Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.


Wema Bank to raise 35 bln naira

15 March 2013, 16:01

Nigerian regional lender Wema Bank said on Thursday it will complete a 35 billion naira ($220 mln) private share placement to strategic investors by the end of April and apply to become national bank again.

Wema was one of the lenders forced to recapitalise its operations by the central bank in the wake of a financial crisis that nearly sank it and eight other lenders. It decided to meet tougher requirements by scaling down its business to become a regional bank in the 2009.

"We expect all arrangements ... to be concluded by the end of April 2013," spokeswoman Kemi Aina told Reuters, adding that the new capital will enable them seek a national license.

Regional banks can only operate in 6-12 of Nigeria's 36 states. They only need a 10 billion naira to meet the minimum capital base requirement, compared with 25 billion naira for national banks.

Wema Bank shares traded flat to close at 1.21 naira on Thursday, but they have risen 133 percent so far this year, giving it a market capitalisation of around 15.13 billion naira ($95 mln).

In November, Wema Bank said it was at an advanced stage in raising capital and that it had secured commitments for 15 billion naira from core investors, which it aimed to finalise by end of 2012.

Aina said the lender had secured commitments from core investors for the whole 35 billion naira and had won existing shareholders' approval for the deal.



Read News24’s Comments Policy

Comment on this story
Comments have been closed for this article.

Read more from our Users

Nigeria @ 56: Words to my green f...

A leader’s job is not to dictate, but rather to be respected, admired and be a trustee, of the land we love, with so much potential, a land which should be freer than free. Its still a long way to fufilling our destiny! Read more...

Submitted by
Isaac Asabor263
Recession: An opportunity for Nig...

The recession should be seen as an opportunity for the country’s promotion as long as we all collectively conduct ourselves in a patriotic manner, writes Isaac Asabor.  Read more...

Submitted by
Black and White

We want to imitate the whites in everything because we are ignorant of our inherent originality and content. We spend all our Naira to acquire his inventions because we so oblivious of our natural endowments that we allow him have it for free. Read more...

Submitted by
Nate Nat
Adamawa State University Mubi: A ...

ADSU integrity forum has accused the Sunday Joshua Wugira, a lawyer, of adopting unorthodox tactics by abusing his privilege by attacking the integrity of ADSU Vice Chancellor Dr. Moses Zira Zaruwa, writes a News24 reader. Read more...

Submitted by
Abdulsalam Jubril
My Country Nigeria (Part One)

Poetry by Abdulsalam Jubril.

Submitted by
Abdulsalam Jubril
Recession, dearth in leadership a...

Every leader has the opportunity to become great and making himself immortal in the lives and hearts of people for generations to come. Will Mr. President seize this opportunity?, questions Abdulsalam Jubril. Read more...