United Capital expands into eight Francophone West African countries

United Capital Plc has launched a new subsidiary in Abidjan named United Capital Asset Management West Africa Limited (UCAMWAL), the financial services group announced in a regulatory filing on Friday.

“The Group obtained a license from the Financial Markets Authority of the West African Economic & Monetary Union (AMF-UMOA) to operate an asset management business across the West African Economic & Monetary Union (WAEMU) region,” according to the filing.

WAEMU, a regional economic bloc of eight Francophone countries, is comprised of Benin, Burkina Faso, Côte d’Ivoire, Guinea-Bissau, Mali, Niger, Senegal, and Togo.

United Capital plans to offer portfolio management, mutual fund, and financial advisory services in the member countries, saying the move is a crucial step in its strategic pan-African expansion.

The company, formerly the investment banking division of United Bank for Africa, was spun off as a separate entity in 2014 after the Central Bank of Nigeria scrapped the universal banking system.

It operates subsidiaries in investment banking, trusteeship, wealth management, micro-lending and consumer finance under a holding company structure.

“The launch of UCAMWAL is a pivotal step in our pan-African growth journey and a reflection of our deep conviction in the strength and potential of Africa,” said Chairman Chika Mordi.

“Côte d’Ivoire stands out as a dynamic economy with a progressive financial landscape, making it the ideal gateway to expand our footprint across Francophone West Africa,” he added.

Until the recent expansion, United Capital operated only in Nigeria and Ghana.

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Net profit for the three months to March grew by more than three-fifths to N5.9 billion after a sharp increase in investment income drove a near-double jump in revenue.

“We are committed to partnering with local economies, governments, and institutions to unlock long-term prosperity across member countries in the WAEMU region,” said CEO Peter Ashade.

“As we build, we will invest in people, processes, and technology, ensuring we have the right talent, robust systems, and cutting-edge tools to drive performance and deliver excellence across borders.”

Total assets for the group stood at N1.72 trillion at the end of March, compared to N1.7 trillion at the end of last year.