The Securities and Exchange Commission (SEC) has suspended the proposed the rights issue by Stanbic IBTC.
SEC in a public notice on its website yesterday informed the investing public (particularly the shareholders of Stanbic IBTC Holding Company Plc) that the proposed rights issue “earlier approved by the Commission is hereby put on hold in view of letters received from the National Office for Technology Acquisition and Promotion (NOTAP), the Central Bank of Nigeria (CBN) as well as the Financial Reporting Council (FRC).”
“The Securities and Exchange Commission (SEC) has also been notified of an ongoing investigation by the FRC on the financial statements of Stanbic IBTC Holding Plc.Inview of these, the rights issue exercise has been suspended until proper resolution of issues raised,” it added
THISDAY had reported last week that there were indications that the planned N18 billion rights issue may not be approved until allegations of financial under dealings brought against the financial institution by its shareholders are resolved. There had been further suggestions that the bank’s 2014 financial statement may be criticised and rejected by the Financial Reporting Council (FRC), should the allegations be further established by regulatory authorities.
To this end Stanbic IBTC Holdings in a statement said: “Stanbic IBTC notes the suspension by the Nigerian Securities and Exchange Commission of its proposed rights issue, pending the resolution of enquiries from certain relevant regulatory bodies. The management of Stanbic IBTC will continue to engage with the relevant regulatory bodies to ensure that these enquiries are addressed in a timeous manner. Stanbic IBTC Bank PLC, the banking subsidiary of Stanbic IBTC Holdings PLC, remains wellcapitalised and has sufficient liquidity.”
