As Onyeali-Ikpe purchases additional N366.3m shares, stock price Fidelity Bank plummets by 10.34% WoW

Amid Managing Director and Chief Executive Officer of Fidelity Bank Plc, Nneka Onyeali-Ikpe purchasing additional N366.3 million shares, the stock price of Fidelity Bank Plc dropped to 10.34 per cent in its Week-on-Week (WoW) as investors aggressively traded the lender’s stock with caution.

Fidelity Bank dropped by 10.34 per cent or N2.15 per share to close yesterday at N18.65 per share from N20.80 per share it opened for trading this week.

Onyeali-Ikpe this week had acquired an additional 18 million shares of the bank, valued at approximately N366.3 million.

The shares were purchased in a transaction on May 19, at a price of N20.35 per share on the Nigerian Exchange Limited (NGX).

Towards the end of November 2024, Onyeali-Ikpe, increased her stake in the bank by acquiring an additional 10 million shares, valued at N157.9million.

The shares were purchased in two separate transactions between November 26 and 27, at an average price of N15.79 per share. Onyeali-Ikpe acquired 6 million units at N15.95 per share and an additional four million units at N15.55 per share.

This move follows a previous acquisition where she bought 15 million shares in Fidelity Bank between November 21 and 22, 2024, valued at N239.4million. The purchase, which forms part of an insider trading notification, was disclosed in accordance with the NGX’s regulatory requirements for share dealings by directors of listed companies.

According to a regulatory filing posted on the NGX Disclosures portal, this strategic investment was executed at N20.35 per share on May 19, 2025, the same day an online platform published an unsubstantiated report on a Supreme Court ruling in a decades-long case that the bank inherited from the defunct FSB International Bank that it absorbed in 2005.

Divisional Head, Brand & Communications, Fidelity Bank, Dr. Meksley Nwagboh in a statement posted on the NGX said, the lender is constrained to respond to a patently false, misleading and malicious publication against Fidelity Bank Plc and its MD/CEO, by an online platform.

He noted that the article, published on May 21, 2025 contained fabricated information about the Bank and its MD/ CEO that include blatantly false allegations that its MD/CEO took personal advantage of material price sensitive information to engage in insider trading and used the Bank’s funds to purchase 18 million units of its shares.

According to him, based on the fact that Fidelity Bank is a public quoted company regulated by the NGX and subject to the Listing Rules of the NGX as well as the Regulations issued by the Securities and Exchange Commission (SEC), it unequivocally confirm that the given the gravity of the false allegations in the malicious publication by Sahara Reporters, which were not only maliciously intended to impugn the hard-earned reputation of the Bank and its MD/CEO, but to also mislead the investment community and general public.

“We by a letter dated May 22, 2025, formally requested that the NGX carry out an independent review of the referenced share purchase transaction based on extant trading rules by insiders and revert with its findings,” he said in a statement posted on NGX.

He noted further that in response to request for an independent review, the NGX by a letter dated May 22, 2025, confirmed unequivocally that: “Following the filing of the Bank’s 2025 Q1 UFS on 30 April 2025, the Directors and other insiders of the Bank became eligible to trade on the securities of the Bank after 24 hours.

“Therefore, the share purchase transaction referenced by Sahara Reporters which occurred on 19 May 2025 was transacted during an open trading window and NG RegCo is not aware of any other price sensitive information that the Bank is required to disclose which should hinder trades on the securities of the Bank by insiders.”

He said the bank believed that the above clarification by the NGX would be reassuring to the domestic and global investment community, its domestic and foreign regulators/counterparties and the general public, while ensuring sustained confidence in the operations of the Nigerian capital market.

“Fidelity Bank remains a very strong, profitable and responsible financial institution and amongst the most capitalized banks in Nigeria today with international operations.

“As a responsible financial organization with a history of strong corporate governance standards, we wish to assure all our customers and stakeholders of our unwavering commitment to upholding the highest level of ethical standards in all our dealings.

“Furthermore, we shall pursue all legal remedies available to us in relation to these malicious and sponsored publications which were clearly intended to defame the character of our Managing Director/CEO and cause reputational damage to the institution,” Nwagboh added in a statement.

The CEO’s substantial personal investments serve as a powerful testament to her confidence in Fidelity Bank’s strategic direction and financial health. By increasing her stake during a period of legal scrutiny, Onyeali-Ikpe sends a clear message of stability and trust in the institution’s governance and operational integrity.

Fidelity Bank’s financial results further validate this confidence. In the first quarter of 2025, the bank reported a Profit Before Tax of N105.8 billion, marking a 167.8per cent increase compared to the same period in 2024. Gross earnings rose by 64.2 per cent year-on-year to N315.4 billion, driven by significant growth in interest income and non-interest revenue.

The tier-one lender’s balance sheet remains solid, with total deposits increasing by 11.1per cent year-to-date to N6.6 trillion, and net loans and advances growing by five per cent to N4.6 trillion. These figures highlight Fidelity Bank’s strong liquidity position and its capacity to support large-scale projects and absorb financial shocks.

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