AMCON Injects N285 bn Fund Into Mainstreet Bank

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Assets Management Corporation of Nigeria (AMCON) has injected N285 billion into the Mainstreet Bank through shares.

This was made known in a statement by the bank’s Head of the corporate Affairs Department, Mr Moshood Isamotu in Lagos, last week.

The bank said the newly injected fund has placed the capital adequacy ratio above the regulatory 10 per cent set by the Central Bank of Nigeria (CBN).

According to the statement, AMCON’s injection has made the bank one of the most capitalised banks in the country.

The bank said the current capital adequacy position had given it a solid foundation to compete with similar institutions and grow quality risk assets and support the real sector.

The statement also noted that the bank is in good stead to implement its business growth plan, facilitate better banking operations, as well as improve service delivery across all its branches.

It also said that the development would afford the bank the opportunity to finance big transactions and consequently generate increased revenue.

Meanwhile, the bank on Tuesday August 9, 2011 repaid the N50 billion tier-two capital obtained by the defunct Afribank Nigeria Plc, on August 14, 2009.

It would be recalled that Mainstreet Bank Ltd (one of the newly floated bridge banks) took over all deposits, liabilities and assets of the former Afribank Nigeria Plc on August 5th 2011, due to the bank’s poor shareholders’ fund. The other bridge banks are Enterprise Bank (for Bank PHB) and Keystone for Spring Bank Plc.