United Capital has achieved a major milestone in its continental expansion strategy with the successful acquisition of investment banking licences in Ethiopia and Rwanda, becoming the first foreign institution licensed to provide investment banking services in Ethiopia.
Licence scope
The Ethiopia licence covers financial advisory services, securities brokerage and portfolio management, marking a significant milestone in the development of the country’s emerging capital market ecosystem. The licence enables the firm to establish operations in Ethiopia and participate in capital market activities, supporting market development while expanding access to its range of financial and investment solutions across the region.
| Country | Services Covered |
|---|---|
| Ethiopia | Financial advisory, securities brokerage, portfolio management |
| Rwanda | Trust services, investment banking, portfolio management |
Regulatory approval process
According to the Ethiopian Capital Market Authority, the approval followed a comprehensive regulatory review involving multiple government institutions and extensive cross-market due diligence. This milestone comes shortly after the group secured regulatory approval from the Capital Market Authority (CMA) to provide trust services, investment banking and portfolio management services in Rwanda.
CEO commentary
Commenting on the development, Group Chief Executive Officer of United Capital Group, Peter Ashade, said:
“Ethiopia and Rwanda represent two of Africa’s most significant growth opportunities, and we are pleased to receive these licences at an important moment in the region’s capital market development journey. The region’s strategic location as an international trade route connecting Africa and the East, a large youthful workforce, and ongoing reforms are expected to continue attracting foreign investment.”
“This is also a significant milestone for our country, Nigeria, as we export our business expertise to Ethiopia and Rwanda as they open their doors to foreign players, and to the African continent, indicating that bilateral collaboration can be a major catalyst for accelerating economic development on a continental scale. This is Africapitalism in action.”
Outlook
United Capital’s entry into Ethiopia and Rwanda marks Nigeria’s first export of investment banking expertise to two of Africa’s fastest-growing capital markets. Ethiopia’s emerging capital market presents significant opportunity as the country builds its securities exchange infrastructure, while Rwanda’s already-developed market offers a stable platform for expansion.
The licences position United Capital to capitalize on the region’s strategic location as an international trade route connecting Africa and the East, combined with a large youthful workforce and ongoing reforms that are attracting foreign investment. The comprehensive regulatory review process in Ethiopia signals the country’s commitment to maintaining high standards for foreign financial institutions entering its market.
This expansion aligns with the broader Africapitalism philosophy of Nigerian Billionaire, Tony Elumelu, who owns a major stake in United Capital about investing in and developing African markets rather than just extracting value. United Capital’s success in securing licences in both countries demonstrates the credibility of Nigerian financial expertise and could encourage other Nigerian financial institutions to pursue similar continental expansion.
United Capital Plc, delivered a high-performance start to 2026, reporting a 66.21% spike in Profit After Tax (PAT), which was boosted by a massive 719% surge in net gains from its equity instruments.
The results highlight a successful pivot toward fee-based income and strategic equity positioning, allowing the firm to maintain its “generational wealth” mission despite a dip in traditional net investment income.
Expansion into Ethiopia and Rwanda will enable more income diversification as well as underpin its share price. United Capital has a market capitalisation of N333 billion, and trades at a Price to Earnings (P/E) ratio of 10.39. Its shares have returned 1.64% in the past year.
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