FBN Holdings announces a N150 billion rights issue following a major upgrade

• Through a rights issue, First Bank of Nigeria Limited, FBN Holdings Plc has initiated a substantial capital expansion
• Existing shareholders can subscribe for one new share for every six shares held, at a price of N25.00 per share
• FBNH Chairman Femi Otedola said the capital increase will strengthen the bank for growth and better performance

FBN Holdings Plc (FBNH) has commenced a significant capital increase through a rights issue offering approximately 6 billion new shares to strengthen First sofa of Nigeria Limited, the flagship company.

A signing ceremony took place at the company’s headquarters in Marina, Lagosto formally announce the rights issue, which is valued at over N149.6 billion.

BusinessDay reported that one new share, valued at N25.00 per share, may be subscribed to by the current shareholders for every six shares already held.

“This capital increase will strengthen the bank for growth and better performance,” FBNH Chairman Femi Otedola said at the signing ceremony.

He urged shareholders to participate in the offer, emphasizing the aim of improving total shareholder returns and restoring First Bank’s standing among shareholders. Nigeria’s major financial institutions.

The additional funds will be used primarily to support FirstBank’s African expansion strategy, enhance digital banking capabilities and grow the company’s wholesale and retail banking operations, said Group Managing Director Nnamdi Okonkwo.

“This rights issue gives shareholders the opportunity to retain their relative ownership while providing the necessary capital buffers to maximize business opportunities in our operating markets,” Okonkwo said.

From October 18, 2024, known shareholders will be eligible to participate in the capital increase, which was unanimously approved by shareholders at the company’s annual general meeting in August 2023.

Participation forms are available to current shareholders through the company website, FirstBank locations and approved issuance houses. The company has also enabled digital apps through its FirstMobile platform.

Before making any investment decisions, FBN Holdings has recommended that shareholders read the rights circular thoroughly and consult a professional.

First Bank announces date for system migration

Legit.ng reported that First Bank, one of Nigeria’s leading financial institutions, has done so announced a planned system migration that will temporarily disrupt certain banking services.

In an email to suppliers, First Bank said it will move to a new cloud-based purchasing and finance platform from Saturday, October 26.

The bank said the migration will be fully operational from Monday, November 4, 2024, Punch reports.

Source: Legit.ng