GTCO raises N10 billion through private placement
Guaranty Trust Holding Company Plc has obtained the approvals of the Central Bank of Nigeria and the Securities and Exchange Commission to undertake a private placement of its ordinary shares.
The bank, in a statement on Tuesday, said that this was subject to the fulfilment of the applicable conditions precedent and regulatory requirements.
GTCO recalled that it had earlier announced on August 29 that its banking subsidiary, Guaranty Trust Bank Ltd., had satisfied and exceeded the new CBN minimum capital requirement for commercial banks with international authorisation, having already increased its capital to N504 billion.
“This private placement in the sum of N10 billion is therefore only being raised pursuant to Section 7.1 of the Guidelines for Licensing and Regulation of Financial Holding Companies in Nigeria regarding the computation of the capital of FHCs.
“The proposed private placement was being undertaken pursuant to the company’s shareholders’ resolution passed at its Annual General Meeting held on 9 May 2024.
“The resolution authorised the board to establish a capital raising programme of up to $750 million or its equivalent through the issuance of ordinary shares, preference shares, convertible and/or non-convertible bonds or any other instruments,” it added.
This could be by way of a public offering, private placement, rights issue, book-building process, or any other method or combination of methods in such tranches, at such dates, and upon terms and conditions as may be determined by the board.
The statement further reads that, “As a result of this, the Board has authorised the Company to embark on a private placement to raise N10 billion by the allotment of 125 million ordinary shares of 50k each.
“The company has entered into an arrangement, in connection with a best efforts private placement for gross proceeds of up to N10 billion from the sale of up to 125 million of the ordinary shares of the company at N80 per share,” said GTCO.
The offering is scheduled to close on December 31 and is subject to certain conditions, including, but not limited to, receipt of all necessary approvals.
(NAN)
We have recently deactivated our website's comment provider in favour of other channels of distribution and commentary. We encourage you to join the conversation on our stories via our Facebook, Twitter and other social media pages.
More from Peoples Gazette
Agriculture
FG tasks ECOWAS on leveraging financing strategies for agroecology
The federal government has urged stakeholders in the agriculture and finance sectors in the West Africa region to leverage financing strategies to enhance agroecology practices
Politics
Katsina youths pledge to deliver over 2 million votes to Atiku
“Katsina State is Atiku’s political base because it is his second home.”
Economy
Navy recovers 80,000 litres of suspected stolen crude oil in Delta
The Nigerian Navy recovered approximately 80,000 litres of crude oil in anti-crude oil theft operations in Delta State.
States
Kano govt restores 39.8 million-litre Goron Dutse reservoir after 30 years
Governor Abba Yusuf said restoring the facility was part of his government’s broader effort to revive the state’s critical infrastructure.
Sport
AFCON Qualifiers: Guinea-Bissau trash Nigeria 3-0
The victory lifted Guinea-Bissau to the top of Group L with six points while Nigeria’s qualification hopes suffered another setback.
Economy
Pension fund assets rise to N31.8 trillion
The National Pension Commission (PenCom) says pension assets grew by N289.40 billion from the N31.51 trillion recorded at the end of July.
World
Three teenagers die after car veers into river
Police said the fourth person, a 17-year-old survivor, will be questioned.
Showbiz
Saved by the Bell actor Dennis Haskins dies at 75
His agent, Jay Schachter, confirmed the news of his death, which occurred on Sunday in Burbank, California.
