Union Bank lists additional shares following successful Rights’ issue

* Outstanding shares now 29.12bn

With the overwhelming performance recorded by Union Bank Plc in its just concluded rights issue, the deposit money bank has forged ahead with listing of the new shares on the official list of the exchange.

Subsequently, an additional volume of 12,133,646,995 ordinary shares of Union Bank of Nigeria Plc (“Union Bank”) were listed on The Daily Official List of The Exchange on 12th of January, 2018.

These additional shares were as a result of the just concluded Union Bank of Nigeria Plc right issue of 5 new ordinary shares for every 7 ordinary shares held as at 21 August 2017. With this listing, the company’s total issued and fully paid up shares now stands at 29,120,752,788 ordinary shares.

Union Bank launched the N49.7 billion Rights Issue on September 20,2017 with shares available to shareholders at the ratio of five new ordinary shares for every seven previously held as at August 21, 2017.

Union Bank shareholders demonstrated confidence in the offer with 120 per cent Subscription, representing excess demand by 20 per cent and further disclosed that Central Bank of Nigeria (CBN) and Securities and Exchange Commission (SEC) duly endorsed the share allotment and capital clearance review in December 2017.

Daily Times Nigeria recalls that Union Bank of Nigeria on Monday, 6th January, 2018, announced that the bank successfully raised N49.7billion through a Rights Issue, which closed on October 30, 2017 with subscriptions recorded at 120 per cent.

Chief Executive Officer of Union Bank, Emeka Emuwa reacting to the feat recorded by the bank in the Rights issue, said, “The support of our shareholders has been critical to the rebuilding and transformation of Union Bank over the past 5 years. With 20% oversubscription of the Bank’s Rights Issue, they have once again demonstrated a high level of confidence and support for the bank’s short to medium term strategic priorities.

Emuwa added that “Having successfully raised the required capital, we will accelerate the pace of doing business in 2018 as we begin to deploy this fresh capital across identified business areas which will increase our capacity to serve customers better while also delivering returns to our investors in the short to medium term.”

The new capital will also ensure the bank maintains a strong buffer above regulatory capital adequacy requirements as it drives towards its vision to be Nigeria’s most trusted and reliable banking partner.

Bonny Amadi