Stanbic IBTC Holdings PLC, a member of Standard Bank Group, has announced the opening of its ₦148.7 billion Rights Issue. 

 

 

The Rights Issue, which opened on 15 January 2025, and is expected to close on 21 February 2025, offers existing shareholders the opportunity to subscribe to 2,944,772,083 Ordinary Shares of 50 kobo each at ₦50.50 per share.

 

 

Speaking during the Facts Behind the Rights Issue event held at the Nigerian Exchange Group (NGX), Lagos, recently, Acting Chief Executive of Stanbic IBTC Holdings PLC,, Dr. Kunle Adedeji, described the development as a strategic move, aimed at strengthening the company’s capital base, enhancing  its funding capacity and positioning it for sustainable growth.

 

 

He believed the  Rights Issue, structured on a ratio of five new shares for every 22 Ordinary Shares held as of 29, October 2024, would enable the company’s banking subsidiary meet the new minimum capital requirement set by the Central Bank of Nigeria (CBN), thereby ensuring regulatory compliance and potentially strengthening its Capital Adequacy Ratio (CAR).

 

 

For existing shareholders, the Rights Issue offers the opportunity to consolidate their ownership and support growth initiatives, at a discounted Issue price; and giving them the flexibility to either sell their rights on the NGX at a premium or maintain their proportional ownership by participating in the rights issue, catering to diverse investment strategies.

 

 

“The pricing of our Rights Issue acknowledges the confidence of our shareholders have in the company’s vision and strategy. We are committed to delivering value to our shareholders and stakeholders, and this Rights Issue is a critical step in achieving our goals.”

 

 

“At Stanbic IBTC Holdings, we believe that strong shareholder support is the cornerstone of our growth. The Rights Issue reflects our stakeholders’ trust in our company and reinforces our commitment to delivering sustainable returns. Together, we will navigate the path to success and continue to achieve our strategic objectives,” he added 

 

 

The company is also expected to invest proceeds from the Issue  to its banking subsidiary, to enable it meet the new minimum capital requirement set by the Central Bank of Nigeria (CBN) for banks and also enhance the company’s funding base and support its growth strategies across its key operations.

 

 

Chief Executive of Stanbic IBTC Bank,  Wole Adeniyi, who co-presented the Facts Behind the Rights Issue, expressed delight at the Rights Issue, describing it as a significant milestone in the company’s journey to becoming Nigeria’s leading financial services organisation, and a critical step in its efforts at  meeting  the evolving needs of its customers and stakeholders.

 

 

” We are committed to maintaining our leadership position in the industry, and this capital raise will enable us to invest in our business, drive innovation, and deliver sustainable returns to our shareholders,” he added.