For The Records: Breakdown of Toxic Assets Purchased By AMCON

The Asset Management Company of Nigeria, AMCON, has renewed it fight to recover all toxic debt it bought from banks in the wake of the banking crisis of 2008.

For many people, AMCON’s operations is not really noticeable because it is basically dealing with corporate organisations and with all the legal implications of debt recovery, bankruptcy and receivership, the agency might need to keep quiet while doing its job.

For the purpose of PageOne readers, we are publishing AMCON’s Debt Portfolio as provided by the agency:

AMCON has acquired the Eligible Bank Assets (EBAs) or Non-performing Loans (NPLs) of various Eligible Financial Institutions (EFIs) in three different phases/ tranches. The top 5 EFIs represent 58.18% of all purchased EBAs.

The table below summarises the corporation’s position by institution:

Eligible Financial Institutions Number of Loans Percentage of AMCON Portfolios
Intercontinental Bank 1,735 14.62%
Oceanic Bank 783 11.58%
Union Bank 393 11.43%
Main Street Bank 503 11.40%
Keystone Bank 740 9.15%
UBA 3,326 5.80%
First Bank 289 5.21%
Finbank 782 4.04%
Enterprise Bank 1,062 3.59%
FCMB 575 2.94%
Skye Bank 158 2.62%
Zenith Bank 18 2.42%
Unity Bank 937 2.28%
GTB 88 2.25%
Diamond Bank 83 2.13%
Ecobank 155 2.07%
Fidelity Bank 271 1.75%
Access Bank 43 1.63%
Sterling Bank 176 1.22%
Wema Bank 237 1.13%
ETB 171 0.59%
Stanbic IBTC 12 0.13%
Total 12,537 100%

 

Top 5 Sectors of All Purchased EBAs

Table 2 shows a breakdown of the top five sectors in which the EBAs originate from. They represent 75.35% off all EBAs purchased.

Sector Percentage of AMCON Portfolio
Oil and Gas 27.23%
General Commerce 18.49%
Capital Market 17.93%
Manufacturing 6.24%
Finance and Insurance 5.47%

 

Sectorial Distribution of EBAs

Loan Distribution

The Loan Management Team classifies loans based on their size; Small (N100m and below), Medium (Between N100m and N1b), Large (Between N1b and N10b and Strategic (Over N10b). The Loan distribution Table shows that Strategic Loans make up the greatest percentage (40%) of AMCON’s portfolio.

Loan Distribution Percentage of AMCON Portfolio Number of Loan
Over N10b 40% 62
Between N1b and N10b 37% 431
Between N100m and N1b 16% 1,998
Between N100m and below 7% 10,046
Total 100% 12,537

 


 

Asset Classification

The table below represents AMCON’s Asset Classification of the underlying assets used to secure loans bought from EFIs.

Asset Classification Percentage of AMCON Portfolio Number of Loans
Combination of Assets 13% 103
Debentures 15% 295
Mortgage 20% 2,096
Others 6% 795
Shares 22% 4,105
Shares & Mortgage 4% 20
Unsecured 22% 5,123
Total 100% 12,537

 

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