Nigeria's FBN Holdings plans $241m capital increase

Nigerian banking group FBN Holdings plans to seek shareholder approval this month to raise up to N300 billion ($241 million) through a public share offering or private share sale in Nigeria or abroad, it said in a notice on Monday.

The holding company, which owns First Bank, one of Nigeria's top tier lenders, said it will ask shareholders for permission to raise the funds at a meeting set for April 30.

Shares of Nigerian-based FBN Holdings, which hit a high of N43.95 in March, last traded at N30.50 on the Nigerian bourse.

A recapitalisation is looming in Africa's biggest economy and most populous nation after the central bank last month announced minimum capital requirement for lenders to try to get banks to play a bigger role in boosting economic growth.

Rival lender Access Holding Plc, which owns Access Bank, the country's biggest lender, last month said it will seek shareholders approval in April to launch a $1.5 billion capital raising programme.