Guaranty Trust Holding Co. (GTCO), Nigeria’s largest bank by market value, has successfully raised ₦209 billion ($136 million) through local share sales, completing the first phase of its equity recapitalization plan.
The company announced this in a statement on Tuesday, January 7, 2025, noting that the milestone concludes the first phase of GTCO’s phased equity capital raise programme, which is structured on a balanced allocation strategy based on an equal split between institutional and retail investors.
This successful raise comes as Nigerian banks work to comply with stricter capital requirements imposed by the Central Bank of Nigeria (CBN) in March 2024. The CBN’s new regulations raised the capital threshold for banks by tenfold, pushing institutions like GTCO to strengthen their capital base.
Group Chief Executive Officer of GTCO, Segun Agbaje, described the achievement as a significant step in the company’s growth journey.
“The strong participation and successful capital verification exercise reaffirm the confidence investors have in our fundamentals and execution capabilities,” Agbaje stated.
GTCO also added that the second phase of its capital raising initiative would begin this year, with a focus on attracting foreign investors through a share placement. The company aims to secure ₦392 billion to recapitalise its flagship subsidiary, Guaranty Trust Bank Ltd., and support wider expansion plans across both its banking and non-banking sectors.
Access Bank Plc, Nigeria’s largest lender by assets, raised ₦351 billion last month through a rights issue to strengthen its capital and surpass the regulatory requirements. Afrinvest West Africa noted that Guaranty Trust Holding Co. (GTCO) will need an additional ₦362 billion to meet the new capital benchmarks set for banks with international operations.
