Fidelity Bank has scheduled an Extra-Ordinary General Meeting of its shareholders to discuss a private placement of unissued shares totalling 3,037,414,308.
The meeting will hold on Thursday, September 29 according to the bank’s company secretary, Ezinwa Unuigboje who said it is for the shareholders to authorise the issuance of the 3,037,414,308 unissued Ordinary Shares of 50 kobo each in the share capital of the Company (being not more than 30percent of the Company’s existing issued shares and paid-up capital) to potential investors.
Although the application of the proceeds is not disclosed yet, it may not be unconnected with the plan to acquire Union Bank, in the United Kingdom which the bank will need huge fund to prosecute.
Also at the meeting, the shareholders will be expected to authorise that the Private Placement be carried out in conformity with applicable laws and subject to procurement of all regulatory approvals.
Also, the Board will also seek approval from the members that in recognition of the need to ensure that the Company’s share capital is aligned with the requirements under applicable laws, waive their pre-emptive rights in respect of the 3,037,414,308 unissued Ordinary Shares of 50 kobo each, to be issued by the Company by way of Private Placement.
The Board will also be seeking the shareholders’ approval for the said shares issued in accordance with the first resolution above rank pari-passu with the Company’s existing issued shares.
This is also in addition to the Board of Directors seeking members authorisation to perform all such lawful acts as are necessary to give effect to the above listed resolutions including but not limited to ensuring compliance with all regulatory procedures and requirements, obtaining all required approvals and filing within time, all regulatory returns in relation to the above resolutions.
Shareholders of Fidelity Bank had at its 34th Annual General Meeting (AGM) in May authorised the board of directors, to undertake as it deems appropriate and in accordance with applicable laws, any actions, business combinations or transactions, including but not limited to investment, acquisition, restructuring, capital raising, expansion or business arrangement required to secure a competitive advantage for the Company.
Comments are closed.