Wema Bank Targets Tier-One Status, Hints at Future Acquisitions

Wema Bank Plc has signalled plans for aggressive expansion and possible strategic acquisitions as the financial institution intensifies efforts to break into Nigeria’s tier-one banking category following a remarkable surge in profitability.

Managing Director of the bank, Moruf Oseni, disclosed the ambition during the bank’s virtual Annual General Meeting, where shareholders approved key resolutions and reviewed the institution’s strong financial performance for the 2025 financial year.

Oseni stated that management and staff were deliberately positioning Wema Bank among Nigeria’s leading financial institutions through sustained profitability, capital strengthening and strategic expansion.

According to him, the bank’s profit trajectory demonstrates years of deliberate institutional rebuilding and operational transformation.

The bank’s profit grew from ₦42 billion to ₦102.5 billion before rising further to ₦221.9 billion in 2025, representing nearly a fivefold increase within three years. “If you observe that trend, it’s on an increase and it’s a testament to all the work we’ve done since we took over, and even in the years when we were building the blocks,” Oseni told shareholders.

While discussing dividend payments, the managing director assured shareholders of management’s commitment to consistent returns but stressed the importance of conserving capital for future strategic opportunities. “We’re keeping our gunpowder dry… there may be opportunities in the future that we will want to take advantage of,” he said.

The remarks fueled speculation that the bank may be considering acquisitions or strategic transactions as part of its long-term growth strategy, although no specific details were disclosed.

Oseni outlined three major priority areas for deploying the fresh capital recently raised by the bank.

These include loan expansion, digital banking infrastructure and cybersecurity enhancement.

He explained that part of the capital would be channelled into creating quality risk assets and strengthening customer-focused digital platforms to improve service delivery.

The bank also plans to invest heavily in cybersecurity systems amid growing concerns over digital financial crimes and threats to customer data protection.

Oseni further revealed that Wema Bank intends to deepen its national presence using what he described as a “follow the money” strategy by expanding into commercially viable locations rather than pursuing indiscriminate branch expansion.

Board Chairman, Oluwayemisi Olorunshola, noted that 2025 marked the bank’s 80th anniversary as Nigeria’s oldest surviving indigenous bank.

She said the milestone offered an opportunity to reaffirm the institution’s commitment to building a future-ready bank capable of delivering value to shareholders, customers and the Nigerian economy.

Wema Bank’s audited results showed that profit before tax rose by 116.4 per cent to ₦221.8 billion, driven largely by strong growth in interest income and non-interest revenue streams.

Interest income climbed to ₦576 billion, while total assets increased significantly from ₦3.5 trillion to ₦5.07 trillion.

Shareholders at the AGM unanimously approved all resolutions presented before them, including a dividend payout of ₦1.25 per share, the appointment of Engr. Wilson Agu as Independent Non-Executive Director, and the re-election of retiring directors.