FBN Holdings seeks approval to raise N150bn additional capital

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First Bank Holding Plc is planning to seek shareholders’ approval to raise N150 billion additional capital at the group’s Annual General Meeting scheduled for August 15, 2023.

In an amended notice of the AGM, the capital raise transaction shall be by way of a Rights Issue, on such terms and conditions and on such dates as may be determined by the Directors, subject to obtaining the approvals of the relevant regulatory authorities.

Also, the shareholders will also have the opportunity to consider and pass the special resolutions that clause 6 of the Memorandum of Association of the Company be amended to reflect the newly issued share capital of 22.435 billion by the creation of 8.974 billion Ordinary shares of 50 Kobo each”.

“That the Directors’ fees for the financial year ending December 31, 2023, and for succeeding years, until reviewed by the Annual General Meeting, be fixed at N50 million for each Director and N63.7 million for the Board Chairman That the Company’s Issued Share Capital be increased from N17.948 billion made up of 35.895 billion Ordinary shares of 50 Kobo each to N22.434 billion by the creation of 8.974 billion Ordinary shares of 50 Kobo each”.

Some shareholders of FBN Holding Plc (FBNH), had protested against a court order suspending the 11th Annual General Meeting (AGM) of the financial institution, and management proposed plans to raise fresh capital and appoint new directors.

Chairman of the Trusted Shareholders Association of Nigeria, Alhaji Mukhtar Mukhtar, while speaking on behalf of other minority shareholders, noted that shareholders are not happy that some individuals are trying to hold the financial institution to ransom.