•Lists shares on stock market
Guaranty Trust Bank Plc yesterday formally transited from its standalone commercial banking structure to a holding company (holdco) structure with the delisting of GTB and listing of the emergent holding company, Guaranty Trust Holding Company (GT HoldCo) Plc.
The entire issued share capital of GTB amounting to 29.43 billion ordinary shares of 50 kobo each were delisted from the Daily Official List of the Nigerian Exchange (NGX) Limited while GT Holdco’s entire issued share capital of 29.43 billion ordinary shares of 50 kobo each were subsequently listed on the Daily Official List of NGX at N28.55 per share.
According to the NGX, the delisting of GTB and listing of GT HoldCo on NGX were pursuant to the scheme of arrangement between Guaranty Trust Bank Plc and the holders of its fully paid ordinary shares of 50 Kobo each as approved by the Securities and Exchange Commission and sanctioned by the court.
Shareholders of GTB had approved the restructuring of the bank to a holdco. The approval paved the way for GTB to conclude transition from a standalone commercial bank to a group structure that allows it to invest in other areas of financial services or other businesses.
At a court-ordered meeting in Lagos, shareholders approved the transfer of entire issued and paid up capital of GTB totaling 29.431 billion ordinary shares of 50 kobo each to a new company to be known as Guaranty Trust Holding Company Plc.
The new company, Guaranty Trust Holding Company (GTHoldings) Plc, will simultaneously allot the same 29.431 billion ordinary shares of 50 kobo each to the former shareholders of GTB in accordance with their shareholdings in the bank.
Managing Director, Guaranty Trust Bank Plc, Mr. Segun Agbaje said the adoption of holdco was necessitated because of existing Central Bank of Nigeria’s regulations, which require the separation of commercial banking business from other financial services businesses.
He explained that under the new structure, existing shareholders of GTB would be migrated to Guaranty Trust Holdings through a share-for-share exchange between the shareholders of GTB and GTHoldings.
According to him, the overall strategy was to create an operating model that would profitably grow the bank’s presence in the market for commercial banking and non-banking financial services in order to achieve the aspiration to be the dominant financial services group.
“I am delighted over the approval by shareholders for the holding company and I assure the investors of a more rewarding future. The bank will not embark on any share reconstruction as the same number of shares they have with the bank will be maintained,” Agbaje said.