Thursday, August 17, 2017 7:03:11 AM- Nigerian Stock Exchange.

  UBA raises N11.5bn from rights issue


July 10 (Lagos) - United Bank for Africa Plc has announced the completion of its rights issue, following the approval of the Central Bank of Nigeria and the Securities and Exchange Commission.



The bank raised N11.5bn (US$57.8m) by issuing one ordinary share for every existing 10 units at a price of N3.50 each. The offer was fully subscribed by its shareholders.



With this additional equity, UBA said it had fortified its capital base ahead of the full implementation of Basel II, which requires higher capital buffer for banks, to accommodate credit, operational and market risks inherent in the business of financial intermediation.



The bank had in December last year raised N30.5bn in tier II capital through the issuance of seven year fixed rate unsecured notes, maturing in 2021.



The bank has also completed a dual listing of its corporate bond on the Financial Market Dealers Quotation Over the Counter market and the Nigerian Stock Exchange, making it the first Nigerian company to do so.



The first quarter results of the bank for the period ended March 2015 showed that its earnings rose by 22 per cent to N83bn from N68bn in the comparative period of 2014.

Reporting for on Friday,July 10, 2015 from Lagos,Nigeria.



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