Stanbic IBTC Bank meets CBN’s recapitalisation requirements
StanbicIBTC
Stanbic IBTC Bank meets CBN’s recapitalisation requirements
Stanbic IBTC Bank said it has met the recapitalisation requirement of the Central Bank of Nigeria, CBN, following the successful conclusion the Rights Issue of its parent company, which raised N148.7 billion, with an oversubscription rate of 21.9% to achieve N181.4 billion.
The parent company of the bank, Stanbic IBTC Holdings, in a statement stated that this strategic initiative not only ensures that its bank subsidiary meets the stringent recapitalisation requirements mandated by the CBN but also firmly secures a robust financial foundation geared towards sustained future growth and innovation.
The company said: “The successful execution of this capital raise speaks volumes about the trust that existing shareholders have in the strategic direction and initiatives of Stanbic IBTC. It underscores the company’s operational excellence and its commitment to maintaining transparency and accountability. The additional funding of N140 billion from the parent company enables Stanbic IBTC to strengthen its position within the increasingly competitive financial market, while ensuring full compliance with the regulatory frameworks set out by the CBN. This compliance is crucial for the bank’s continued success and stability in a dynamic economic environment.
Commenting, Dr. Kunle Adedeji, the Acting Chief Executive of Stanbic IBTC Holdings PLC, said: “The enthusiastic participation of our shareholders in the Rights Issue indicates their strong belief in our strategic vision and long-term objectives. This successful capital increase is not merely a financial milestone; it marks a definitive step towards further enhancing our capabilities for sustainable growth and development in the sector.”
Also speaking, Wole Adeniyi, Chief Executive Officer, Stanbic IBTC Bank, said: “In light of recent mandates from the CBN, which require an increase in the capital base for commercial banks, Stanbic IBTC is well-prepared to meet this challenge head-on.
The infusion of N140 billion from the parent company directly into Stanbic IBTC Bank exemplifies a significant commitment to expanding the bank’s capacity, fostering innovation, and adapting to the ever-evolving market dynamics”.
Adeniyi acknowledged the critical importance of this new capital, stating that it will significantly enhance the bank’s operational capabilities, thereby allowing it to capture additional market opportunities and cater to the diverse needs of its clients.
