Zenith Bank to Raise $500 Million to Boost Operations

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Zenith Bank Plc on Thursday notified the Nigerian Stock Exchange (NSE) of its intention to raise up to $500 million under its global Medium Term Notes programme established in 2014.

The bank had established a $1 billion global medium term note programme in 2014 and had raised $500 million under the first tranche of notes issued. In a notification to the NSE, signed by the Company Secretary, Mr. Michael Out, Zenith Bank said it intends to revalidate the raised $500 million under the second tranche of the programme.

According to the bank, the proceeds of the second tranche of the notes would be utilised for its general banking purposes.

“As was done in the first tranche notes, the bank intends to issue the second tranche notes directly but will retain the flexibility to issue through an offshore special purpose vehicle where market conditions require and allow same,” the bank said.

It added that like the first notes that were listed on the Irish Stock Exchange (ISE), the second tranche would also be listed on the ISE.

Zenith Bank Plc had ended 2016 with a profit before tax (PBT) of N156.748 billion, which showed a significant jump above the N125.616 billion in 2015. Similarly, profit after tax rose from N105.531 billion to N129.65 billion.

Chairman of Zenith Bank Plc, Mr. Jim Ovia, told shareholders at the bank’s annual general meeting (AGM) that the bank was able to fully exploit the available opportunities to post the impressive results.