SEC approves Union Bank’s N50 billion rights issue
The Securities and Exchange Commission (SEC) has given the Union Bank of Nigeria the go-ahead to float a N50 billion rights. By the approval, the financial institution is to raise fresh funds from Tier 1 market.
The offer, which opens this month, would afford the bank to put forth 12.1 billion ordinary shares of 50 kobo at N4.10 on the basis of five new shares for every seven shares held.
The qualification date for the rights issue, already been announced by the Nigerian Stock Exchange, was August 21.According to the Chief Executive Officer, Emeka Emuwa, “the approval by the Securities and Exchange Commission brings us to the final stages of this important transaction for Union Bank which is critical to our short to medium term business objectives. The capital raised from the rights issue will support our strategy to accelerate business growth and position the institution as a leading commercial bank in Nigeria.”
Chapel Hill Advisory Partners Limited is the lead issuing house while FSDH Merchant Bank Limited and Stanbic IBTC Capital Limited are joint issuing bodies.
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