S&P Global Ratings has assigned 'B' long-term and 'B' short-term issuer credit ratings, with a stable outlook, to LECON Finance Company Limited, a subsidiary of the Bank of Industry (BOI). The ratings were announced in a September 15, 2026 rating action. LECON Finance was identified as a core subsidiary of BOI, with its ratings aligned with those of its parent.
The Managing Director of LECON Finance, Mrs. Ebehiriere Ehi-Omoike, welcomed the rating, citing it as a recognition of the company's strategic importance within the BOI Group. The rating reinforces the strength of LECON Finance's business direction and confidence in its growth prospects. Ehi-Omoike emphasized the company's focus on deepening access to productive assets for Nigerian businesses.
LECON Finance provides operating lease solutions to BOI and finance leasing solutions to Nigerian clients. The company offers flexible, asset-backed financing to businesses across Nigeria, with a focus on scaling its capacity. Ehi-Omoike highlighted LECON Finance's partnership with BOI and other stakeholders to expand access to productive assets, particularly for micro, small, and medium-sized enterprises (MSMEs).
According to S&P Global Ratings, operating leases accounted for 57 per cent of LECON Finance's total leases at year-end 2025. The company has expanded its finance lease portfolio to Nigerian MSMEs seeking to acquire productive assets. S&P noted LECON Finance's close alignment with BOI's development mandate, despite representing approximately 0.5 per cent of the group's total assets at year-end 2025.
BOI deposited N20 billion with LECON Finance in 2025, with plans to convert the funds into equity subject to regulatory approval. This is part of a broader N50 billion recapitalisation programme aimed at strengthening LECON Finance's capacity to expand its business. S&P expects continued growth in LECON Finance's finance lease portfolio to further strengthen profitability.
S&P Global Ratings expects LECON Finance's ratings to move in tandem with those of BOI. The rating agency projects continued improvement in profitability, with finance leases projected to grow faster than operating leases. Asset quality indicators are also expected to remain in check.
The stable outlook reflects S&P's expectation that LECON Finance will remain a core subsidiary of BOI and receive support when needed. The company is poised to leverage relationships with other development finance institutions to mobilise cheaper funding and drive growth.
Key points
- S&P Global Ratings assigns 'B' long-term and short-term issuer credit ratings to LECON Finance Company Limited.
- LECON Finance's ratings are aligned with those of its parent, Bank of Industry (BOI).
- The company is set to expand its finance lease portfolio to Nigerian MSMEs seeking to acquire productive assets.
