• GTCO wins CBN and SEC approval for 10 billion naira private placement

• Fundraise aims to meet holding company prudential capital requirements

• Group reports strong profits, says banking unit faces no capital shortfall

Nigerian banking group Guaranty Trust Holding Company (GTCO) has secured regulatory approvals to raise 10 billion naira ($7 million) through a private placement, it said on Tuesday.

The group said it had received approval from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC) for the offering, subject to standard regulatory conditions. Group Secretary Erhi Obebeduo confirmed the information.

GTCO said the capital raise is not driven by any capital shortfall at its main banking subsidiary, Guaranty Trust Bank Limited, which has already exceeded the CBN’s minimum capital requirements for commercial banks with an international licence. In August, the bank said its capital had risen above 504 billion naira.

The group said the fundraise is intended to meet prudential requirements specific to financial holding companies in Nigeria, which require holding companies to maintain sufficient capital at the group level, independent of their banking subsidiaries’ strength.

The transaction follows shareholder approval granted at the annual general meeting in May 2024, authorising the board to implement a funding programme of up to $750 million, or its equivalent, using various instruments.

Under this programme, GTCO plans to issue 125 million ordinary shares of 50 kobo each at 80 naira per share. The offer is set to conclude on Dec. 31, 2025.

The group reported strong financial results. Listed on the Nigerian Exchange Group and the London Stock Exchange, GTCO posted a pretax profit of nearly 901 billion naira for the period ending September 2025, supported by growth in interest and commission income. Management said its capital adequacy level remained strong.

Fiacre E. Kakpo