United Bank for Africa (UBA) Plc said it has extended its sale of N157.843 billion shares to existing shareholders, known as a rights issue offer, by two weeks.
It announced this in a statement issued over the weekend and signed by its Secretary/Legal Counsel, Bili Odum.
The rights issue, which opened on Wednesday, July 30, was expected to be closed on Friday, September 5.
READ ALSO: United Capital Forecasts Nigeria’s Inflation to Fall to 20.8% in August
In its notification on September 5, however, UBA said it has extended the offer till September 19.
“The bank hereby notifies its shareholders, the NGX, stakeholders, and the general public that the acceptance/application period for its ongoing rights issue, initially scheduled to close on September 5, 2025, has been extended by two weeks and will now close on September 19, 2025, following the receipt of approval from the Securities and Exchange Commission (SEC).
“This extension is aimed at providing shareholders with additional time to fully exercise their rights and participate in the Rights Issue. The bank remains committed to ensuring that all shareholders are adequately carried along in the process and can maximise the benefits of the rights issue,” UBA stated.
Pinnacle Daily reports that this is the company’s second equity issuance under its N400 billion equity shelf programme.
By way of a rights issue, UBA is offering 3,156,869,665 new ordinary shares of 50 kobo each at N50.00 per share, based on one new share for every 13 ordinary shares held.
The bank has held its first equity issuance under the same programme, which closed on December 24, 2024, with a ₦239.4 billion rights issue achieved and a 104.8 per cent subscription level, scaled down to a 100 per cent allotment.
READ ALSO: Banks’ Recapitalisation in Good Progress Says Cardoso
The Central Bank of Nigeria had, in March 2024, mandated all banks to raise their capital, listing the requirements for merchant, non-interest, and commercial banks.
For an international bank like UBA, the bank is expected to raise its capital base to N500 billion.
A cursory review of how the bank’s shares have traded since the rights issue started showed that UBA share prices, which opened at ₦ 47.80 on July 30, closed at ₦ 46.75 on September 4, representing a loss of 2.2 per cent in value.
Alex is a business journalist cum data enthusiast with the Pinnacle Daily. He can be reached via ealex@thepinnacleng.com, @ehime_alex on X
