By Newsshelve Correspondent.
FBN Holdings Plc, a leading financial institution in Nigeria, has reaffirmed its commitment to completing its ongoing N150 billion rights issue capital raise by the first quarter (Q1) of 2025.
Group Managing Director, Nnamdi Okonkwo, made this announcement during the ‘Facts Behind the Rights Issue’ presentation at the Nigerian Exchange in Lagos.
The rights issue, which commenced on November 4, involves the issuance of 5.983 billion ordinary shares of 50 kobo each at N25.00 per share.
Okonkwo emphasized that the capital raise aims to strengthen FBN Holdings’ financial position and capital base, enabling the company to support business initiatives and enhance its market presence.
“The proceeds from the rights issue will be used to shore up FirstBank’s capital for business development and growth, investment in automation and digital banking, and to support international business expansion,” Okonkwo explained.
He added that the bank plans to deepen its footprint in strategic markets, including key African economies and its existing presence in the United Kingdom, France, and China.
FBN Holdings also intends to seek shareholder approval to raise an additional N350 billion at its upcoming Annual General Meeting (AGM).
Okonkwo highlighted the company’s impressive financial and operational performance for the nine months ended September 30, 2023.
Gross earnings increased by 134% to N2.25 trillion, driven by growth in interest and non-interest income. Profit before tax grew by 128% to N610.9 billion, while total assets increased by 62.3% to N27.5 trillion.
He urged shareholders to take advantage of the rights issue, noting that the offer price of N25 per share presents a compelling investment opportunity.
Chief Executive Officer of the Nigerian Exchange Limited, Jude Chiemeka, reiterated the Exchange’s commitment to providing a platform for listed corporates to raise fresh capital.
He emphasized the importance of the financial services sector in the Nigerian capital market.
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