FIDELITY BANK PLANS N26.7BN CAPITAL RAISE
KEY DETAILS:
- Capital Increase: Fidelity Bank has announced plans to raise its issued share capital from N22.6 billion to N26.7 billion by creating up to 8.2 billion additional ordinary shares, each valued at 50 Kobo.
- Corporate Notice: This move, detailed in a corporate notice filed with the Nigeria Exchange Limited and signed by the Company Secretary, Ezinwa Unuigboje, aims to meet the new minimum capital requirements set by the Central Bank of Nigeria (CBN).
- Public Offer and Rights Issue:
- The bank will issue 5 billion new shares under a public offer and 3.2 billion new shares under a rights issue.
- The combined offer started on June 20 and will close on July 29, ensuring no dilution in value for current shareholders.
- Extraordinary General Meeting: Scheduled for July 26, where shareholders will vote on the proposed increase in share capital.
- Objectives:
- The capital raise aims to invest in IT infrastructure, expand business operations domestically and internationally, and enhance product distribution channels.
- These investments will ensure long-term profitability, competitive advantage, and increased shareholder value.
- Regulatory Approvals: The bank's board of directors has been authorized to seek necessary approvals from regulatory bodies like the Securities and Exchange Commission, the CBN, and the Corporate Affairs Commission.
- Previous Announcement: Fidelity Bank had earlier announced a public offer of 10 billion ordinary shares at N9.75 per share and a rights issue of 3.2 billion ordinary shares at N9.25 per share, becoming the first bank to go public following the CBN's recapitalization directive issued in March.
KEY DETAILS:
- Capital Increase: Fidelity Bank has announced plans to raise its issued share capital from N22.6 billion to N26.7 billion by creating up to 8.2 billion additional ordinary shares, each valued at 50 Kobo.
- Corporate Notice: This move, detailed in a corporate notice filed with the Nigeria Exchange Limited and signed by the Company Secretary, Ezinwa Unuigboje, aims to meet the new minimum capital requirements set by the Central Bank of Nigeria (CBN).
- Public Offer and Rights Issue:
- The bank will issue 5 billion new shares under a public offer and 3.2 billion new shares under a rights issue.
- The combined offer started on June 20 and will close on July 29, ensuring no dilution in value for current shareholders.
- Extraordinary General Meeting: Scheduled for July 26, where shareholders will vote on the proposed increase in share capital.
- Objectives:
- The capital raise aims to invest in IT infrastructure, expand business operations domestically and internationally, and enhance product distribution channels.
- These investments will ensure long-term profitability, competitive advantage, and increased shareholder value.
- Regulatory Approvals: The bank's board of directors has been authorized to seek necessary approvals from regulatory bodies like the Securities and Exchange Commission, the CBN, and the Corporate Affairs Commission.
- Previous Announcement: Fidelity Bank had earlier announced a public offer of 10 billion ordinary shares at N9.75 per share and a rights issue of 3.2 billion ordinary shares at N9.25 per share, becoming the first bank to go public following the CBN's recapitalization directive issued in March.