UBA extends N157.8bn rights issue offer till September 19

In a move to allow more shareholders participate in its current offer, the management of United Bank for Africa Plc (UBA) has extended its N157.8billion rights issue exercise till September 19, 2025.

The group company secretary/legal counsel, UBA,  Bili Odum in a statement stated that the initial scheduled to close on Friday, September 5, 2025, has been extended by  two weeks and will now close on Friday, September 19, 2025, following  the receipt of approval from the Securities and Exchange Commission.

“This extension is aimed at providing shareholders with additional time to  fully exercise their rights and participate in the Rights Issue.  The Bank remains committed to ensuring that all shareholders are  adequately carried along in the process and can maximize the benefits  of the Rights Issue,” the statement signed by Odum added. 

The financial institution in June 2025 notifited investing public that it has commenced its  right issue exercise to raise an estimated N157.8billion on the Nigerian Exchange Limited (NGX).

Odum in a signed statement stated that Pan-African financial instititton’s rights issue of 3,156,869,665 ordinary  shares of 50 kobo each at N50.00 per share opens Wednesday,  July 30, 2025 and is scheduled to close on Friday, September 05, 2025.

According to him, the offer which has been duly approved by the Securities and Exchange  Commission (SEC) is being made to existing shareholders on the  basis of one (1) new ordinary share for every thirteen (13) ordinary shares  held as at the close of business on Wednesday, 16 July 2025.

“This Rights Issue represents the second tranche under the Bank’s N400  billion Equity Shelf Programme, which was duly registered with the SEC.

“The Programme is designed to ensure compliance with the new  minimum capital requirements stipulated by the Central Bank of Nigeria  (CBN), while also supporting UBA’s strategic expansion Objectives And  Long-Term Value Creation For Shareholders,” the statement added.

UBA had raised N250 billion through a rights issue that was significantly oversubscribed.

The rights issue, which offered 6.84 billion ordinary shares of 50 kobo each at N35 per share to existing shareholders, was oversubscribed by N11.6 billion, representing a 4.8per cent oversubscription rate.

The Chairman, UBA, Mr. Tony Elumelu, had described the development as a strong vote of confidence from shareholders and a key milestone in the bank’s long-term growth strategy.

“Proceeds from the Rights Issue will be utilised to invest in additional digital technologies and business expansions that will strengthen the bank’s seven and half decades of impressive performance,” Elumelu said.

The move comes as part of the bank’s strategy to comply with the CBN’s directive issued in March 2024, which requires international commercial banks to raise their minimum capital base to N500 billion in share capital and premium by March 2026.

UBA said it expects to complete the final tranche of the capital raise in the third quarter of 2025.