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Investment Banks In Nigeria

Top 10 Investment Banks In Nigeria

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When looking for the creme de la creme of investment banks in Nigeria, we cannot help but understand that since the early 2000s, investment banking in Nigeria has been a common financial service. The Nigerian financial industry was liberalised in the late 1990s, opening the market to international competition and investment, which was one of a number of reasons that contributed to this.

Early in the 2000s, as the Nigerian economy expanded, new opportunities for companies to raise cash and expand their operations arose, driving a demand for investment banks.

Additionally, the privatisation of state-owned assets provided investment banks with a sizable pipeline of opportunities.

Investment banking is a branch of banking that coordinates massive, intricate financial transactions like mergers or the underwriting of initial public offerings (IPOs). In addition to underwriting the issuing of new securities for a corporation, municipality, or other entity, these banks may raise money for businesses in a number of other ways. 

They might oversee an IPO for a business. Investment banks operate as middlemen between security issuers and investors and assist new businesses in going public. They also offer advice in mergers, acquisitions, and reorganisations.

Why Are Investment Banks Important In Nigeria

Investment banks in Nigeria are important to the economy for the following reasons:

  • By connecting buyers and sellers and increasing market liquidity, they benefit the economy and larger financial markets.
  • encouraging the sale of state-owned assets
  • The Nigerian government has been selling off state-owned properties for a while.
  • By underwriting and issuing new securities, as well as by providing new products and services, investment banks are playing a significant part in the development of the capital markets.
  • Investment banks advise international investors on the Nigerian market and assist them in structuring and carrying out their investments, which is a critical component of luring foreign investment to Nigeria.
  • Investment banks are important in fostering financial progress and economic expansion. Investment banks assist governments and businesses in growing and expanding by giving them access to finance. 
  • Investment banks support capital raising for firms by evaluating and issuing securities like stocks and bonds. Growth, expansion, and acquisitions can be financed with the use of this capital. Governments can also raise money by issuing sovereign debt with the aid of investment banks. 

What Are The Services Offered By Investment Banks In Nigeria?

Investment banks in Nigeria offer the following services to their clients:

1. Advisory services

Investment banks provide a wide range of advisory services to their clients, including on issues such as market entry, product development, mergers and acquisitions; capital raising, debt restructuring, and risk management.

and regulatory compliance matters.

This advice helps clients make informed decisions about their businesses and to navigate the complex and ever-changing regulatory environment.

2. Equity research

Investment banks help clients analyse stocks and other equity securities through research which provide insights into the performance and prospects of individual companies and industries. This helps the client make informed investment decisions.

3. Mergers and acquisitions (M&A)

Investment banks play a key role in advising their clients on the strategic and financial aspects of merging themselves with another or more companies to form a single company. This merger can help the business expand into new markets, and gain access to new technologies and resources.

4. Debt capital markets

Investment banks play a key role in the debt capital markets by underwriting and distributing debt securities to investors. They also help clients structure and issue debt securities to help raise capital to finance growth, expansion, and other projects.

5. Underwriting

Investment banks underwrite a wide range of securities, including stocks, bonds, and other debt instruments. When an investment bank underwrites a security, it agrees to purchase the entire issue of securities from the issuer at a fixed price. The investment bank then sells the securities to investors at a higher price, pocketing the difference as its profit.

Underwriting is a very important service that investment banks provide to businesses and governments. It allows businesses and governments to raise capital quickly and efficiently, without having to worry about the risk of not being able to sell their securities.

As we move further in this article, we shall be checking out some of the most popular investment banks in Nigeria.

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Top 10 Investment Banks In Nigeria

Here is a rundown of the top 10 investment banks in Nigeria:

 1. Standard Chartered Bank

The first of the investment banks in Nigeria we shall touch on is this international bank, which is owned by the British, but has a long history in Nigeria.  In 1969, the Standard Bank of British South Africa and the Chartered Bank of India, Australia, and China merged to establish Standard Chartered. The term “Standard Chartered” derives from these names.

With the assistance of our investment professionals, who have in-depth knowledge of the capital markets and experience in providing advice, Standard Chartered Nigeria offers professional investment services.

When the Bank of West Africa and the Standard Bank of South Africa merged in 1965, one of the businesses they acquired was a Nigerian bank that had been in operation since 1894. It changed its name to Standard Bank of West Africa after that.

Four years after the merger, Standard Bank Nigeria was established locally to take over the activities in Nigeria. Nigerians contributed 13% of the share capital in 1971.

Following the end of the civil war, the military administration aimed to increase local authority over the retail banking sector; as a result, the bank’s holding in Standard Bank Nigeria (later renamed First Bank of Nigeria) was reduced to 38%. First Bank of Nigeria was a stakeholder of Standard Chartered up until 1996.

With its headquarters in the UK, Standard Chartered Bank Plc returned to Nigeria in 1999, and on September 15, 1999, it began accepting customers.

Although it has its headquarters in the UK, 90% of its revenues come from Asia, Africa, and the Middle East. It also doesn’t conduct retail banking business in the country.

In terms of transactional, private, digital, and retail banking as well as corporate, institutional, and business banking, the Bank today offers a wide variety of products and services. In addition to consumer, business, and institutional banking, they also provide treasury services.

Contact Details

Office HQ: 142 Ahmadu Bello Way, Victoria Island 106104, Lagos

Opening Hours: 8 am to 4 pm (Mondays – Fridays)

Website: https://www.sc.com/ng/

Email: clientcare.ng@sc.com, straight2bank.ng@sc.com

Phone: +234 1 270 4611 – 4, +234 800 123 5000 (Toll Free)

Social media handles:

2. First Bank of Nigeria Quest Asset Management

This Nigerian investment bank was established in 1995 and is a product of the Central Bank of Nigeria (CBN), which is the country’s federal government.

When the investment bank was founded in 2004, it adopted the name Kakawa Asset Management (KAM). The name “Kakawa” comes from the street (Kakawa Street) where the company’s single major shareholder, First Bank of Nigeria, had its offices.

In 2015, FBNQuest acquired the Nigerian investment bank, renaming it FBNQuest Merchant Bank, the same brand under which FBN Holdings Plc’s asset management and merchant banking subsidiaries operate. It began carrying out merchant banking operations on November 2, 2015.

Leading asset management firm in Nigeria, FirstBank of Nigeria Quest Asset Management (FBNQuest Asset Management) provides both individual and institutional customers with a wide range of investment products and services. The business is a division of FBN Holdings Plc, one of the biggest financial conglomerates in Nigeria.

With a proven track record of success, FBNQuest Asset Management has regularly beaten the market over the long run. The business’s staff of skilled and experienced investment professionals is dedicated to giving its customers the best possible service and knowledge.

Contact Details

Office HQ: 16 Keffi Street, Off Awolowo Road, S.W. Ikoyi, Lagos, Nigeria

Email: ccu@fbnquestmb.com

Phone: 01-2801340-4

Opening Hours: 9.00 – 16.00 Mondays – Fridays

Website: https://fbnquest.com/asset-management/

Social media handles:

3. Stanbic IBTC Capital Limited

This investment bank is a fully-owned subsidiary of Stanbic IBTC Holdings PLC, an end-to-end financial services provider listed on the Nigerian Stock Exchange and a member of Standard Bank Group, Africa’s largest banking group by assets with a history spanning more than 155 years and a presence in 20 African nations as well as in key markets worldwide.

Stanbic IBTC Capital, which was established in 2012, has a proven track record of success and has provided advice on some of the biggest and most complicated transactions in the nation. For instance, Stanbic IBTC Capital served as the primary advisor during the greatest privatisation in African history, the privatisation of the Nigerian National Petroleum Corporation (NNPC).

Additional high-profile transactions in Nigeria that Stanbic IBTC Capital has provided advice on include the IPOs of Dangote Cement and MTN Nigeria as well as the bond issuance of the Nigerian government and many Nigerian banks.

Contact Details

Office HQ: I.B.T.C. Place, Walter Carrington Crescent, Victoria Island, Lagos, Nigeria

Contact: +234 01 422 8855

Email: IBenquiries@stanbicibtc.com

Social media handles:

4. Renaissance Capital Bank

A number of other well-known financial mergers and acquisitions have been linked to Renaissance Capital Bank. They have also handled operations of big wigs like Dangote Cement and MTN Nigeria as well as the bond issuance of the Nigerian government and many Nigerian banks.

In 1995, this Russian owned investment bank was established. In addition to London and New York, they have locations in Lagos, Moscow, Nairobi, Cairo, and Nicosia. Their Nairobi (Kenya) office acts as a basis for the company’s East African operations, while their Lagos office serves as a centre for operations in West Africa. The company has handled transactions in Zambia, Egypt, Ethiopia, Kenya, Uganda, Rwanda, and South Africa.

Since it has been operating in Nigeria for a while, Renaissance Capital has provided advice on some of the biggest and most difficult deals there.

For instance, Renaissance Capital served as the primary advisor during the largest privatisation in African history, the privatisation of the Nigerian National Petroleum Corporation (NNPC).

Contact Details

Office HQ: The Wings Office Complex, 6th Floor, Level 11, East Tower, 17A Ozumba Mbadiwe Ave, Victoria Island, Lagos.

Opening hours: 8 am – 5 pm (Mondays – Fridays)

Phone: 01 448 5300

Website: https://www.rencap.com

Social media handles:

5. Chapel Hill Denham

Chapel Hill Denham is a top independent investment banking, securities trading, and investment management firm with branches in Lagos, Abuja, and Accra. The most respected adviser in Nigeria, they seek to provide unbiased advising, execution, and investment services to companies, governments, organisations, and individuals interested in investing in and growing Nigeria and Africa.

The organisation actively supports sectors that are good for the economic growth of both Africa and Nigeria with a focus on infrastructure, energy and renewables, real estate, SMEs, digital and financial inclusion, healthcare, and education, among other industries.

Additionally, they regularly concentrate on underserved populations that have had little access to money, which may result in major improvements in economic growth and influence.

Contact Details

Office HQ: 10 Bankole Oki Street, Ikoyi, Lagos, Nigeria

Phone: 0700 CHAPEL HILL (0700 242 735 4455)

Opening hours: 8 am – 5 pm (Mondays – Fridays)

Website: https://www.chapelhilldenham.com

Social media handles:

6. The Infrastructure Bank Plc

Its previous name was Urban Development Bank of Nigeria Plc. Long-term infrastructure projects, such as those involving electricity and renewable energy sources, district development, mass housing, and transportation infrastructure, can be financed by this bank. Despite being a part of the private sector, the Nigeria Labour Congress and all three levels of government are stockholders.

It was established in 1992 to support the rapid development of infrastructure across Nigeria in accordance with Decree No. 51 of the Federal Republic of Nigeria’s Constitution from that year.

In accordance with the legislation establishing the Infrastructure Bank, Norrenberger, an integrated financial services group, recently acquired it. As a result, Nigeria has recently witnessed its first Public-Private Partnership (PPP) spectacle of reform and innovation in the infrastructure finance sector.

Contact Details

Office HQ: 15B Ahmadu Bello Way, Victoria Island 106104, Lagos

Opening hours: 8 am – 5 pm

Phone: +234 (0)9-460 4660 +234 (0)9-460 4661

Email: enquiries@tibplc.com

Website: http://tibplc.com

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7. Coronation Merchant Bank

Since the founding of its predecessor, Associated Discount House Limited (ADHL), in 1993 by a collection of reputable financial organisations, Coronation Merchant Bank has been a component of the Nigerian economy.

In 2013, they began the process of becoming Coronation Merchant Bank, a merchant bank, and in 2015, they obtained licences for both merchant banking and FX trading.

Their objective is to become the leading investment bank in Africa. They are a vibrant, mission-driven company that raises the standard for excellence in the financial sector of Nigeria and beyond.

Coronation Merchant Bank wants to be the leading investment bank in Africa. The Coronation Merchant Bank, which has locations in Lagos, Abuja, and Port Harcourt as well, aims to meet the needs of businesses, governments, and other financial services organisations in Nigeria by offering creative solutions.

Contact Details

Office HQ: 10 Amodu Ojikutu Street, off Saka Tinubu Street, Victoria Island, Lagos, Nigeria.

Website: https://www.coronationmb.com

Email: crc@coronationmb.com

Phone: +234 (0)1-2797640-43

Social media handles:

8. Afrinvest

Another of the investment banks in Nigeria is Afrinvest, which was founded in Lagos in 1995 as Securities Transactions & Trust Company (Nigeria) Limited (commonly known as “SecTrust”) by Godwin Obaseki, the current governor of the state of Edo. Afrinvest offers research data on the Nigerian market in addition to advising blue-chip companies in West Africa on M&A and international capital market transactions.

This investment bank has offices in Lagos, Port Harcourt, Abuja, and Onitsha, therefore it is well-versed in the country’s financial system.

One of Afrinvest’s two operational businesses is Afrinvest Securities Limited (ASL), a broker-dealer and dealing member of the Nigerian Stock Exchange (“NSE”). The Nigerian International Debt Fund (NIDF) and the Afrinvest Equity Fund (AEF), two mutual funds that are both managed by authorised portfolio manager Afrinvest Asset Management Limited (AAML), are also listed on the NSE.

They have a proven track record of success, assisting businesses like Dangote, United African Confectionaries (UAC), GTBank, and Ecobank to expand.

Contact Details

Office HQ: 27 Gerrard Road, Ikoyi, Lagos State

Phone: +234 (1) 270 1680

Website: https://www.afrinvest.com

Email: info@afrinvest.com

Social media handles:

9. Meristem Capital

The Securities and Exchange Commission (SEC) is in charge of the Lagos State-based Nigerian capital market giant Meristem Securities Limited. Great Africa Securities Limited, the company’s original name when it was founded in 2003, was replaced by Meristem in 2005. The corporation has six companies, including Meristem Stockbrokers, Meristem Wealth, Meristem Registrars and Probate Services, Meristem Capital, Meristem Trustees, and Meristem Finance.

The corporate name of the company is “Meristem,” which alludes to the tissue in most plants that contains undifferentiated “meristematic cells” and is situated in regions of the plant where growth is feasible.

With a proven track record of success, Meristem Capital has provided advice on some of Nigeria’s biggest and most complicated deals.

For instance, Meristem Capital served as the primary advisor on the largest IPO in African history, the IPO of MTN Nigeria. In addition, Meristem Capital provided advice on a number of other well-known deals in Nigeria, including the sale of Airtel Nigeria to Bharti Airtel and the Standard Bank Group’s acquisition of Stanbic IBTC Bank.

Meristem Stockbrokers Limited was responsible for a staggering 13.3% of the value of stocks traded on the floor of the Nigerian Stock Exchange in 2017.

Contact Details

Office HO: South-West, 124 Norman Williams St, Ikoyi 106104, Lagos

Phone: 012717351, 0700MERISTEM (070063747836)

Website: https://meristemng.com

Email: contact@meristemng.com

Social media handles:

10. Vetiva Capital Management

This financial institution is a Lagos-based Pan-African Investment Banking company. This investment bank was established in 1994, and it has since developed into one of Nigeria’s most reputable financial services companies. The business has a proven track record of success and has provided advice on some of the biggest and most complicated deals in the nation.

Securities and Exchange Commission (SEC) rules over Vetiva Capital Management, a participant in the Nigerian Stock Exchange. The business belongs to both the Association of Investment Advisers and Portfolio Managers and the Fund Managers Association of Nigeria.

Contact Details

Office HQ: Plot 266B, Kofo Abayomi Street, Victoria Island, Lagos. Nigeria, 62, Lobito Cresent,

Wuse 2, Abuja, Nigeria.

Phone: +234-1-2700657-8, +234-1-2719570, +234-9-8700686, +234-9-4613000

Website: https://www.vetiva.com

Email: info@vetiva.com

Opening hours: 8 am – 5 pm (Mondays – Fridays)

Social media handles:

In Conclusion

We have checked out some of the creme de la creme of investment banks in Nigeria and you can see from this information provided that these people know their onions when it comes to wealth creation and investment banking in Nigeria and beyond. Make it a date to connect with any of these organisations in the future when the need arises.