Unity remains national bank, meets capital requirement of N25bn
Category: Capital Market
Wednesday, 06 October 2010
Recall that on June 28, 2010, the Central Bank of Nigeria (CBN) extended the deadline for the recapitalization of Unity Bank Plc by three months, ending September 30, 2010.
A major reason for the extension was the unanticipated three months extension in the timeline for setting up the Asset Management Corporation of Nigeria (AMCON), which is expected to purchase non-performing loans in banks and serve as a recapitalization vehicle for the banking industry.
At the expiration of the deadline, CBN is pleased to note that Unity Bank Plc has successfully raised N17.34 billion through a Rights Issue, thereby meeting the regulatory capital requirement and the minimum capital adequacy ratio of N25 billion and 10%, respectively.
The additional fresh capital shall, however, be subjected to capital verification which is scheduled to commence soon.
The CBN advices all stakeholders to be guided accordingly.