Sterling HoldCo Moves to Allot Shares After Public Offer Records Oversubscription

Sterling Financial Holdings Company Plc has begun distributing shares from its recent public offer after securing the necessary regulatory approvals and recording demand that exceeded the number of shares available.

The company confirmed that the allotment process commenced following final consent from the Central Bank of Nigeria and clearance by the Securities and Exchange Commission.

The offer involved more than 12.5 billion ordinary shares priced at N7 each and drew strong interest from investors. In total, over 18,000 applications were submitted requesting about 16.84 billion shares, valued at roughly N117.9bn.

After screening the submissions, valid subscriptions were confirmed for approximately 13.81 billion shares, representing a subscription level of nearly 110 per cent. The company stated that every application that complied with the offer requirements would receive full allotment, noting that only a small number were rejected or adjusted due to issues such as duplicate payments or failure to meet the minimum subscription criteria.

Refunds for excess or unsuccessful applications, including any applicable interest, will be transferred electronically to investors’ bank accounts. At the same time, allotted shares will be credited digitally through the Central Securities Clearing System.

Applicants who do not yet have CSCS accounts will have their shares temporarily held in a registrar pool managed by Pace Registrars Limited until their account-opening documentation is completed.

The capital raise forms part of a broader strategy to strengthen the group’s financial base and support expansion across its subsidiaries. As part of the programme, the company plans to inject N10bn into its asset-management subsidiary to enable full operations and comply with updated regulatory capital thresholds for market operators.

Sterling HoldCo also confirmed that its banking arms — Sterling Bank Limited and The Alternative Bank Limited — have already met the revised minimum capital requirements after receiving regulatory approvals earlier in the year.

The Alternative Bank has continued to expand its national footprint as a non-interest institution, growing its service network beyond 150 locations while funding initiatives focused on women’s economic participation and agricultural development.

The group said the capital raised is already being deployed into programmes designed to generate economic impact while supporting long-term growth.

It also highlighted that the offer attracted a notable number of first-time investors in the financial services sector, reflecting expanding retail participation and stronger public confidence in the group’s strategy.

Financial results released alongside the announcement indicate strong performance momentum. Profit before tax rose sharply, nearly doubling compared to the previous period. Gross earnings increased significantly to more than N476bn, driven by expansion in both lending income and alternative revenue streams.

Total assets approached N4tn, deposits grew steadily, and shareholders’ funds recorded solid gains, reinforcing the group’s improving balance-sheet position.

Sterling HoldCo’s growth continues to be supported by its multi-segment financial services structure, which spans conventional banking, non-interest finance, and wealth management, positioning the group to capture opportunities across Nigeria’s evolving financial landscape.