• Tue. Jul 16th, 2024

Fidelity Bank Launches Capital Raising with Public Offer, Rights Issue


Jun 16, 2024

Fidelity Bank Plc, Nigeria’s sixth-largest bank, is set to open its public offer and Rights Issue on Thursday, June 20, 2024. This significant capital-raising initiative will be marked by a “Facts Behind the Offer” presentation at the Nigerian Exchange (NGX) on the same day.

According to an article by Iheanyi Nwachukwu on Businessday, Fidelity Bank plans to offer 3.2 billion ordinary shares of 50 kobo each at N9.25 per share through a Rights Issue. The offer is structured to give existing shareholders the right to purchase one new share for every ten shares held as of January 5, 2024.

In addition to the Rights Issue, the bank will also make a public offer of 10 billion ordinary shares of 50 kobo each, priced at N9.75 per share, to the general investing public. This dual approach aims to raise a total of up to N127.1 billion.

Stanbic IBTC Capital is leading the Combined Offer, with support from Joint Issuing Houses including Iron Global Markets Limited, Cowry Asset Management Limited, Afrinvest Capital Limited, FSL Securities Limited, Futureview Financial Services Limited, Iroko Capital Market Advisory Limited, Kairos Capital Limited, and Planet Capital Limited.

The acceptance and application period for both the rights issue and the public offer will commence on June 20 and close on July 29, 2024.

This initiative is part of Fidelity Bank’s strategy to bolster its share capital base, aligning with the revised minimum capital requirements for Nigerian commercial banks introduced by the Central Bank of Nigeria (CBN) on March 28, 2024.

Leave a Reply