United Financial institution for Africa (UBA) Plc has commenced N157.85 billion rights challenge to strengthen its capital base.
The rights challenge is a part of UBA’s efforts to satisfy the Central Financial institution of Nigeria’s (CBN) N500 billion minimal capital necessities for worldwide industrial banks by March 2026.
With this capital elevate, UBA is poised to bolster its capital adequacy ratio and fund growth initiatives, deepening its footprint throughout the continent’s monetary panorama.
The Financial institution in a launch on the Nigerian Alternate signed by the Group Firm secretary/authorized counsel, Bili Odum mentioned “UBA’s rights challenge of three.157 billion odd shares of fifty kobo every at N50.00 per share opened on Wednesday, July 30, 2025 and is scheduled to shut on September 5, 2025.”
It said that the supply, which has been duly authorized by the Securities and Alternate Fee (SEC), is being made to present shareholders on the premise of 1 new odd share for each 13 odd shares held as of the shut of enterprise on July 16, 2025.
The discharge added that “this rights challenge represents the second tranche underneath the Financial institution’s N400 billion fairness shelf programme, which was duly registered with the SEC.
“The Programme is designed to make sure compliance with the brand new minimal capital necessities stipulated by the Central Financial institution of Nigeria (CBN), whereas supporting UBA’s strategic growth goals and long-term worth creation for shareholders.”
UBA chairman, Tony Elumelu, lately mentioned that the financial institution would meet the CBN’s N500 billion minimal capital requirement for worldwide industrial banks by the third quarter (Q3) of 2025, forward of the deadline.
Elumelu acknowledged that the apex financial institution’s minimal capital necessities aimed to strengthen the monetary sector and higher place it to assist the true financial system.
“Banks got till March 2026 to adjust to these new efficiency necessities, with choices together with elevating further capital, pursuing mergers and acquisitions, or downgrading their licenses to align with present capital ranges,” he added.
He defined that according to the CBN directive, UBA started its capital elevating actions with its first rights challenge in November 2024, saying that the rights challenge closed in December 2024 with 6.84 billion odd shares of fifty kobo every provided to present shareholders at N35 per share.
He famous that the problem was oversubscribed by N11.6 billion, and your entire quantity of N251.0 billion has been verified and authorized by the Central Financial institution of Nigeria (CBN).
He added, “The ultimate capital elevate is anticipated to be accomplished in Q3 2025, nicely forward of the CBN deadline.”
He additionally highlighted that the proceeds from the rights challenge might be used to put money into further digital applied sciences and enterprise growth, strengthening the financial institution’s seven-and-a-half many years of spectacular efficiency.
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