GTCO’s public offering opens at N44.50 per share

… allocates 50% of the offering to institutional investors

The offer list for subscription of 9 billion ordinary shares of Guaranty Trust Holding Company Plc (GTCO) opened on Monday, July 15 at N44.50 per share. The offer lasts until August 12, according to the offer notice.

The distribution of the shares offered is made between institutional investors and individual investors.

The allocation is divided as follows: (i) 50 percent, corresponding to 4.5 billion shares offered, to institutional investors; and (ii) 50 percent, corresponding to 4.5 billion shares offered, to retail investors.
In the meantime, the issuer noted that it reserves the right to modify the distribution of the allocation based on the demand expressed by each category of investors.

“Accordingly: (i) Shares in the Offering allocated to, but not subscribed by, retail investors may be reallocated to institutional investors, provided that subscriptions submitted by institutional investors exceed the above allocation and support such reallocation. (ii) Shares in the Offering allocated to, but not subscribed by, institutional investors may be reallocated to retail investors, provided that subscriptions submitted by retail investors exceed the above allocation and support such reallocation.

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“The final allocation split between retail investors and institutional investors will be determined following the completion of the capital verification exercise and approval of the allocation basis. Investors will be informed of the final allocation split and allocation through the publication of the Allocation Announcement,” GTCO said in the public notice.

The principal issuer is Stanbic IBTC Capital Limited, while the joint issuers are Absa Capital Markets Nigeria Limited, FCMB Capital Markets Limited and Vetiva Advisory Services Limited.
After deducting the costs and expenses of the Offering, which are estimated at N8.010 billion (representing 2% of the gross proceeds), the net proceeds of N392.490 billion will be used as follows: recapitalisation of GTBank Nigeria (N370 billion or 94.3%), Group growth and expansion – acquisitions in pension fund administration/asset management businesses (N22.49 billion or 5.7%).

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GTCO’s market capitalization at the offer price (before the offer) is N1.309 trillion while its market capitalization at the offer price (after the offer) is N1.710 trillion assuming full subscription.

Applications for the Offered Shares may be made in physical form at any branch of GTBank Nigeria nationwide, any branch of the Receiving Banks nationwide, the Offering Houses, Offering Dealers and other Receiving Agents throughout the Offer Period. In addition, applications may also be made in electronic format through the e-application channel. Foreign Institutional Investors eligible to participate should contact any of the Offering Houses.