In a bold stride toward solidifying its financial strength, Wema Bank Plc has officially kicked off a N150 billion capital raise through a Rights Issue, aligning with the Central Bank of Nigeria’s (CBN) latest directive on bank recapitalization.
The initiative, announced by the bank’s board, will see the issuance of 14,286,785,417 ordinary shares at N10.45 per share, available to existing shareholders on the basis of two new shares for every three currently held as of the qualification date, March 5, 2025. The offer opens on April 14, 2025.
Positioning for Long-Term Growth
This capital raise isn’t just about meeting regulatory requirements — it’s a strategic step toward transforming Wema Bank into a Systemically Important Bank (SIB) in Nigeria’s evolving financial landscape.
According to a statement issued to the Nigerian Exchange (NGX), the proceeds from the Rights Issue will be funneled into key areas of the bank’s operations. These include:
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Expanded lending capabilities to support SMEs, retail, commercial, and corporate sectors.
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Upgrading its IT infrastructure, critical for operational efficiency.
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Scaling ALAT, Wema Bank’s flagship digital banking platform, which has already gained massive traction among Nigeria’s tech-savvy youth.
“This Rights Issue marks a defining moment in our growth journey,” the bank’s board emphasized. “It reflects our long-term vision to deliver sustainable value and deepen our market relevance.”
Shareholders Encouraged to Take Advantage
Wema Bank is urging its shareholders to fully exercise their rights, describing the offer as not just a compliance move, but an opportunity to actively participate in shaping the bank’s future.
The recapitalization comes at a time when Nigerian banks are under pressure to meet the CBN’s new capital thresholds aimed at strengthening financial institutions and enhancing their capacity to support broader economic growth.
A Bank on the Rise
Backed by a strong track record of performance, Wema Bank’s move signals its ambition to climb higher within Nigeria’s financial hierarchy. The bank has recently reported consistent growth across key financial metrics, improved market share, and notable gains in digital banking reach — largely attributed to innovations like ALAT.
With this Rights Issue, Wema is not just raising capital; it’s laying the groundwork for its next phase of evolution — one centered on innovation, resilience, and inclusive growth.
