FCMB Group announced a total dividend of ₦9.901 billion for shareholders from the financial service company in 2023 following a strong earnings performance.
The announcement was made at the annual general meeting, shareholders approved a ₦150 billion capital raise for the group ahead of the recapitalization deadline set for the first quarter of 2026.
At the group’s just concluded meeting with shareholders, its board of directors got approval to increase share capital from ₦9,901,355,390.50 divided into 19,802,710,781 to ₦19,802,710,781.00 divided into 39,605,421,562 ordinary shares of 50k (fifty Kobo) each.
The group’s banking division, FCMB Limited, needs extra capital infusions totaling N374.7 billion in order to meet the ₦500 billion new capital base that the central bank has mandated for lenders with international authorization.
Effectively, FCMB plans to create 19,802,710,781 ordinary shares of 50k each, ranking pari-passu with the existing ordinary shares. It added that additional ordinary shares shall not be considered for the dividend recommended by the company in respect of the profit for the year ended December 31 2023.
FCMB shareholders approved additional capital of up to ₦150,000,000,000.00 or its equivalent in such other currency as the directors may decide, through the issuance of securities.
With the plan to raise capital, the group has obtained permission to issue securities, including ordinary shares, preference shares, convertible or non-convertible notes, bonds, or any other instruments, in the Nigerian and/or international capital markets.
FCMB has resolved to maintain ₦200 million as directors’ remuneration for the financial year ending December 31, 2024, and for succeeding years until reviewed. The group also obtained approval for the establishment of an employee share option program.
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