Zenith Bank Plc has successfully raised ₦350.4 billion through a combined rights issue and public offer, strengthening its market position in Nigeria’s banking sector.
The bank disclosed in a statement to the Nigerian Exchange (NGX) Group that both the Central Bank of Nigeria and Securities Exchange Commission have fully approved the capital raise. The initiative consisted of two components: a rights issue offering 5.23 billion ordinary shares at ₦36.00 per share, and a public offer of 2.77 billion ordinary shares at ₦36.50 per share.
The public response exceeded expectations, with the public offer achieving a 160.47% subscription rate, leading to the allocation of 4.44 billion shares. The rights issue was similarly successful, reaching a 100.18% subscription rate with 5.23 billion shares allotted.
Dr. Adaora Umeoji, Zenith Bank’s Group Managing Director and CEO, highlighted the significance of this achievement: “This overwhelming response demonstrates the deep trust in Zenith Bank’s vision and strategy. The successful raise will enhance our competitive position and support our growth trajectory.”
The funds will support multiple strategic initiatives, including the bank’s African and European expansion plans, technological investments, and various growth projects. The offering, conducted between August and September 2024, utilized the Nigerian Exchange Limited’s e-Offer platform to attract diverse investors.
This capital raise has elevated Zenith Bank’s share capital to ₦614.65 billion, well above the Central Bank of Nigeria’s ₦500 billion requirement for banks with international operations, which must be met by March 2026.
Dr. Umeoji expressed appreciation to regulatory bodies for ensuring a smooth process and reiterated the bank’s commitment to delivering value while contributing to economic development.
Seunmanuel Faleye is a brand and communications strategist. He is a covert writer and an overt creative head. He publishes Apple’s Bite International Magazine.
