FBNHoldings Plans to seek shareholders’ approval to raise N300bn capital Requirements set by CBN

In its bid to meet the new minimum capital requirement recent set by the Central Bank, FBN Holdings plans to seek shareholder approval to raise up to N300 billion through a public share offering or private share sale in Nigeria or abroad, it said in a notice on Monday.

The holding company, which owns First Bank of Nigeria Limited said this in a regulatory filing with the Nigerian Exchange Group (NGX). It said it will ask shareholders for permission to raise the funds at a Annual general meeting set for April 30.

“That the Company be and is herebv authorised to undertake a capital raise of up to N300,000,000,000.00 (Three hundred billion naira). The capital raise transaction shall be by Issuance of shares via a public offering, private placement. rights issue in the Nigerian or international capital market at price{s) to be determined by way of a book building process or any other valuation method or combination of methods in such tranches, series at such … as may be determined by the Board of Directors …subject to obtaining the approvals of the relevant regulatory authorities,” the company said in the regulatory communication.

Share of Nigerian based FBN Holdings, which hit a high of N43.95 in March, last traded at 30.50 naira on the Nigerian Exchange

A recapitalisation among bank is gearing up gradually after the Central Bank of Nigeria (CBN) last month announced minimum capital requirements for banks to try to get banks to play a bigger role in boosting economic growth.