Jaiz Bank Plc has submitted an application to Nigerian Exchange Limited for the approval and listing of a Rights Issue of 5.4 billion ordinary shares of N0.50 each at N1.00 per share.
This was contained in the NGX weekly report obtained by Nairametics
According to the statement, trading License Holders were notified that Jaiz Bank Plc has through its Joint Stockbrokers, Finmal Finance Services Limited and Kundila Finance Services Limited, submitted an application to Nigerian Exchange Limited for the approval and listing of a Rights Issue of Five Billion, Four Hundred and Eight Million, Three Hundred and Fifty-Six Thousand, Five Hundred and Thirty-Six (5,408,356,536) ordinary shares of N0.50 each at N1.00 per share.
This was on the basis of eighty-seven (87) new ordinary shares for every two hundred and fifty (250) ordinary shares held as of the close of business on Friday, 6 October 2023.
The Qualification Date for the Rights Issue according to the statement is 6 October 2023.
What you should know: Jaiz Bank Plc declared an N6.6 billion profit before tax for the 2022 financial year, an increase of N2.4 billion, which translates to 53%, compared to N4.2 billion realised in the corresponding period of 2021.
Also, the Islamic bank recorded a 29% increase in its gross earnings of N33.43 billion in 2022 from N25.8 billion earned in 2021. This is just as its net income surged by 33% from N16.9 billion in 2021 to N22.5 billion in the 2022 financial year.
In an audited financial report issued during its 11th Annual General Meeting (AGM) recently in Kano, the bank witnessed assets increase by 36% of N379.6 billion as of December 31, 2022, compared to N279.3 billion recorded in the previous year.
Despite an increase in its operating expenses, put at 23.8% to N15.9 billion, there was a reduction in the bank’s operating costs indicating a positive cost-to-income ratio of 70.5% compared to 74.5% as seen in the previous year.
Similarly, the bank’s net income margin stood at 8.29% as of December 31, 2022, while the capital adequacy ratio was 19.5%, indicating a managed capital, well above the minimum regulatory requirements.
With the quantum leap of 39% in customers’ deposit liabilities at N291.5 billion in 2022 compared to N209.1 billion in 2021, Jaiz Bank’s total balance sheet size increased by 36% of N379.8 billion against N279.3 billion recorded in 2021.
At the AGM, the shareholders also passed an ordinary resolution regarding the private placement of 10,048,237,955 ordinary shares and a rights issue of 5,410,589,668 shares.
The directors were authorized to “take all necessary actions to implement the resolution”.
Addressing journalists on the sidelines of the AGM, the Chairman of, the Board of Directors, Alhaji Mohamad Mustapha Bintube, said that the tremendous achievements recorded in the year under review were occasioned by strategic investments in digital and fintech transformations.
Bintube added that Jaiz will sustain the momentum of its strategic growth and support, especially in the area of innovation, with new products, Medium and Small Entrepreneur, and digitalization.
The bank’s Managing Director, Dr. Sirajo Salisu, pledged the bank’s determination to expand its branches with 13 new branches from the present 47.
He added that the management is strategically positioned to grow her customer base to four million in the next five years.
A shareholder Patric Ajujua, applauded the effective and efficient management of the bank and the consistent payment of dividends to shareholders.
