Fidelity Bank Boosts Share Capital to N36.7bn to Strengthen Growth & Market Position

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Olori Uwem

Well-Known Member
Mar 18, 2024
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Fidelity Bank Boosts Share Capital to N36.7bn to Strengthen Growth & Market Position

Fidelity Bank Plc has increased its issued share capital from N26.7bn to N36.7bn, following shareholder approval at its Extraordinary General Meeting (EGM) held virtually on Thursday.

Key Highlights of the Capital Increase:

✅ Creation of 20 billion additional ordinary shares at N0.50 kobo each
✅ Authorisation for the Board to raise additional equity through private placements, rights issues, or public offers
✅ Strengthening of balance sheet to enhance market position and competitiveness
✅ Ensuring full subscription by allowing underwriting of the capital raise if necessary

Fidelity Bank’s Strategic Growth Plan

According to the bank, this capital raise is a strategic move designed to:
Expand its financial capacity for new business opportunities
Deepen digital transformation efforts and enhance customer experience
Drive long-term expansion, positioning the bank for sustained growth

Regulatory Compliance & Market Listing

The newly issued shares will be listed on the Nigerian Exchange Limited (NGX) and will have equal ranking (pari passu) with existing shares.
Shareholders also approved amendments to the bank’s Memorandum and Articles of Association to reflect the new capital structure.
The bank will comply with all regulatory approvals from the Securities and Exchange Commission (SEC), Central Bank of Nigeria (CBN), and Corporate Affairs Commission (CAC).

The Bigger Picture

Fidelity Bank’s share capital increase aligns with its vision for growth, market expansion, and digital innovation. With this move, the bank is well-positioned to compete more effectively in Nigeria’s dynamic financial sector.

What are your thoughts on Fidelity Bank’s expansion strategy? Drop your comments below! ⬇️