GTCO raises N10bn in private placement

Guaranty Trust Holding Company Plc (“GTCO) has obtained the approvals of both the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) to undertake a private placement of its ordinary shares, subject to the fulfilment of the applicable conditions precedent and regulatory requirements.

The Financial Holding Company had earlier on August 29, 2025 announced that its banking subsidiary (Guaranty Trust Bank Limited) had satisfied and surpassed the new CBN minimum capital requirement for commercial banks with international authorisation, having already increased its capital to N504.037 billion.

The Company has entered into an arrangement, in connection with a best efforts private placement for gross proceeds of up to N10 billion from the sale of up to 125,000,000 of the ordinary shares of the Company at N80 per share”.

This private placement in the sum of N10billion is being raised pursuant to Section 7.1 of the Guidelines for Licensing and Regulation of Financial Holding Companies (FHCs) in Nigeria regarding the computation of the capital of FHCs.

According to a statement signed by the company’s Group General Counsel/Company Secretary, Erhi Obebeduo, the proposed private placement is being undertaken pursuant to the company’s shareholders’ resolution passed at its Annual General Meeting held on 9 May 2024 which authorised the Board to establish a capital raising programme of up to $750,000,000 or its equivalent through the issuance of ordinary shares, preference shares, convertible and/or non-convertible bonds or any other instruments, whether by way of a public offering, private placement, rights issue, book building process or any other method or combination of methods in such tranches, and at such dates and upon terms and conditions as may be determined by the Board.

Read also: GTCO reports N952bn net interest income, profit dips by 36%

The statement further read that, “As a result of this, the Board has authorised the Company to embark on a private placement to raise N10,000,000,000.00 (Ten Billion Naira only), by the allotment of 125,000,000 (one hundred and twenty-five million) ordinary shares of 50 Kobo each (the “Private Placement”).

The Offering is scheduled to close on December 31, 2025 (the Closing Date) and is subject to certain conditions, including, but not limited to, receipt of all necessary approvals.

Iheanyi Nwachukwu, is a creative content writer with almost two decades journalism experience writing on banking, finance, capital markets, and tax. The multiple awards winning journalist is Assistant Editor, BusinessDay. Iheanyi holds BSc Degree in Economics from Imo State University; Master of Science (MSc) Degree in Management from University of Lagos.

Iheanyi has attended several work-related trainings including (i) Advanced Writing and Reporting Skills (Pan African University, Lagos); (ii) News Agency Journalism (Indian Institute of Mass Communication {IIMC}, New Delhi, India); and (iii) Capital Markets Development and Regulations (International Law Institute {ILI} of Georgetown University, Washington DC, USA).

Other trainings Iheanyi attended include: Economic/Political Risk Analysis (By Thomson Reuters Foundation); International Financial Journalism (IFJ) (By PMA Media Training, UK); Effective Business Writing Skills (By Phillips Consulting); Reporting on Corporate Governance (By International Finance Corporation (IFC) & Thomson Reuters Foundation UK); etc. In addition, he has participated in high-level economy & markets events in Dubai, South Africa, Morocco, and other African countries like Zambia, Ghana and Gambia.

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