GT Bank Awaits CBN’s Nod For Agbaje’s Successor

By Fola James

GT B Plc is expected to announce the managing director/ chief executive officer designate for the biggest bank in the country, in terms of market capitalization, any moment from now.  The bank is only expecting the apex bank to give a nod on the issue before it goes ahead to announce the new chief executive officer, sources in the lender have informed the magazine.

The current managing director/chief executive officer, Segun Agabje is billed to exit the commercial bank later this year, after the expiration of his 10 years tenure and there are suggestions in the sector that a consummate banker among the current directors of the bank has already been selected by the board of directors to take over from him.

The 57 year old Agbaje took over from Tayo Aderinokun who died before his tenure ended in 2011. Under the outgoing chief executive the lender has leapfrog to become the most capitalized financial institution in the country with a total asset base of 4,944,654, according to the bank’s 2020 full year financial results presented to the Nigerian Exchange Limited, NGX.

The outgoing managing director has been silent over his future but rumour abounds in the sector that he will take over the role of managing director/ chief executive of the GB Bank Holding Company, Holdco recently approved by the Central Bank of Nigeria, CBN.

The Godwin Emefiele-led apex bank, the magazine learnt, has yet to approve the appointment of Agbaje’s successor, even though the board of the bank has already approved a major shake-up which has now sent some top directors of the DMB into retirement, sources in the bank says.

Reports say an executive Director, Miriam Chidiebele Olusanya, the current Head, Wholesale Banking Division has been selected to take over when Agbaje departs in a few weeks, and her appointment is only awaiting the approval of the CBN.  The bank has yet to confirm this.

Sources in the new generation bank informed the magazine that a new set of young executives are expected to take over the affairs of the bank in line with the timeworn policy that the bank has maintained over the years.  “The feeling in the bank favors a young chief executive, similar to what has been happening since the time of Fola Adeola. Successive managing directors were also under 50 years when they took over, including the current chief executive. Therefore, we are not expected to see a departure from that policy,” a source in the bank said.

But the bank had in a swift reaction denied the report that someone has already been selected to lead the bank after Agbaje’s exits. The DMB said in a statement that the board had, indeed, approved the changes in its board, but that it would be premature to make the new board appointment public without the approval of the CBN.

According to the statement signed by the Company Secretary, Erhi Obebeduo, the bank said “The attention of Guaranty Trust Bank plc (the Bank) has been drawn to news circulating in the media about imminent changes on the Board and Management of the Bank.

“As an organization listed on the Nigerian Exchange Limited and regulated by the Central Bank of Nigeria, there are processes that guide such Board changes and channels of communication of such changes as required by regulation.

“The Board of the Bank has approved certain changes in its constitution and is presently engaging its primary regulator on same and would formally communicate upon the conclusion of all required regulatory engagements,” the statement said.

A further statement the bank shared with The Source said the process of choosing Agbaje successor is on course and that the outcome of the meeting will soon be made public.

The bank said “Recall that during the Guaranty Trust Bank Plc Half Year 2020 Investors/Analysts Call held on September 7, 2020, Mr Segun Agbaje, the Managing Director and Chief Executive Officer of Guaranty Trust Bank plc, confirmed the commencement of the succession process for Guaranty Trust Bank Nigeria and noted that all Executive Directors of the Bank are participating in this process.

“At the Full Year 2020 Investors/Analysts Call held on March 22, 2021, Mr Agbaje provided an update on the succession process for Guaranty Trust Bank Nigeria, confirming that it has been completed. He also confirmed the ongoing Corporate Reorganisation has been ratified by shareholders at the Court Ordered Meeting of the holders of the fully paid ordinary shares, held on December 4, 2020. He noted that in order to maintain optimum operational efficiency, there will be a Holding Company Board of Directors made up of seven (7) members and a Bank Board of Directors with eight (8) members.

“Please be informed that the members of Boards of Directors will be announced, and all other details of the ongoing Corporate Reorganisation provided, once all regulatory approvals have been obtained. We remain committed to providing best-in-class customer experience to all our valued customers and consistent high-quality returns to all our esteemed shareholders.”