Guaranty Trust Holding Company Plc (GTCO) recently announced a major shift in its capital-raising strategy as it works to meet the CBN’s capital requirements ahead of the March 2026 deadline. Out of the required ₦500 billion minimum capital, the company has so far raised ₦209.41 billion. This, combined with the initial share capital and share premium of ₦138.19 billion, brings the total capital to ₦347.6 billion, leaving a gap of ₦152.4 billion. To bridge this gap, GTCO is launching a $105 million (approximately ₦160 billion) public offering to be listed on the London Stock Exchange (LSE). This offering comprises approximately 2.29 billion new ordinary shares, priced at ₦70.00 ($0.0459) per share, and is expected to significantly strengthen GTCO’s capital base in alignment with evolving regulatory expectations and international listing standards.
The proceeds from the listing will also enable GTCO to fund loan book expansion, upgrade its technology infrastructure, support branch network growth, and pursue targeted acquisitions in the pensions and asset management sectors. Notably, this marks the first offering of its kind by any Nigerian bank.
The $105 million public offering Vs Global Depositary Receipts
The bank plans to delist its Global Depositary Receipts (GDRs) from the London Stock Exchange (LSE) and replace it with ordinary shares to be issued on the exchange’s Main Market. The decision follows the GDR listing’s consistently low trading volumes and limited investor participation. The direct share listing on the LSE is expected to improve trading liquidity, simplify investor access, and enhance GTCO’s visibility in global capital markets. This dual-access structure ensures flexibility for both international and domestic investors while consolidating GTCO’s equity profile under a more liquid and transparent framework. The delisting of GDRs is scheduled to take effect by July 31, 2025, while admission and trading of the newly issued ordinary shares will commence on July 9, 2025.
Outlook for Existing GDR Holders
Existing GDR holders will be allowed to exchange their GDRs for Depositary Interests (DIs) to continue trading on the LSE or opt to receive ordinary shares for trading on the Nigerian Exchange (NGX).
Conclusion
By strengthening its capital position ahead of regulatory deadlines, GTCO is not only demonstrating regulatory foresight but also positioning itself for aggressive and innovation-driven expansion. Beyond meeting regulatory capital thresholds, the move signals GTCO’s ambition to enhance its global footprint, deepen liquidity, and attract a broader base of investors.
