United Bank for Africa (UBA) Plc has met the Central Bank of Nigeria’s (CBN) N500 billion minimum capital requirement following the successful completion of the second tranche of its rights issue. The milestone strengthens the bank’s balance sheet well ahead of the March 2026 recapitalisation deadline.
As at the 2025 half-year audited results, UBA’s share capital and share premium stood at approximately N350 billion. With the Securities and Exchange Commission (SEC) approving the allotment of N157 billion from the second tranche of the rights issue, the bank’s total share capital surpassed the regulatory threshold for commercial banks with international authorisation.
The development affirms UBA’s compliance with CBN capital requirements and reflects its careful capital planning under the apex bank’s recapitalisation programme. Speaking at UBA’s 65th Annual General Meeting in Abuja, chairman Tony Elumelu assured shareholders that the bank would meet the N500 billion benchmark well before the third quarter of 2025.
“Our current capital in 2024 was N116 billion. Following the oversubscribed rights issue launched in November last year, N251 billion has been verified and approved by the Central Bank of Nigeria,” Elumelu said.
The rights issue, which closed in December 2025, offered 6.84 billion ordinary shares of 50 kobo each to existing shareholders at N35 per share. Despite an oversubscription of N11.6 billion, the bank took up N240 billion, returning the balance to shareholders. With the SEC-approved N157 billion from the second tranche, UBA’s capital base has now effectively surpassed the CBN’s minimum requirement.
Elumelu explained that raising capital through a rights issue, rather than a public offer, was intended to protect shareholder value. “If we were selfish, we would do a public offering. But we chose to allow existing shareholders to invest and share in the N3.4 trillion wealth their investments have helped create,” he said.
The chairman also highlighted UBA’s strategy of reinvesting retained earnings as a key driver of its strong capital position. “Our paid-up share capital is N116 billion, and shareholders’ fund is N3.4 trillion. Why should we bring in new investors to take what you have already built?” he added.
Proceeds from the rights issue will be used to deepen UBA’s digital infrastructure and support expansion across Nigeria, Africa, and other global markets, positioning the bank for the next phase of growth under the new regulatory capital regime.
