Fidelity Bank Plc, Nigeria’s 6th largest bank, is set to launch a recapitalization drive on Thursday, June 20, 2024, with a public offer and rights issue aimed at raising up to N127.100 billion.
As part of this capital-raising effort, the bank will hold a “Facts Behind the Offer” presentation at the NGX on the same day.
According to reports, the rights issue will involve the offering of 3.2 billion ordinary shares of 50 kobo each at N9.25 per share, with a ratio of 1 new ordinary share for every 10 ordinary shares held as of January 5, 2024.
Meanwhile, the public offer will make 10 billion ordinary shares of 50 kobo each available to the general investing public at N9.75 per share. Stanbic IBTC Capital is leading the combined offer, supported by a consortium of joint issuing houses including Iron Global Markets Limited, Cowry Asset Management Limited, and others.
The acceptance and application lists for both the rights issue and public offer will be open from June 20 to July 29, 2024.
This capital-raising exercise is a strategic move by Fidelity Bank to increase its share capital base, in line with the revised minimum capital requirements for Nigerian commercial banks introduced by the Central Bank of Nigeria (CBN) on March 28, 2024.
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