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Just IN : All Banks in frantic moves to put recapitalisation plans on course ahead of the CBN April 30 deadline

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Banks are holding a string of meetings to finalise their recapitalisation plans ahead of the April 30 deadline for the submission of their implementation strategies to the Central Bank of Nigeria (CBN).
The implementation/ work plan will detail how each of the banks intends to achieve its new minimum capital requirement within the two-year timeline stipulated by the apex bank.

The details which will cover the two-year compliance period ending March 31, 2026, comprise step-by-step activities, transactional details, instruments and other options.

The CBN last month released a circular on review of minimum capital requirement for commercial, merchant and non-interest banks. It increased the new minimum capital for commercial banks with international affiliations, otherwise known as mega banks, to N500 billion; commercial banks with national authorisation, N200 billion and commercial banks with regional license, N50 billion.

Others included merchant banks, N50 billion; non-interest banks with national license, N20 billion and non-interest banks with regional license will now have N10 billion minimum capital. The 24-month timeline for compliance started yesterday and ends on March 31, 2026.

Banks’ insiders told The Nation yesterday that directors of the banks and professional parties were making final adjustments of market-based values and timelines.

They said about one-third of banks plan to increase their capital base mainly raising their capitals adequacy, while others outline prospects for combination of capital raise and mergers /acquisitions.

Two banks are said to be considering downgrade of their licences as final options in addition to prospects of mergers and acquisitions.

While all the tier 1 banks appeared confident of raising the required funds on a stand alone basis, they also indicated their preparedness to explore acquisition of small banks.

Living On The Margins
According to timelines of activities, about seven banks are expected to float their share offerings in the second half of this year. The capital market is expected to be busier in 2025.

An investment banking advisor said many big banks were seeking to raise more-than-needed funds in order to be in a position to cherry-pick when the recapitalisation fever pitches in mid-2025.

Under the new recapitalisation framework, banks have three broad options of injection of new equity capital, mergers and acquisitions and upgrade or downgrade of licence authorisation.

A source confirmed that Jaiz Bank has successfully scaled the recapitalisation hurdle with nearly N9 billion in excess of its national non-interest banking new capital requirement of N20 billion.

Jaiz Bank had closed 2023 with share capital and share premium of N18.62 billion. Multiple parties in the know said the bank has raised additional N10.05 billion through a recent private placement of 10.048 billion ordinary shares of 50 kobo each at N1 per share.

Investors scramble for banks’ shares on dividend expectations
It has also secured preliminary approvals to float a rights issue of about 5.41 billion ordinary shares of 50 kobo each at offer price of N1 per share. This may take the bank’s minimum capital base, under the new definition, to more than N34 billion.

A source close to the bank said it could consider acquisition and “other strategic investments” where the offers align with its growth objectives.

Shareholders of Access Holdings at the weekend mandated the company to raise $1.5 billion and N365 billion in a multi-tranche, multi-currency and multi-instrument capital raising plan.

The N365 billion rights issue is expected to be the main plank of the recapitalisation plan, while the $1.5 billion foreign-denominated issuance, which broad mandate also includes equity offering, places the group, with a bold acquisition records, in position to play big in the mergers and acquisitions market.

Access Holdings already has share capital and share premium of N251.81 billion, with about N248 billion to meet its international authorisation category of N500 billion.

Shareholders of four of Nigeria’s largest banks- Zenith Bank, Guaranty Trust Holding Company (GTCO), United Bank for Africa (UBA) and Stanbic IBTC Holdings Plc– are scheduled to meet next month to approve recapitalisation plans involving about N3 trillion.

Zenith Bank, which is rounding off conversion to holding company structure ahead of the recapitalisation, is seeking a broad mandate to double its issued share capital. The bank is creating new 3.4 billion ordinary shares of 50 kobo each for a multi-layered capital raising exercise that could see the bank with nearly N1 trillion.

GTCO is seeking shareholders’ approval for a $750 million multi-tranches, multi-instrument capital raising. The group is creating new 15 billion ordinary shares of 50 kobo each for its new share issuance programme.

UBA, which has called a meeting later next month, is seeking approval to create additional 10.8 billion ordinary shares of 50 kobo each for issuance to both domestic and foreign investors.

Fidelity Bank, which has a subsisting recapitalisation exercise, is expected to roll out additional recapitalisation measures.

FBN Holdings, which had secured earlier approval to raise some N150 billion, at the weekend cancelled an extraordinary general meeting called to consider a N300 billion capital raising plan. Market analysts expected FBN Holdings to review its recapitalisation plan upward.

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FIDELITY BANK PLC REDEEMS US$400 MILLION EUROBOND AT MATURITY

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LAGOS, NIGERIA – Fidelity Bank Plc has successfully redeemed its 5-Year US$400 million Senior Unsecured Notes at maturity, reaffirming its commitment to meeting its obligations to investors and reinforcing its track record in the international debt capital markets.

Issued on 28 October 2021, the 5-year Eurobond matured on 28 October 2026 and carried an annual coupon of 7.625 per cent, payable semi-annually. Fidelity Bank met all scheduled coupon payments throughout the life of the instrument and has now fulfilled its final repayment obligation in full, covering both principal and accrued interest.

The redemption was funded from internally generated liquidity as part of the Bank’s forward-looking liquidity management strategy. Through a dedicated sinking fund, Fidelity Bank progressively provided for the maturing obligation, enabling the Bank to meet its commitment while maintaining business-as-usual operations and compliance with applicable regulatory liquidity requirements.

Commenting on the development, the Managing Director and Chief Executive Officer of Fidelity Bank Plc, Dr/Mrs Nneka Onyeali-Ikpe, said the successful redemption reflected the Bank’s disciplined approach to financial management and its commitment to delivering on its obligations.

“This successful redemption demonstrates the strength of our franchise, the discipline of our balance sheet management and our commitment to honouring our obligations to investors and other stakeholders. We anticipated this maturity from the outset and planned accordingly, which reflects our commitment to responsible financial management,” Onyeali-Ikpe said.

The redemption further strengthens Fidelity Bank’s record in the international debt capital markets. The 2021 issuance marked the Bank’s third Eurobond transaction, following earlier issuances in 2013 and 2017, wherein the Bank raised $300 million and $400 million respectively. The 2021 offer attracted investor orders exceeding US$700 million, reflecting strong demand for the Bank’s international debt offering.

The successful Eurobond redemption follows the completion of Fidelity Bank’s recapitalisation programme ahead of the regulatory deadline. The Bank’s capital-raising efforts increased its eligible regulatory capital to approximately ₦533 billion, exceeding the ₦500 billion minimum capital requirement for banks with international authorisation.

The completion of these milestones underscores Fidelity Bank’s strong capital position, prudent liquidity management and disciplined approach to financial execution. It also reinforces the Bank’s capacity to meet its financial obligations while pursuing its strategic growth objectives across domestic and international markets.

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GTCO Brings Google Pay to Both Sides of the Checkout As Google Pay launches in Nigeria

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…….GTBank customers can now pay with it and businesses on HabariPay’s Squad gateway can now accept it.

Guaranty Trust Holding Company Plc (“GTCO” or “the Group“) today announced that two of its subsidiaries are live with Google Pay on the day it launches in Nigeria. Customers of Guaranty Trust Bank Limited (“GTBank”) can add their GTBank debit cards to Google Wallet and pay with Google Pay online, in Nigeria and internationally. Businesses that use Squad, the payment gateway run by the Group’s payments subsidiary HabariPay, can now offer Google Pay to their customers at checkout.

The Group is therefore present at both ends of the same transaction: with the person paying and with the business being paid.

For GTBank customers, the change is simple. They add their GTBank debit card to Google Wallet once. After that, they choose Google Pay at checkout, pick the card and confirm, without typing a card number, expiry date or CVV again. Google Pay replaces the card number with a secure digital token, so the merchant does not receive the actual card details. The card can be used wherever Google Pay is accepted online, including for subscriptions, travel bookings, food delivery, bills and digital services.

For businesses on Squad, “Pay with Google Pay” now sits at the top of the Squad checkout, alongside card, bank transfer, USSD, bank payments and Squad’s buy-now-pay-later options. A customer with a card in Google Wallet selects Google Pay, chooses the card, confirms, and is returned to the merchant’s site once the payment is verified. Google Pay is switched on by default for every business on Squad, and a merchant can choose to turn it off. Merchants set up for international payments can accept Google Pay from customers anywhere in the world, which opens Nigerian businesses to buyers abroad, including the diaspora. Fewer fields mean fewer points at which a customer can abandon a purchase, which matters most to the small and growing businesses that make up much of Squad’s merchant base.

Commenting on the launch, the Group Chief Executive Officer of GTCO, Mr Segun Agbaje, said: “Most failed online payments are not refused, they are abandoned. Somewhere along the way the customer gives up, and the business never learns about the sale it lost. As a customer centric Financial Services Group, we are committed to ensuring that we continue to deliver payment solutions that make transacting safe and simple for our various customer Groups. With Google Pay, what matters to us is that we are ready on both sides from the first day: a GTBank customer can pay with it, and a business on Squad can accept it.”

He added: “This is what a group structure is for. Our Bank and our Payments Business were built to do different jobs, and today they meet at the same checkout. We will keep putting the full weight of the Group behind those small moments where people decide whether paying digitally is worth the effort. When it is, everyone in the transaction wins: the customer, the merchant and the wider economy that depends on both.”

The Managing Director of HabariPay, Mr Eduofon Japhet, said: “For a merchant, every extra field at checkout is a reason for a customer to leave. Squad businesses now get Google Pay inside the checkout they already use, so their customers can pay in a few taps with a card they have already saved. A merchant set up for international payments can now be paid with Google Pay by a customer anywhere in the world, with nothing new to integrate.”

Availability. GTBank customers can add an eligible GTBank debit card through the Google Wallet app on Android or through their Google Account. From today, Google Pay is on by default for all businesses on the Squad payment gateway, and merchants can choose to turn it off. Squad merchants set up for international payments can accept Google Pay from anywhere in the world. More information is available at www.gtbank.com and www.squadco.com.

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ZENITH BANK SET TO HOST SIXTH EDITION OF ANNUAL TECH FAIR

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Zenith Bank Plc is set to host the sixth edition of its flagship technology event,
Zenith Bank Tech Fair 2026: Future Forward 6.0, on Thursday, November 5, 2026, under the theme, “AI: Embrace or Extinct.”

Renowned for its scale and showcase of technological innovation, the annual Tech Fair has evolved into a platform for connecting ideas, talent and opportunities. Over the years, the event has brought together technology leaders, entrepreneurs, and young innovators to explore emerging technologies, showcase solutions and examine the future of the digital economy.

Conceived by the Bank’s Founder, Jim Ovia, CFR, the initiative reflects his vision of empowering young Nigerians through technology and nurturing inventors capable of developing solutions with global relevance. It also reinforces Zenith Bank’s commitment to digital advancement and the growth of Nigeria’s technology ecosystem.

The impact of the Tech Fair is evident in the solutions emerging from its competitions. Previous winners include JumpnPass, which developed a self-checkout solution for retail, and CreditChek, which uses artificial intelligence and open banking to streamline credit verification. At the 2025 edition, TrustLoopwon the hackathon for its digital identity verification solution, while Cubbes Technologies won the startup pitch competition with its AI-powered EdTech learning platform. Through millions in prize funding and mentorship, the Tech Fair continues to support promising innovators in developing practical solutions to real-world challenges.

For the first time, the Tech Fair will be held virtually, opening participation to a wider borderless audience across Nigeria and beyond. This year’s theme explores the growing influence of AI and challenges individuals and organisations to consider howbest to harness its potential in an increasingly technology-driven world. The event will offer participants an opportunity to discover emerging innovations, gain fresh insights and engage with ideas shaping the future of work and business.

The Tech Fair will be accessible via Zoom, Instagram, X, TikTok, Facebook and YouTube.

Be part of the future of technology. Register now at www.zenithbank.com/techfair and experience the possibilities of AI at Zenith Bank Tech Fair 2026.

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