Infinity Trust Mortgage Bank on Wednesday listed its entire ordinary shares on the Nigerian Stock Exchange to become the second company to be listed on the NSE in 2013.

Computer Warehouse Group Limited was the first to get listed on November 15, 2013.

In a ‘Facts behind the listing’ presentation, the Managing Director ITMB, Mr. Obaleye Olabanjo, told stockbrokers and investors that by virtue of the listing, the firm was in a great position to achieve its goal of becoming the pivotal mortgage bank in the country.

Olabanjo, who urged investors to take advantage of the investment opportunities that abound in the mortgage sector, gave them the assurance that dividends would be paid in 2014.

“Investors should look into this sector now because opportunities abound for the informed investor,” he said.

He explained that ITMB, which currently has over N4.5bn shareholders’ funds unimpaired by losses, had paid dividends to its shareholders for the last eight years, and was set to continue the trend.

He said that the bank’s shares qualified for Pension Fund Administrators’ investment under the National Pension Commission investment guideline as a result of its consistent profitability and dividend payout.

The MD, who said the decision of the financial institution to list was down to its desire to create value and opportunities for Nigerians to own homes, added that ITMB’s prospects were great, considering the huge housing deficit in the country and the need for mortgage financing.

Stressing that Nigeria’s mortgage debt to Gross Domestic Product was less than 0.5 per cent, whereas that of the United States and United Kingdom stood at 72 per cent and 67 per cent, respectively, he said the mortgage sector in the country had a long way to go and a lot to offer.

Although Olabanjo admitted that there were several challenges facing the sector, especially in terms of funding, he was optimistic that they could be surmounted.

“We can do it; we’ve done it on our own small level and with the support of the government… and other individuals, we can achieve the goal (of building a vibrant mortgage sector),” he said.

He said, so far, the bank had only been able to grant about15 per cent of the mortgage requests it had received, not because of the requests were flawed, but because of liquidity challenges.

He, however, told stakeholders that this was one area where the financial institution was bound to perform better as a result of the listing of its shares.

Despite the limitations, he said ITMB had created mortgages on over 3,000 housing units since it was established in 2002.

Currently, ITMB has offices only in the Federal Capital Territory and Nasarawa State, but the MD said it was set to expand its operations to other states, starting with Lagos in the first quarter of 2014.

He added that the mortgage bank also had plans for an Initial Public Offering in the future.

A stockbroker, Mr. Sam Ndata, thanked the ITMB management for listing the company on the Exchange and for the presentation made to stakeholders.

Ndata, who promised that operators would give the bank the needed support, urged ITMB to stick to its plans, ensure good corporate governance and uphold the promises it made to investors.

Following the listing of the bank’s 4.170 billion ordinary shares of 50 kobo at N1.50 per share on the Exchange, investors staked N1.1m on 757,000 of the stocks in 112 deals.

Source: Punch (by Simon Ejembi)