UBA’s Market Milestone: Surpassing N1 Trillion Market Capitalisation
The United Bank for Africa (UBA) Plc achieved a significant milestone on Monday as it ascended to the esteemed league of companies boasting a market capitalisation of over N1 trillion, alongside its share price soaring to N29.90 per share. The closure of Monday’s trading session saw the bank’s market capitalisation soar to N1.02 trillion, positioning it as the third most capitalized financial institution in Nigeria—a remarkable surge from N283.8 billion at the start of 2023. The bank presently has 34.19 billion shares in circulation.
UBA’s Achievement
This achievement of crossing the N1 trillion market capitalisation threshold coincides with UBA’s shares being recognized as the top-performing stock in the banking sector throughout 2023, solidifying its robust growth trajectory and unwavering market confidence.
Over the course of the year, from January 2023 to the present, the value of UBA shares has witnessed an astonishing appreciation of over 250%, surging from N7.60 per share.
Tony Elumelu’s Commendation and Strategic Vision
Tony Elumelu, Chairman of the UBA Group, hailed the bank’s extraordinary performance in 2023, emphasizing that the acknowledgment of its shares as the leading performers within the banking sector underscores the institution’s strategic acumen. He underscored that this distinction not only showcases the bank’s strategic prowess but also underscores its commitment to delivering exceptional value to shareholders and stakeholders across the board.
Elumelu emphasized, “As UBA celebrates these significant milestones, we want all our stakeholders to recognize our unwavering dedication to drive sustainable growth, promote innovation, and continually create value for our diverse clientele across Africa.”
Transformational Growth
Reflecting on the bank’s transformational journey in recent years, he noted, “We are witnessing the impact of the business transformation drive UBA embarked on years ago and executed effectively. Naturally, the market has recognized and duly rewarded our efforts.”
Oliver Alawuba’s Delight:
Oliver Alawuba, UBA’s Group Managing Director/Chief Executive Officer, expressed his delight at the bank’s remarkable performance in recent months, highlighting the institution’s commitment to excellence and execution. He emphasized UBA’s position as Africa’s global bank of choice, setting benchmarks in the banking sector.
Alawuba remarked, “Market participants are increasingly recognizing the latent capacity in UBA’s business model as the bank unlocks enormous potentials in its pan-African and international operations. UBA’s unique competitive advantage lies in its people, processes, and technology.”
He further added, “The bank’s fundamentals remain robust, showcasing impressive financial results that consistently deliver sustainable value for its shareholders. UBA is currently trading at price-to-earning (P/E) and price-to-book (P/B) multiples of 2.27 and 0.59 respectively, reflective of the market’s optimistic outlook for the Bank’s future growth potentials.”
Financial Strength and Market Outlook
UBA’s adherence to international best practices on corporate governance is evident in its listing on the Premium Board of the Nigerian Stock Exchange. The bank remains steadfast in creating value for its extensive base of over 275,000 esteemed shareholders globally.
The year 2023 marked significant achievements for the United Bank for Africa, emerging as Nigeria’s most profitable bank with a shareholders’ fund growing from N992 billion in 2022 to N1.8 trillion as of September 2023.
Moreover, UBA’s pivotal role as the Local Arranger and Local Depository Bank for the $3.3 billion FX Liquidity support facility for Nigeria in collaboration with Africa Export and Import Bank (Afreximbank) underscored its commitment to resolving economic challenges in Nigeria, particularly the shortage of FX liquidity.
2023’s Key Milestones and Impact
Additionally, the bank clinched the 2023 FMDQ Gold Awards across three categories, including Best FX Liquidity Provider, Dealing Institution of the Year, and Best Money Market Liquidity Provider, reaffirming UBA’s impressive capital strength.
As a leading Pan-African financial institution, UBA caters to over 25 million customers across 1,000 business offices and touchpoints in 20 African countries. With a presence in key global financial hubs like New York, London, Paris, and Dubai, UBA is facilitating connectivity between people and businesses across Africa through innovative banking services encompassing retail, commercial and corporate banking, cross-border payments, trade finance, and ancillary banking services.
Subscribe to Follow Global Trends for daily global news.To Advertise, send a mail to advertise@followglobaltrends.com