Shareholders offered 1 new share for every 13 held at ₦50.00 per share
United Bank for Africa Plc (UBA) has announced plans to raise over ₦157 billion through a rights issue aimed at strengthening its capital base and supporting future growth. The development was disclosed in a formal notice by the Nigerian Exchange Limited (NGX) on Wednesday.
According to the filing, UBA, through its stockbrokers United Capital Securities Limited, has submitted an application for the approval and listing of 3,156,869,665 new ordinary shares of 50 kobo each, priced at ₦50.00 per share.
The offer will be made on the basis of one new ordinary share for every thirteen ordinary shares held as of the close of business on Wednesday, July 16, 2025, which has been confirmed as the qualification date for the rights issue.
NGX Confirms Application Details
In a statement signed by Godstime Iwenekhai, Head of Issuer Regulation at the NGX, trading license holders were officially notified of the rights issue application.
“United Bank for Africa Plc (the Company) has, through its stockbrokers, United Capital Securities Limited, submitted an application to Nigerian Exchange Limited for the approval and listing of a Rights Issue... The Qualification Date for the Rights Issue is 16 July 2025,” the notice read.
A Strong Year Fuels Expansion Plans
UBA has continued to build momentum following a highly profitable 2024 financial year. The pan-African financial institution reported a profit before tax of ₦803.73 billion, driven by strong core earnings and enhanced operational efficiency. The upcoming rights issue is expected to bolster the bank’s balance sheet as it positions for continued regional expansion, digital innovation, and capital adequacy amid evolving regulatory and economic landscapes.
What This Means for Shareholders
Eligible shareholders who hold UBA shares as of July 16, 2025, will be entitled to subscribe to one new share for every thirteen shares held, at a significantly discounted price compared to the stock’s recent market trading range.
The proceeds from the rights issue are likely to be directed toward capital enhancement, lending capacity, and possibly digital infrastructure upgrades as UBA deepens its footprint across Africa’s banking ecosystem.
More details, including the offer timetable and how shareholders can subscribe, are expected in the coming weeks once regulatory approvals are finalized.