First City Monoment Bank said it had raised $100m fresh equity through its just concluded issuance of privately placed unlisted Global Depository Receipts.

The GDRs issue was fully subscribed to by notable international investors from continental Europe, the United Kingdom, the United Arab Emirates and South Africa.

According to a statement on Monday, the transaction represents a fraction of the over $400m of international orders received by the bank during its recently concluded public offer.

Indications are that the combined equity offerings - $100m GDRs and $500m public offer - have been heavily oversubscribed with many international investors, including those already invested in FCMB, participating substantially in the offer.

Domestic applications are likely to take total orders close to $1bn mark, the bank said.

The GDRs issue represents the first time in Nigeria’s financial markets that GDR investors can freely repatriate capital, under a new free-flowing GDRs settlement procedure, jointly designed by the Central Bank of Nigeria and FCMB.

FCMB also designed a separate allotment route for the approval of the GDRs by the Securities and Exchange Commission, which increased the confidence of the international investors to participate in the placement despite the current turmoil in the international capital markets.

The Managing Director, FCMB, Mr. Ladi Balogun, said, “The GDR placement is part of the bank’s continued commitment to diversifying its shareholder base and funding its rapidly growing business.

“The fact that we were able to record such a high level of international orders under very challenging international market conditions demonstrates the robustness of the FCMB story and performance, our financial markets and the economy. Many global investors now see the Nigerian capital market as a refuge in the midst of global turmoil.� - Punch