Business News of Saturday, 15 April 2023
Source: punchng.com
Fidelity Bank Plc has announced that it has completed the private placement of 3.03bn units of its shares.
This was disclosed in a corporate notice filed on the Nigerian Exchange Limited on Friday, stating that the placement was 100 per cent subscribed.
The bank said that it received two applications for the 3,037,414,308 ordinary shares of 50 kobo each at ₦4.60 per unit, which opened on February 22 and closed on February 23.
The notice partly read, “The two applications for a total of 3,037,414,308 ordinary shares were found to be valid. The Private Placement was therefore 100 per cent subscribed, accepted and processed accordingly.”
Fidelity Bank secured the approval of its shareholders to issue 3.03 billion ordinary shares of 50kobo by way of private placement at its Extra-Ordinary General Meeting in Lagos in October 2022.
The Chairman of Fidelity Bank, Mustafa Chike-Obi, had said that the EGM was called to ensure the Bank complied with Section 124 of the Companies and Allied Matters Act, 2020 (CAMA) and Regulation 13 of the Companies Regulations 2021, which require companies with unissued shares at the time of commencement of CAMA 2020 to issue such shares by December 31, 2022.
He said, “After considering the options, the board resolved that the company’s outstanding 3,037,414,308 unissued ordinary shares of 50 kobo each should be disposed of by way of a private placement to strategic investors to enable the bank to generate additional capital for continued growth in line with its objectives.”