GTCO raises GTBank’s capital base to ₦504bn after successful recapitalisation drive

Guaranty Trust Holding Company Plc (GTCO) has increased the paid-up share capital of its banking subsidiary, Guaranty Trust Bank Limited (GTBank), to ₦504.04 billion, following a rights issue subscription worth ₦365.85 billion.

In a statement on Friday, the group said the transaction involved the allotment of 6,994,050,290 ordinary shares of 50 kobo each by GTBank to GTCO, boosting the lender’s capital from ₦138.19 billion to ₦504.04 billion.

The move ensures GTBank meets the new Central Bank of Nigeria (CBN) minimum capital requirement for banks with international authorisation.

According to GTCO, the injection was funded from a two-phase equity capital raising programme recently concluded by the group, which included a fully marketed offering on the London Stock Exchange (LSE) that secured $105 million from long-term institutional investors in exchange for 2.29 billion new shares.

The programme, launched in July 2024, began with a public offering in Nigeria, raising ₦209.41 billion from 130,617 valid applications for 4.7 billion ordinary shares, split between retail and institutional investors.

Commenting on the development, GTCO Group Chief Executive Officer, Segun Agbaje, described the recapitalisation as a “pivotal step” in strengthening the group’s foundation and positioning for future growth.

“The successful recapitalisation of our flagship banking subsidiary, Guaranty Trust Bank Limited, marks a pivotal step in strengthening the foundation of our Group. With significant new capital secured and the CBN’s recapitalisation directive for Guaranty Trust Bank now fulfilled, we are focused on deepening innovation and service excellence, delivering improved performance, and expanding our footprint across high-growth markets,” Agbaje said.

The group noted that the additional capital will be deployed to expand GTBank’s branch network, grow its asset base, enhance its information technology infrastructure, and leverage emerging opportunities in Nigeria and other markets where it operates.

GTCO retains 100 per cent ownership of GTBank, and confirmed that none of its directors holds any direct or indirect interest in the bank.

The development comes shortly after GTCO became the first West African financial institution to dual-list on the NGX and the LSE, a milestone seen as boosting its investor confidence and global visibility.