Sterling Bank Plc has increased its equity funds by some N19 billion as the bank has rounded off the process for a multi-billion Naira special placement.
Regulatory filing indicated that Sterling Bank successfully issued about 7.2 billion ordinary shares of 50 kobo each to a new strategic investor. The Nigerian Stock Exchange (NSE) has admitted the new shares to the outstanding shares in the name of Sterling Bank, rounding off the issuance process.
With the new listing, total issued shares of Sterling Bank opened yesterday at 28.79 billion ordinary shares of 50 kobo each with market value of N67.08 billion.
Shareholders of the bank had in November 2014 approved a resolution empowering the board of the bank to undertake the special placement as part of a N50 billion new round of capital raising. Shareholders approved a resolution authorizing the board of directors of the bank to issue about 7.472 billion ordinary shares of 50 kobo each at N2.65 per share to Messrs. Silverlake Investments Limited or such other identified strategic investor.
In another resolution, the board of the bank was empowered to raise additional capital up to $200 million or its equivalent in Naira. The fund could be raised through any or a combination equity, global depository receipts, quasi equity, convertible loans, medium term notes, bonds and any other debt instrument.