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2025-12-20 12:20:00
According to Punch, FCMB Group is preparing a major capital-raising programme reportedly up to ₦400 billion as the sector responds to recapitalisation pressures and risk-buffer expectations.
The move reflects a wider banking reality: growth ambitions now require bigger cushions amid FX volatility, higher compliance costs and tougher risk management demands.
Investors will be watching the structure—rights issue, public offer, private placement or a mix—because dilution and pricing will shape sentiment.
In the broader market, large raises can act as a confidence test: strong subscription signals trust in earnings outlook, while weak uptake raises questions about macro risks and sector fundamentals.
An NGX filing referenced shareholder authority to “raise up to N400,000,000,000,” aligning with the reported target.
Leadership also reported FCMB’s recapitalisation-driven raise plan as part of a broader sector-wide capital push.
Echotitbits take: Timing and pricing will matter. If offers are priced aggressively, investors may demand clearer earnings visibility. Also watch for consolidation pressure among mid-tier banks—recapitalisation cycles often trigger mergers and strategic exits.
Source: THISDAYLIVE — December 20, 2025 http://thisdaylive.com/2025/12/19/fcmb-group-secures-shareholders-approval-to-raise-n400bn-fresh-capital/
