Business
Ahead Regulatory Deadline, Fidelity Bank Set to Meet Recaptalization Target, Onyeali-Ikpe Expresses Gratitude
Fidelity Bank Plc is making impressive strides on its path to fulfilling the recapitalization targets set by the Central Bank of Nigeria (CBN).
With a successful first phase of its capital-raising initiative that recorded over 238% oversubscription and share price growth of over 100% evidencing a huge surge in investor confidence for the bank.
Following the successful completion of phase 1 of its capital raise, the bank is exceptionally well-positioned to not only meet the regulatory threshold but also fuel its growth trajectory.
With the recent conclusion of its equity capital raise through a Public Offer and Rights Issue, collectively known as the Combined Offer.
The response has been nothing short of extraordinary, with the Public Offer oversubscribed by an astounding 237.92%.
This translates to 107,588 valid applications for a total of 23,768,724,000 ordinary shares, amounting to N231.7 billion.
The Rights Issue also shone brightly, achieving a remarkable 137.73% subscription rate with 6,903 valid applications for 4,407,252,795 ordinary shares, totaling N40.7 billion.
Dr. Nneka Onyeali-Ikpe, the Managing Director and CEO of Fidelity Bank, expressed heartfelt gratitude for the overwhelming support from investors, stating, “The positive results recorded in our Combined Offer are a testament to the strength of the Fidelity Bank franchise in the capital market.”
Such a robust response not only underscores investor confidence but also reaffirms the bank’s unwavering commitment to delivering innovative financial solutions and sustainable returns to its stakeholders.
Following this remarkable success, Fidelity Bank has secured shareholder approval to launch the second phase of its capital-raising initiatives.
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This includes a significant increase in the bank’s issued share capital from N26.7 billion to N36.7 billion. Shareholders endorsed this expansion during an Extraordinary General Meeting on February 6, 2025, approving the creation of an additional 20 billion ordinary shares of N0.50 each.
This strategic capital boost positions Fidelity Bank to meet the CBN’s new minimum regulatory capital requirement of N500 billion for banks with international authorization by March 31, 2026. This ambitious goal aligns seamlessly with the bank’s vision for sustainable growth and exceptional service delivery, setting the stage for a dynamic future.
Fidelity Bank’s stock performance has further solidified its status as a top contender in the financial sector. From an initial offer price of N9.75 per share during the Public Offer, shares soared to a high of N21.15 on February 7, 2025, representing an impressive growth rate of over 116%.
This positions Fidelity Bank as one of the best-performing financial institutions in the market, with analysts from Apel Asset Limited noting an impressive 80% return on investment for shareholders who have held shares since 2023.
Market analysts project a considerable upside potential of 28.88%, establishing a fair value of Fidelity Bank at N23.15 against a reference price of N19.50. Such promising indicators not only enhance investor confidence but also position Fidelity Bank as a compelling investment opportunity within the Nigerian banking landscape.
The funds raised from the initial phases of the capital-raising exercises are earmarked for several key initiatives. Fidelity Bank plans to utilize these resources for local and international business expansion, enhancing technology infrastructure, and improving customer service initiatives. This proactive approach showcases the bank’s commitment to innovation and operational excellence.
As the bank gears up for the next phase of its capital-raising initiative, the primary focus remains on achieving its recapitalization targets while consistently delivering value to stakeholders. The bank’s leadership is confident that, with sustained investor support and a robust financial strategy, it will adeptly navigate the evolving landscape of the Nigerian banking sector.
Fidelity Bank’s recent achievements in capital raising signal a pivotal moment in its journey toward strengthening its financial foundation. With robust investor backing, strategic capital allocation, and a clear vision for growth, Fidelity Bank is not just on track to meet its recapitalization target—it is poised to exceed it.
The road ahead promises to be one of sustained growth and innovation, reinforcing Fidelity Bank’s position as a leader in the Nigerian financial sector. As the bank looks toward the future, it remains steadfast in its commitment to fostering strong relationships with investors and delivering on its promise of financial excellence and exceptional customer satisfaction.
Fidelity Bank’s proactive measures and impressive market performance pave the way for a brighter, more prosperous future—one where it continues to lead with integrity and vision in the ever-evolving financial landscape.
Leading financial services institutions, Guaranty Trust Holding Company (GTCO) Plc, has launched an initiative to improve quality of life for households and empower women in underserved communities.
This scheme known as Waste for Gas is under its corporate social responsibility (CSR) and stakeholder engagement to reaffirm its unwavering commitment to improving outcomes for people and communities.
The initiative also introduces a structured Waste for Gas exchange programme that promotes responsible waste management, fostering a culture of sustainability.
The company intends to distribute 3,000 3kg gas cylinders with burners to low-income households in Obafemi Owode Local Government, Mowe, Ogun State.
By providing households with gas-powered cooking, the initiative simplifies daily routines, freeing up time for essential activities that support financial resilience.
The project will unfold in two key phases, ensuring that it reaches those most in need.
In the first phase, teams from GTCO, in collaboration with local government representatives, conducted door-to-door visits across 12 wards in Obafemi Owode Local Government from Monday to Friday, February 18 – 21, 2025.
These visits helped identify beneficiaries who currently rely on firewood and charcoal for cooking. Participating households collected and returned plastic waste in exchange for gas cylinders and burners.
In the second phase, which held on Saturday and Sunday, February 22 and 23, 2025, efforts shifted to monitoring and increasing adoption of the new cooking method among the beneficiaries.
The chief executive of GTCO, Mr Segun Agbaje, said, “At GTCO, we are committed to driving progress, not just through innovative financial solutions but by creating real impact in the communities where we operate.
“Waste for Gas is about making life easier for families, giving them more time for what truly matters—whether it’s education, meaningful work, or personal development.
“Beyond this initiative, our goal is to continually evolve sustainable platforms that empower people, strengthen communities, and contribute to socioeconomic progress.”
As GTCO continues to expand its CSR footprint, the Waste for Gas project serves as a blueprint for future interventions that drive meaningful, long-lasting impact in underserved communities.
Retail lender, Unity Bank Plc posted gross earnings of N59.3 billion for the full year ended December 31, 2023, representing a growth of 3.84% year-on-year.
In its audited financials submitted to the NGX Group Limited, the Bank also witnessed improvements across key performance indicators, including a significant appreciation of customer deposits by 23% to N402.9 billion from N327.4 billion within the period under review – an indication of sustained retail growth and customer confidence.
Other key highlights of the full-year results include the total assets which stood at N472.5 billion; net fee and income commission, N5.2 billion and an increase in interest income by 9.6% to 53.7 billion from N48.8 billion within the period.
Commenting on the result, the Managing Director/Chief Executive Officer of Unity Bank Plc, Mrs. Oluwatomi Somefun said the Bank had issued a profit alert to reflect revaluation loss arising from Naira devaluation which was due to the acute shortage of Forex that created an inclement business environment and, on the aggregate, set in an economic headwind. She noted, however, that in the full-year statement, this has bottomed out and the key performance indicators are rebounding from the low level of growth and negative trends that characterized the year.
Mrs. Somefun stated: “As we begin to see the margins being closed, it is an indication that the measures being taken to revamp all aspects of the business is being well received by the market: be it workable recapitalization plan, aggressive drive for asset creation, product innovation, or digital banking”.
“We will need to covet the improvements and further build upon it. As a corporate brand, we have a lot that is keeping us going: the positive sentiments and optimism, the growing franchise of the business and steady growth in different segments of the retail market across all the geo-political zones of Nigeria” ” she said.
She added, “We have the right indicators to reclaim lost grounds – innovating with the development and soon to be launched an omnichannel digital app to improve reliability, customer experience, support diverse products functionality which will impact earnings, income and profitability.”
The Central Bank of Nigeria (CBN) has recently approved a business combination with another innovative Bank in Nigeria, marking a significant milestone in the Bank’s growth strategy as it advances its recapitalization plans. This partnership is built on a shared vision to redefine the banking experience for our customers and will drive the transformation of the consolidated entity. By leveraging Unity Bank’s extensive branch network and strong customer relationships alongside the entity’s digital expertise and commitment to innovation, we aim to create a seamless integration of traditional and modern banking services.
Amid a review of key highlights that support the steady growth of the retail business, analysts are of the view that the Bank has continued to reflect a good outlook in terms of perception and confidence in the market, which by and large creates an entity with remarkable resilience whilst investors’ sentiments remain positive.
The Public Complaints Commission has hailed construction firm Julius Berger Nigeria Plc for its compliance with regulations and its track record of zero public complaints.
The Commission’s Federal Capital Territory Commissioner, Musa Dikko, stated in a statement that the company deserves an award for its commitment to excellence in construction and labour relations.
Speaking during a courtesy visit to Julius Berger’s headquarters on Wednesday, Dikko highlighted the company’s long-standing reputation for quality and fairness.
“Our joy is that every construction done by Julius Berger Nigeria Plc is nearly perfect. I say ‘nearly’ because they say no one is perfect,” he said.
The commissioner commended the company’s approach to compensation at project sites, particularly in the FCT, noting that it ensures prompt and fair settlements.
“Each time compensation is required, my parents and our people always feel at ease because Julius Berger’s approach is different from other construction companies. This long-standing commitment has ensured that no complaints have been brought to the Public Complaints Commission regarding the company’s conduct,” Dikko added.
PCC’s State Director of Investigation, Irene Ogbogu, also lauded the company’s Corporate Social Responsibility efforts and its adherence to due process. Responding, Director of Administration, Dr Abdulaziz Kaita, reaffirmed Julius Berger’s commitment to upholding workers’ and community rights.
His words, “As a company, we have always strived to operate within legal and ethical guidelines.
“Our cooperation with the PCC has been beneficial to both parties, and we will continue to support the Commission’s mandate of protecting the rights of the people and ensuring compliance.”
Kaita emphasised that as one of the largest employers in Nigeria’s construction industry, the company remains diligent in its responsibilities.
“Being a major employer of labour requires us to be diligent in the protection of our workers and the citizens. We have internal policies that we abide by, and I can assure you that Julius Berger Nigeria Plc will ensure everything is done through due process,” he assured.
Both parties reaffirmed their commitment to strengthening public trust and fostering compliance in Nigeria’s infrastructure sector. The PCC delegation on the courtesy visit included the Chairman, Hon. Musa Dikko; State Director of Investigation, Mrs. Irene Chuka Ogbogu; Deputy Director of Investigation, Mrs. Jideri Agbese; Head of Public Relations, Mr. Emmanuel Ugboaja; Deputy Head of Public Relations, Mr. Alex Akinyele; and Information Officer, Ms. Gladys Iduku.
