The Group Managing Director/Chief Execu­tive Officer, Diamond Bank Plc, Dr. Alex Otti, has disclosed that the bank’s tar­get is to increase its revenue to N268.270 billion by 2016.
Otti made the revelation yesterday in Lagos at the company’s “Facts Behind the Offer” at the Nigerian Stock Exchange (NSE).
He also said the group’s Profit After Tax (PAT) is ex­pected to remain at N50.961 billion during the same period.
Diamond Bank had on July 30, 2014 commenced right issue to raise N50.37 billion ($305 million), which is ex­pected to close on August 26, 2014.
According to the bank, a total of 8,685,145,863 ordinary shares of 50 kobo each will be offered to its shareholders in the ratio of three new ordi­nary shares for every five or­dinary shares held as of June 13, 2014 at N5.80 per share.
Speaking on the right is­sue, Otti said it is coming by way of very huge discount to compensate the bank’s share­holders who had been patient with it during its challenging period.
He explained that the pro­ceeds from the right issue would be used in develop­ment of the bank’s IT infra­structure, which include up­grading the bank’s banking application software systems, including the FLEXCUBE and customer relationship management software to maximise employee produc­tivity and improve customer service; intensifying efforts in the deployment of electronic channels and electronic bank­ing solutions across its tar­get markets to increase the bank’s effective presence and enhance convenient banking in various locations, among others.
Continuing, the Diamond Bank boss said the proceeds would also be used in support­ing its working capital, expan­sion and refurbishment of its business locations.
On its 2014 half year result, Otti said the bank maintained its business focus to deliver and surpass set targets. “We are pleased to release the lat­est set of results which dem­onstrate the bank’s ability to improve on our success in the previous years despite regula­tory headwinds,” he stated.
A review of the financial result for the period indicated that Diamond Bank recorded a PAT of N13.8 billion com­pared to N12.6 billion report­ed in the same period of last year.
In the same period, the bank grew its total income from N11.9 billion in 2013 to N14.1 billion in the current business year, representing 19 per cent increase.
Total assets of the bank now stand at N1.7 trillion up 15 per cent from N1.5 trillion in December 2013, while de­posits from customers rose to N1.3 trillion, up by 8 per cent from N1.2 trillion in Decem­ber 2013.

Diamond Bank targets N268.3bn revenue by 2016