The N200 billion recapitalisation requirements set by the Central Bank of Nigeria (CBN) for financial institutions in the category of Stanbic IBTC Holdings Plc, which has a banking subsidiary, Stanbic IBTC Bank Limited, has been met.
This followed the N181.4 billion generated by the member of Standard Bank Group through a rights issue.
The financial services provider had sought to raise N148.7 billion from the exercise to meet the minimum capital base required by lenders with national banking licence, but it was oversubscribed by 21.9 per cent, demonstrating the confidence investors have in the organisation.
In March 2024, the CBN mandated that commercial banks with international authorisation raise their capital base to N500 billion, while national banks are required to reach N200 billion, with banks operating at regional level required to achieve a minimum capital threshold of N50 billion.
The injection of N140 billion into Stanbic IBTC Bank from the parent company further enhances the bank’s capacity to meet the growing demands of its customers and increasingly competitive market dynamics.
According to the chief executive of Stanbic IBTC Bank, Mr Wole Adeniyi, “The injection of the new capital into the banking subsidiary is a positive development.”
“This will enable the bank to seize additional opportunities within the industry and enhance our Single Obligor Limit (SOL).
“We deeply appreciate the dedication and hard work of our regulators, issuing houses, and all other stakeholders. We extend our sincere gratitude for your continued support,” he added.
On his part, the acting chief executive of Stanbic IBTC Holdings, Mr Kunle Adedeji, said, “The turnout and participation of existing shareholders taking up their rights was impressive such that the rights issue was oversubscribed by 21.9 per cent to the tune of N181.4 billion. Our shareholders’ interest shows the confidence they continue to have in the brand.”
It was stated that the successful recapitalisation of the bank is not just about numbers, but resilience, commitment, and a shared vision for the future.