Nova Merchant Bank Limited

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Nova Merchant Bank Limited
  • Nova Merchant Bank Limited
  • Year : May 2021
3 Tokens
USD 300.00
Summary

Nova MB, which operates predominantly within the Nigerian merchant banking subsector, continues to drive evolution of its market position through the launch of bespoke customer-centric products/solutions and innovations to improve value propositions and meet specific needs of its clients. Currently, the bank offers corporate banking, money market products and advisory services to its customers. Furthermore, the launch of four new mutual funds by its asset management subsidiary in FY20 provided additional impetus for diverse product offerings.

Additional Information

Funding and liquidity is assessed at an intermediate level. Nova MB’s funding structure is considered robust for its current operational scale and was largely augmented by the issuance of N10bn subordinated unsecured bonds in FY20, with a subscription level of over 300%. Analysis of the funding structure reflected that customer deposits, equity, interbank funding and borrowings constituted 62%, 15.9%, 15% and 7.1% of the funding base respectively at FY20. The stable outlook reflects GCR’s expectation that Nova MB’s financial profile will remain resilient despite the strains in the operating environment.

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