First Bank of Nigeria Holdings has revised its agenda for the upcoming Annual General Meeting, which is scheduled to take place next Tuesday.
In a notice issued to shareholders and the Nigerian Exchange Limited in July, certain sections of the agenda pertained to the resolution on capital increase, and shareholders would waive their preemptive rights for unsold shares.
A recent notice from the financial institution, released on Wednesday, presents the modified portions 8b and 8d as follows:
– Section 8b now states that there will be a capital raise of up to N150,000,000,000 through a Rights Issue.
The terms, conditions, and dates of the capital raise transaction will be determined by the directors, subject to obtaining regulatory approvals.
– Section 8d now outlines that any shares not subscribed to by existing shareholders during the Rights Issue’s stipulated period may be offered for purchase to interested company shareholders. The terms and conditions will be established by the directors, subject to regulatory approvals.
However, the Federal High Court in Lagos has issued an order preventing the financial institution from conducting its 11th AGM. The order, obtained through a petition by Olusegun Onagoruwa in suit No: FHC/L/CP/1271/2022 and directed to Nnamdi Okonkwo, FBN Holdings Chairman, warns against proceeding with the AGM, seeking share capital issuance or increase approval, appointing new directors, or taking any action that disobeys the court’s order. Failure to comply could result in contempt of court charges and potential imprisonment.
Shareholders demonstrated their dissatisfaction by protesting at the bank’s headquarters on Monday, urging the AGM’s convening and regulatory intervention.
