Fidelity Bank private placement records 87.7% subscription

Fidelity Bank Plc has successfully crossed the ₦500 billion regulatory capital threshold following the Central Bank of Nigeria’s (CBN) verification of its recent private placement.

While the exercise initially saw an oversubscription, the final verified results show a 87.7% successful subscription level amounting to ₦227.05 billion.

The Bank had offered 14.8 billion ordinary shares at ₦17.50 per share. Prior to regulatory scrutiny, the lender received 20 applications for 16.78 billion shares, representing a 113.4% subscription rate.

However, the CBN’s capital verification process—a mandatory step in the ongoing industry-wide recapitalization led to the final allotment of 12.97 billion share.

The allocation was notably skewed toward large-ticket institutional investors, particularly those in the highest application band of over 2 billion shares.

This ₦227.05 billion capital injection is the final piece of the puzzle for Fidelity Bank’s recapitalization journey.

Added to the bank’s existing share capital and premium of ₦305.5 billion, the bank’s eligible capital now stands at ₦532.55 billion, comfortably exceeding the CBN’s ₦500 billion requirement for banks with international licenses.

Earlier in its capital-raising drive, the bank had secured ₦175.85 billion through a Public Offer and Rights Issue in 2024. This latest private placement ensures the bank remains compliant well ahead of statutory deadlines.

The market responded positively to the news of the successful capital verification, with Fidelity Bank’s share price rising 1.3% to close at ₦22.30.

The bank has also reclaimed its status in the “Stocks Worth Over One Trillion” (SWOOT) category, with a market capitalization currently sitting at ₦1.12 trillion.

Refunds for unsuccessful or unverified portions of the subscription are expected to be processed by April 27, 2026, while successful allottees will have their CSCS accounts credited by April 30, 2026. The entire process received final clearance from the Securities and Exchange Commission (SEC).

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