Shareholders approve Stanbic IBTC N550bn capital raising plans

…N400bn debt issuance programme, N150bn equity capital

The shareholders of Stanbic IBTC Holdings Plc at its 12th Annual General Meeting held in Lagos approved among others the capital raising plans of the company.

At the meeting, the Board proposed and got the approval of shareholders for a N400 billion debt issuance programme as well as additional equity capital of N150billion.

The shareholders also approved the 50kobo dividend payment for the financial year ended December 31, 2023.

For the debt issuance programme, the shareholders approved that subject to receipt of any required regulatory approvals and pursuant to Article One of the Company’s Articles of Association, the Directors are authorised to establish a Debt Issuance Programme (the Programme) in an amount of up to N400billion or such foreign currency equivalent thereof “as the Directors may consider appropriate, for the purpose of issuing debt securities (to include senior unsecured or secured, subordinated, convertible, preferred, equity linked or such other forms of debt obligations) by way of public offering, private placement, additional tier one or tier two capital raising, investments, book building process or any other method, in tranches of such amounts and at such dates, coupon or interest rates and upon such terms and conditions as may be determined by the Directors, subject to the grant of all required approvals from the relevant regulatory authorities”.

The Directors were also authorised to enter into and execute all such agreements, deeds, notices and documents as may be necessary for or incidental to the Company’s N400 billion Programme.

The Directors were also authorised to appoint all such professional parties necessary for or incidental to, the actualisation of the Programme, including, without limitation, complying with the directives of any regulatory authority.

For the additional equity capital, the shareholders approved that subject to receipt of any required regulatory approvals and pursuant to Clause 7 of the Company’s Memorandum of Association, the Directors should raise additional equity capital of up to N150billion by way of a Rights Issue or offer for subscription on such terms, tranches, conditions and dates as may be determined by the Directors.

“In the event of an under-subscription to any Rights Issue or Offer for Subscription, the Directors are authorised to offer the unsubscribed shares first to interested existing shareholders; and where following such offer, any portion of the shares, remain unsubscribed, then the Directors are hereby authorised to offer such unsubscribed shares that may be outstanding, to interested investors on similar terms to the Rights Issue or Offer for subscription”.