have recorded capital growth of 12 per cent. The NSE had listed 29.464 billion ordinary shares of Jaiz Bank Plc on its daily official list at N1.25 per share by introduction on February 9, 2017.
The Managing Director/Chief Executive Officer of Jaiz Bank, Hassan Usman had said the listing would promote liquidity for the bank’s shares, enhance value of the company and increased transparency.
A look at the performance of the shares since its listing on the Nigerian bourse showed that the value of the company has been enhanced as it shares have appreciated by 12 per cent from N1.25 to close at N1.40 as at the close of trading last Friday.
Market operators said given the fact that Jaiz Bank is the first and only stock in that segment of the market, it would continue to attract significant patronage.
The CEO of the bank had said listing would elicit public confidence that non-interest banking provides alternative model that will contribute to the socio-economic development of our country.
Speaking on the future outlook of the bank, Usman said going by the growth trajectory which averaged 30 per cent per annum, Jaiz Bank’s prospects are bright. The projection for the next five years indicates a gross revenue of N16 billion by 2021 and profit before tax of N7.9 billion.
According to him, the bank’s corporate plan outlines its way forward with the strategies, priorities and activities it will focus on the achieve its financial goals.
“We have set out on a path of reinvention of the banking landscape in the country. This journey over the next few years will focus on the changing how banks should operate to better improve the lots of the community, while delivering on their commitments to the investors/shareholders. We are focused on building on our culture of ethics and taking the necessary decisions to align our perspective with client expectations,” he said.
Speaking on dividend policy of the bank, Usman said it has a policy that tries to strike a balance between retaining sufficient cash in the business to finance its organic growth strategy and rewarding its shareholders, who have come a long way supporting the banks’s vision since its initial public offering in 2003.