Guaranty Trust Holding Company Plc (GTCO) has unveiled plans to raise N400.5 billion through a public offer on the Nigerian Exchange Ltd. (NGX), subject to Securities and Exchange Commission (SEC) approval. This initiative is aimed at meeting the Central Bank of Nigeria’s (CBN) recapitalization directive for banks.

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Mr. Segun Agbaje, Group Managing Director of GTCO, announced this during the “Facts Behind the Offer Presentation” held in Lagos on Monday. The capital raise will involve the issuance of nine billion ordinary shares at an offer price of N44.50 per share, a strategy that predates the CBN’s recent announcement.

Agbaje emphasized the necessity of bolstering GTCO’s capital base amidst challenges like Naira devaluation, which has affected asset strength and operational capabilities across the banking sector. He expressed confidence in GTCO’s potential to achieve significant milestones, including becoming the first Nigerian financial institution to reach one billion dollars in profit.

“We aim to enhance market capitalization to elevate Nigeria’s economic profile,” Agbaje stated, underscoring the critical role of increased equity in supporting expanded business operations amid the Federal Government’s target of achieving a one trillion dollar economy by 2026.

Looking forward, Agbaje outlined GTCO’s growth strategy, focusing on expanding its footprint within Nigeria and venturing into key sectors such as pensions. Additionally, plans include investments in Senegal and expansions in Cote d’Ivoire, Ghana, and Kenya, alongside core-banking software upgrades across the region.

Alhaji Umaru Kwairanga, Group Chairman of NGX Group Plc, commended GTCO for its resilience and leadership in the financial sector, reaffirming NGX’s commitment to supporting GTCO and other financial institutions in their recapitalization efforts.

Ahonsi Unuigbe, Chairman of NGX Exchange Ltd., praised GTCO’s recent financial performance, highlighting robust profitability metrics and urging the company to uphold high standards of corporate governance and regulatory compliance.

The move by GTCO reflects its proactive approach to capitalizing on growth opportunities and maintaining investor confidence in Nigeria’s evolving financial landscape.