September 08, (THEWILL) — United Bank for Africa (UBA) has announced an extension of its ongoing rights issue application, originally scheduled to close on Friday, 5th September 2025, by 14 days.
Following approval from the Securities and Exchange Commission, the rights issue will now close on 19th September 2025, according to the bank.
The disclosure, published on the Nigerian Exchange and signed by Bili Odum, UBA’s Group Company Secretary, informs shareholders and the general public of the revised timeline.
Explaining the reason for the extension, UBA stated: “This is aimed at providing shareholders with additional time to fully exercise their rights and participate in the Rights Issue.”
This move is part of UBA’s effort to strengthen its capital base in line with the Central Bank of Nigeria’s recapitalization directive.
The rights issue involves 3,156,869,665 ordinary shares of 50 kobo each, priced at N50 per share, through which the bank intends to raise over N157 billion.
THEWILL recalls that in mid-July 2025, UBA Plc announced plans to raise over N157 billion through a rights issue, according to a notice from the Nigerian Exchange (NGX) to trading license holders at the time.
Through its stockbroker, United Capital Securities Limited, the bank submitted an application to list a rights issue of 3,156,869,665 ordinary shares of 50 kobo each, priced at N50 per share.
The offer is structured on the basis of one new share for every thirteen ordinary shares held as of the close of business on 16th July 2025.
With the latest rights issue now extended from 5th to 19th September, shareholders have additional time to participate, supporting strong uptake and helping UBA reach the CBN’s N500 billion capital threshold.
The rights issues application extension comes a few days after UBA officially launched the fifth edition of its SuperSavers’ Promo. The exercise aimed at reinforcing the bank’s commitment towards deepening financial inclusion across Nigeria and empowering citizens to achieve their financial goals through disciplined savings.
The nine-month campaign, themed “Season of Progress” and launched during a press conference held at the UBA House, Marina, Lagos, on Friday August 22, is to run from September 1, 2025, to May 31, 2026.
The promo is designed to reward both new and existing customers while encouraging a culture of savings that will enable families and individuals to plan for their children’s education, home ownership, business establishment, and other goals.
Speaking during the launch, UBA’s. Group Deputy Managing Director, Chukwuma Nweke, emphasised the importance of savings in nation-building, as he pointed out that the bank is a partner in development and is committed to ensuring that all citizens across the length and breadth of the country are financially covered.
Nigerian investor-group leaders had applauded the scheme as a move that would raise the bank’s earnings and guarantee handsome dividend payout. They also noted that the rights issue deadline extension would boost the profitability of the bank through high liquidity.
“Extending the deadline for the rights issue application is a wise business decision. UBA is soaring higher on continental and global spotlights; the bank will be swimming in liquidity by the time the exercise is concluded,” said Mike Ekundayo, a finance analyst.
Reacting to the SuperSavers’ Promo, an investment analyst, Mukhtar Mukhtar, said, “This is an excellent move from the masters of banking. It is a commendable push by UBA to motivate existing customers and draw new ones into its fold.
“More customers will receive enhanced yields from the SuperSavers’ Promo, which is a laudable giveaway to the society. This will surely bolster the bank’s balance sheet, increase profits and reward shareholders with handsome dividend payout,” said Mukhtar, also chairman, Trusted Shareholders Association of Nigeria.
National Coordinator, Pragmatic Shareholders Association, Mrs Bisi Bakare, applauded the SuperSavers’ Promo as “a welcome development for both the customers and shareholders of UBA. The customers will enjoy attractive interest rate on deposits while the shareholders will receive enhanced dividend payout made possible by higher interest income on facilities like loans and advances.”
Mrs Bakare, however, urged the bank to engage in an aggressive campaign to create increased awareness of the scheme — for the stakeholders and the public to key into expanding the bank’s financial inclusion strategy.
The bank’s stock has witnessed impressive performance on the Nigerian Exchange (NGX) since the unveiling of the SuperSavers’ Promo in August.
UBA closed its last trading day (Thursday, September 4, 2025) at N46.75 per share on the NGX, recording a 2.2% gain over its previous closing price of N45.75. The bank’s stock began the year with a share price of 34.00 NGN and has since gained 37.5% on that price valuation.
Although UBA has not released its half-year result, the Tier-1 bank delivered solid results in the first quarter of 2025, posting a pre-tax profit of N204.27 billion, up 30.65% from the same period in 2024.
Net profit also grew strongly by 33.15%, reaching N189.84 billion, compared to N142.58 billion in Q1 2024.
A key driver of this performance was interest income, which rose 36.09% year-on-year to N599.83 billion, including the following components:
Income from loans and advances grew 31% to N260.56 billion, accounting for 43.44% of total interest income while income from investment securities jumped 44.96% to N291.86 billion, making up 48.66% of the total. Income from cash balances rose 17% to N47.42 billion, contributing 7.9%.
Electronic banking income which hit N47.8 from N44.4 billion in Q1 2024, remained the highest in the industry.
Sam Diala is a Bloomberg Certified Financial Journalist with over a decade of experience in reporting Business and Economy. He is Business Editor at THEWILL Newspaper, and believes that work, not wishes, creates wealth.
