Recapitalisation: FCMB Group gets shareholders’ nod to raise N400bn

Shareholders of FCMB Group Plc have approved an increase in capital raise of up to N400 billion as banks race to meet the March 2026 recapitalisation deadline set by the Central Bank of Nigeria (CBN). The approval was given during an Extraordinary General Meeting (EGM) held recently, according to a statement, saying the approval for […]

Shareholders of FCMB Group Plc have approved an increase in capital raise of up to N400 billion as banks race to meet the March 2026 recapitalisation deadline set by the Central Bank of Nigeria (CBN).

The approval was given during an Extraordinary General Meeting (EGM) held recently, according to a statement, saying the approval for the expanded capital raise reflects the Group’s exceptional financial performance and shows shareholders’ unwavering confidence in its leadership and bold growth ambitions.

Following the approval, FCMB Group will meet the minimum regulatory capital for banks with an international license ahead of the March 2026 deadline.

The bank stated that the capital raise would allow FCMB to retain its international banking licence for its subsidiary, First City Monument Bank Limited, and aligns with the CBN’s minimum capital requirements.

Speaking at the EGM, the Group Chief Executive Officer, Ladi Balogun, stressed the strategic importance of the capital raise while commending the shareholders for their support.

“The additional capital will be deployed to strengthen our capital adequacy ratio and accelerate growth. We will invest in human capital and technology, support our international expansion, and reduce high-cost deposits.

“We project our earnings per share (EPS) to grow by over 50% on average over the next two years. This positions FCMB to outperform the market while delivering stronger dividends and shareholder returns,” he said.

 

 

 

Balogun added that: “With the capital adequacy ratio projected above 20%, our ability to pay dividends will improve significantly. Shareholders can expect a steady rise in dividends per share, reflecting the bank’s growth trajectory and enhanced returns.”

 

 

 

The shareholders of FCMB Group also passed several resolutions.

 

 

 

Acceptance of Oversubscription: Approval was secured to accept oversubscriptions from the 2025 Public Offer of the Group’s shares, up to the limit prescribed by the Securities and Exchange Commission (SEC) and subject to regulatory approvals. This leverages the strong investor demand reflecting confidence in the Group.

 

Increase in Share Capital: FCMB Group’s issued share capital is increased from ₦30,002,169,782.50 divided into 60,004,339,565 ordinary shares of 50 kobo each by the creation and addition of the number of ordinary shares that will be required to give effect to the capital raise. The new ordinary shares shall rank pari passu in all respects with the existing ordinary shares of the Company.