Guaranty Trust Holding Company Plc (NGX: GTCO; LSE: GTCO), today announced that it has increased its investment in its wholly owned Banking subsidiary, Guaranty Trust Bank Limited (“GTBank”) to ₦504 billion through a rights issue subscription for 6,994,050,290 ordinary shares of fifty kobo each made by GTBank for a total consideration of ₦365,850,403,572.67, thus increasing GTBank’s paid-up share capital from ₦138,186,703,485.78 to ₦504,037,107,058.45.
This Capital Injection ensures GTBank’s compliance with the new minimum capital requirement for commercial banks with international authorisation stipulated by the CBN.
The Capital Injection was funded by the two-phased equity capital raising programme recently undertaken and concluded by GTCO Plc with an international fully marketed offering on the London Stock Exchange (LSE) that secured $105 million from high-quality, long-term institutional investors in exchange for 2.29 billion new ordinary shares, making GTCO Plc the first financial services institution in West Africa to dual list on both the NGX and LSE.
Launched in July 2024, GTCO’s equity capital programme began with a public offering to Nigerians that raised ₦209.41 billion from 130,617 valid applications for 4.7 billion ordinary shares, fully allotted and evenly split between retail and institutional investors.
Commenting on the recapitalization of Guaranty Trust Bank Ltd, Segun Agbaje, Group Chief Executive Officer of GTCO Plc, said: “The successful recapitalization of our flagship banking subsidiary, Guaranty Trust Bank Limited, marks a pivotal step in strengthening the foundation of our Group.
With significant new capital secured and the CBN’s recapitalisation directive for Guaranty Trust Bank now fulfilled, we are focused on deepening innovation and service excellence, delivering improved performance, and expanding our footprint across high-growth markets, while upholding the industry-leading standards that define the GTCO brand.”
The additional equity capital will be deployed by GTBank primarily for branch network expansion and asset growth (loans, advances, and investment securities portfolio), fortification of its information technology infrastructure and to leverage emerging opportunities in Nigeria and the operating environments where it maintains banking presence.
Following the Capital Injection, the Company continues to hold 100% of the entire issued and paid-up share capital of the Bank. None of the Directors of the Company has any interest, direct or indirect, in the Bank.
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