By Mike Abba
Chief managing director/chief executive officer of Union Bank, Mr. Emeka Emuwa, has said that the bank would deploy fresh capital across identified business areas in 2018.
He said the move was expected to increase capacity to serve customers better while accelerating the speed of doing business in the New Year, adding that it would led to high delivery of returns to investors in short to medium term.
The bank, in a statement issued Tuesday, disclosed that it had successfully raised N49.7 billion through the rights issues that closed October 30, 2017 and that the exercise witnessed an over-subscription of 120 per cent.
“The support of our shareholders has been critical to the rebuilding and transformation of Union Bank over the past five years.
“With 120 per cent oversubscription of the bank’s Rights Issue, they have once again demonstrated a high level of confidence and support for the bank’s short to medium term strategic priorities.
Having successfully raised the required capital, we will accelerate the pace of doing business in 2018 as we begin to deploy this fresh capital across identified business areas which will increase our capacity to serve customers better while also delivering returns to our investors in the short to medium term”, Emuwa said.
He added that the capital raise was meant to ensure that the bank maintained a strong buffer above regulatory capital adequacy requirements as it drives towards its vision to be Nigeria’s most trusted and reliable banking partner.
It would be recalled that Union Bank launched the N49.7 billion Rights Issue on September 20, 2017 with shares available to shareholders at the ratio of five new ordinary shares for every seven previously held as at August 21, 2017.