Union Bank Plc has received approval from the Securities and Exchange Commission (SEC) to float a N50 billion rights issue.
The rights issue is expected to be open for subscription in September 2017.
The qualification date for the rights issue, which had already been announced by the Nigerian Stock Exchange, is August 21, 2017.
The bank during the offer period will offer 12.1 billion ordinary shares of 50 kobo each at N4.10 per share, on the basis of five new shares for every seven shares held.
The bank’s Chief Executive Officer, Emeka Emuwa, said the approval of the Securities and Exchange Commission is critical to the bank’s short to medium term business objectives.
Lead issuing house to the bank is Chapel Hill Advisory Partners Limited while FSDH Merchant Bank Limited and Stanbic IBTC Capital Limited are joint issuing houses.
The bank established in 1917 and listed on the Nigerian Stock Exchange in 1971, has 300 branches nationwide.