RMB Nigeria leads N148bn Stanbic IBTC rights issue amid recapitalization push

Rand Merchant Bank Nigeria Limited (RMB) acted as the lead issuing house on Stanbic IBTC Holdings Plc’s N148 billion rights issue, which closed oversubscribed at 122%, bolstering the bank’s capital base ahead of Nigeria’s sweeping banking recapitalisation directive.

The transaction, part of a broader capital raise effort in response to the Central Bank of Nigeria’s revised capital requirements, received full regulatory clearance from both the CBN and the Securities and Exchange Commission. It drew strong backing from existing shareholders, reflecting investor confidence in Stanbic IBTC’s long-term growth strategy.

“This landmark transaction underscores the market’s strong conviction in the Group’s strategic direction and fundamentals,” said Chidi Iwuchukwu, executive director and head of Investment Banking at RMB Nigeria.

“It also affirms RMB’s leadership in delivering bold, value-accretive capital market solutions at a defining moment for Nigeria’s banking sector.”

Stanbic IBTC, a member of the Standard Bank Group, is among the Nigerian lenders racing to meet the CBN’s new minimum capital thresholds announced in March, which require banks to significantly boost their capital buffers by March 2026.

The rights issue will enable the group to strengthen its core capital and continue expanding its footprint across banking, pensions, and asset management.

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RMB provided end-to-end deal advisory, managing the transaction structure, navigating regulatory complexities, and coordinating investor engagement.

“The successful close of the Stanbic IBTC rights issue is not just a capital raise—it’s a reaffirmation of investor trust,” said Bayo Ajayi, CEO of RMB Nigeria.

“It also reflects the depth of Nigeria’s capital markets and our capacity to deliver impactful financial solutions amid systemic reform.”

RMB Nigeria, a member of the FirstRand Group, has played a central role in several high-profile transactions across West Africa, leveraging its advisory and investment banking platform to support large institutions navigating market transitions.

The Stanbic IBTC raise is one of the first major public transactions since the CBN announced the new capitalisation regime for Nigeria’s banks, which are expected to cumulatively raise trillions of naira over the next 18 months to stay compliant.

Wasiu Alli

Wasiu Alli is a business, economics cum data journalist with strong expertise covering macro trends, capital markets, government policies, corporate earnings and comparative economics analysis. Alli turns raw data into trends that not only tells compelling stories but nudges investors to make valued and informed decisions. He’s an alumnus of Lagos State University and trained at Lagos Business School. He formerly heads the Companies and Markets desk at BusinessDay where he writes and supervises the production of well researched articles on earnings updates, corporate sectoral comparisons, market intelligence as well as interviews with C-suite executives.