The shareholders of FBN Holdings have approved that the financial group can raise N350bn in additional capital and also change its legal name and brand name.

The approval was given at the virtual Annual General Meeting of the group recently and the resolutions made at the AGM were filed with the Nigerian Exchange Limited on Friday.

Shareholders also approved a dividend of 40 kobo per 50 kobo ordinary shares, totalling N14.36bn for the 2023 financial year to be distributed to registered shareholders.

Part of the notice read, “That the company be and is hereby authorised to undertake a capital raise of up to N350bn. The capital raise transaction shall be implemented by one or more transactions through the issuance of shares by way of a public offering, private placement, rights issue in the Nigerian or international capital markets at a price(s) to be determined by way of a book building process or any other valuation method or combination of methods, in such tranches, series or proportions and at such periods or dates, coupon or interest rates, within such maturity periods and upon such other terms and conditions as may be determined by the Board of Directors, subject to obtaining the approvals of the relevant regulatory authorities.”

FBN Holdings is in the middle of a rights issue to raise N150bn to shore up its capital base, a move that the company said preceded the announcement of the Central Bank of Nigeria that banks operating in the country should increase their capital base.

On the name change, the shareholders approved, “That there should be a change of the legal and brand names of the Company from FBN Holdings Plc and FBNHoldings to First Holdco Plc and FirstHoldco, respectively.

“That the change of legal and brand names should be extended to the subsidiaries of FBN Holdings Plc.”

The shareholders authorised the board of directors to perform all such other acts and do all such other things as may be necessary to give effect to the above resolutions, including, without limitation, complying with the directives of any regulatory authority.

Also, “That upon completion of the processes for the change of name, Increase of the Company’s share capital and allotment of the new ordinary shares in accordance with the resolutions above, the Memorandum and Articles of Association of the Company be amended as necessary to reflect the Company’s new legal name and Issued share capital.”

The board of the financial institution with multiple subsidiaries had proposed the name change in its AGM notice.