FCMB Group Plc has clarified that its decision to increase its capital-raise ceiling to ₦400 billion is primarily driven by regulatory obligations, not opportunism. The bank says the move is a compliance response to the Central Bank of Nigeria’s (CBN) revised capital rules.
The bank’s previous capital-raise cap had been set at ₦340 billion, then revised to ₦370 billion after a recent surge in investor demand. Now, by pushing the ceiling to ₦400 billion, FCMB is aligning its recapitalisation efforts with the CBN’s tighter recapitalisation deadlines and enhanced capital adequacy requirements.
FCMB’s board is asking shareholders at an upcoming Extraordinary General Meeting (EGM) to approve this new limit. If approved, the bank will be able to tap a wide range of instruments, including ordinary and preference shares, convertible and non-convertible bonds, and domestic or foreign loans, giving flexibility on pricing, interest rates, and maturities.
Some investors, however, have voiced concerns that constant upward recalibrations could dilute existing shareholding and reflect a lack of clear planning on FCMB’s part.
In defence, FCMB argues that the strategy reflects strong investor interest and fits within a broader recapitalisation push. Over the last 18 months, the bank has already raised substantial capital: its 2024 public offer exceeded its target at ₦144.56 billion; and it converted a US$15 million mandatory convertible loan into equity (worth about ₦23.11 billion), bolstering its capital base.
Also, in September 2025, FCMB listed 3.16 billion new shares on the Nigerian Exchange (NGX), increasing its fully paid-up shares and contributing to a stronger capital foundation ahead of the CBN’s March 2026 compliance deadline.
By raising its capital limit to ₦400 billion, FCMB is not only complying with the CBN’s stricter recapitalisation mandate but also positioning itself to absorb economic shocks, support credit growth, and contribute to broader financial sector stability,essential for bolstering investor confidence in Nigeria’s banking system.
