Guaranty Trust Holding Company Plc (GTCO) has received regulatory approval to raise ₦10 billion through a private placement of its ordinary shares, the company has announced. The approvals were granted by both the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC), allowing GTCO to proceed with the planned capital raise once all regulatory conditions have been met.
In an official statement, the financial services group said it will offer 125 million ordinary shares at a price of ₦80 per share, with each share having a nominal value of 50 kobo. The private placement is scheduled to close on 31 December 2025, subject to the fulfilment of regulatory requirements and other conditions precedent.
The decision to raise capital through a private placement forms part of a broader strategy that was authorised by shareholders at the company’s Annual General Meeting in May 2024. At that meeting, shareholders agreed to empower the board to establish a capital-raising programme of up to US$750 million, or its equivalent, through various instruments including ordinary shares, preference shares, convertible and non-convertible bonds, rights issues or book-building processes. The board has chosen the private placement route for this particular fundraising exercise.
GTCO has made arrangements with professional parties who will use their reasonable endeavours to identify investors to purchase the newly issued shares. The placement is not underwritten, meaning there is no guarantee that all the shares will be sold if demand is weak, although the company is optimistic about investor interest.
The private placement is being carried out in line with Section 7.1 of the Guidelines for Licensing and Regulation of Financial Holding Companies in Nigeria. These guidelines relate to how the capital of financial holding companies is computed and ensure that such companies maintain sufficient financial strength to support their operations and regulatory obligations.
GTCO’s latest capital raising initiative follows a significant strengthening of the capital base of its banking subsidiary, Guaranty Trust Bank Limited. In August 2025, the bank revealed that it had exceeded the new minimum capital requirement set by the CBN for commercial banks with international authorisation. That recapitalisation saw the bank’s capital rise to over ₦504 billion, comfortably above the regulatory threshold.
The move to raise additional funds at the holding company level underscores GTCO’s broader strategic objectives, which may include supporting ongoing growth plans, enhancing its financial position and ensuring readiness for future regulatory demands. The private placement offers existing and new investors an opportunity to participate in GTCO’s capital structure ahead of its scheduled close on the last day of the year.
GTCO’s board and management have been actively pursuing ways to strengthen the group’s balance sheet and capital resources. The company’s capital raising activities, including both the recent private placement approval and earlier international equity offerings, reflect a focus on long-term stability and expansion in competitive financial markets.
The company has stated that it will provide further updates as the placement process progresses and as required by regulatory disclosure standards.
