Fidelity Bank Plc has completed a successful recapitalisation exercise, positioning itself for significant growth and expansion in Nigeria’s banking sector.
The bank’s recapitalisation, launched in March 2024, has been described as one of the most successful and least disruptive in the history of Nigeria’s banking industry, reflecting strong investor confidence.
Fidelity Bank combined a public offer and rights issue in June 2024, both of which were heavily oversubscribed. The rights issue alone exceeded its target by more than one-third, demonstrating strong support from its over 400,000 shareholders.
The public offer recorded an oversubscription of approximately 138%, more than double the initial target, while a one-day private placement on December 31, 2025, attracted domestic and global institutional investors, including African Export-Import Bank.
The recapitalisation process was verified by the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC). Upon completion, Fidelity Bank exceeded the N500 billion minimum capital requirement for banks with international licences.
Under the new structure, qualifying capital includes share capital and share premium, rather than shareholders’ funds, strengthening the bank’s capacity to expand its operations and deliver on investor expectations.
Global rating agency Fitch has upgraded Fidelity Bank’s ratings, affirming its Long-Term Issuer Default Rating (IDR) at ‘B’ and raising its National Long-Term Rating to ‘A+(nga)’ from ‘A(nga)’, both with a stable outlook.
Fitch cited the bank’s expanding franchise, improved profitability, strong capital buffers, and robust foreign currency liquidity coverage as key factors behind the upgrade. Fidelity Bank is Nigeria’s sixth-largest bank, holding five percent of domestic banking system assets by the end of 2024.
The bank has also increased its share of low-cost deposits to 93% by the end of 2024, up from 75% in 2021, underpinning its funding stability and operational efficiency.
Analysts say the recapitalisation and strengthened financial position place Fidelity Bank in an advantageous position to expand its footprint, enhance profitability, and continue attracting investor confidence both locally and internationally.
