The Nigerian Exchange (NGX) has officially listed 3.16 billion additional shares of FCMB Group Plc at 50 kobo each, boosting investor confidence and strengthening the bank’s capital base.
According to a bulletin issued by NGX Regulation on Tuesday, September 23, 2025, the listing increases FCMB’s issued and fully paid-up shares from 39.6 billion to 42.77 billion units.
With the new addition, FCMB’s market capitalization rose to N446.96 billion at a share price of N10.45 reflecting an increase of N33.09 billion from its previous N413.88 billion before the loan-to-equity conversion.
The additional shares were issued following the conversion of a N23.11 billion mandatory convertible loan, including accrued interest, into equity at N7.30 per share. This move, analysts say, eases FCMB’s debt obligations, enhances liquidity, and aligns the bank with the Central Bank of Nigeria’s (CBN) capital adequacy requirements for deposit money banks.
Back in June 2025, FCMB had announced plans to exit the CBN’s regulatory forbearance list as part of its recapitalization drive set to conclude by March 2026. A key step in that process was the conversion of its mandatory loan into equity, a measure now seen as pivotal in strengthening the bank’s capital position and ensuring compliance with the CBN’s single obligor lending limits.
Alongside this conversion, FCMB has been steadily reducing its exposure to CBN’s forbearance window. By May 2025, the bank’s loans under the forbearance window had dropped to N207.6 billion over 60% lower than the N538.8 billion recorded in September 2024.
Though these reclassified loans temporarily pressured its non-performing loan ratio, FCMB expects the figure to ease below 10% by year-end as lending expands. Taken together, these measures reflect strong progress toward recapitalization, reassuring investors that the bank is on track for long-term stability and growth.
The listing has already spurred renewed investor interest in the stock. FCMB shares, which closed at N10.45 on September 23, climbed to N10.90 by September 26—gaining 1.87% in one week.
The stock began the year at N9.40 and surged 17.55% in January, peaking at N11.05. While a downturn between February and April dragged it down to N9.25, the stock has shown resilience since May, with a moderately bullish trend. Except for a dip in July, FCMB shares have gained steadily in subsequent months.
Overall, the stock is up 14% year-to-date, reflecting renewed confidence in FCMB’s balance sheet and its ability to navigate regulatory and market challenges.
9am News report shows that with the ongoing recapitalization efforts, FCMB’s trajectory positions it as one of the key Nigerian banks preparing to consolidate its market presence while complying with stricter CBN capital adequacy requirements.
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