By Chukwuma Umeorah
Guaranty Trust Holding Company Plc (GTCO) has initiated the process of listing its ordinary shares on the London Stock Exchange (LSE) through a fully marketed equity offering aimed at raising approximately $100 million. The move is part of a broader strategy to enhance the company’s global visibility and attract international capital, as it transitions from Global Depositary Receipts (GDRs) to a full share listing on the LSE’s Main Market.
According to a corporate filing in the Nigerian Exchange Limited (NGX) on Thursday, signed by its Company Secretary, Erhi Obebeduo, the bookbuilding for the equity offering commenced on July 2 and is expected to close on July 3, 2025. Subject to regulatory approvals, trading of GTCO’s shares on the LSE is expected to begin on July 9, 2025, under the ticker “GTHC,” with a planned change to “GTCO” following the cancellation of the GDR listing by July 31, 2025.
The offering is intended to support the recapitalisation of GTCO’s banking subsidiary, Guaranty Trust Bank Nigeria, in line with the Central Bank of Nigeria’s (CBN) directive requiring international commercial banks to maintain a minimum capital base of N500 billion by March 2026. GTCO had earlier raised N209 billion in July 2024 as part of a N750 billion equity capital programme.
Shares from the offering will be made available to institutional and qualified investors in the UK, the US (under Rule 144A), and other permitted jurisdictions. According to GTCO, the decision to delist its GDRs was driven by persistently low trading volumes since their listing on the LSE’s Main Market in July 2021.
“The decision to withdraw the GDRs is driven by persistently low trading volumes on the LSE’s Main Market since their admission on July 1, 2021,” the company stated in a circular.
It added that Domestic holders of GTCO’s GDRs have until July 23 to choose between receiving Depositary Interests (DIs) tradable on the LSE via the CREST system or converting their holdings into ordinary shares tradable on the NGX. Post-admission, shares are expected to be transferable between both markets under specified conditions.
Proceeds from the offering will be used to support loan book growth across retail, SME, and institutional banking; strengthen GTCO’s technology infrastructure; expand its branch network; and pursue strategic acquisitions in pension fund administration and asset management.
“This Offering and transition to a full listing on the Official List of the FCA and to trading of the Company’s shares on the London Stock Exchange’s main market for listed securities represents a pivotal moment in GTCO’s growth story, reinforcing our position as a forward-thinking African Financial Services Institution,” said Segun Agbaje, Group Chief Executive Officer.
GTCO reported a profit of N258 billion in Q1 2025, with a return on average equity (RoAE) of 36.3 per cent and a capital adequacy ratio (CAR) of 39.3 per cent as of FY24. Its non-performing loan ratio improved to 4.5 per cent, and loan coverage rose to 146.9 per cent, reflecting strong risk management practices.
The Group also maintains a robust funding profile, with 88.9 per cent of deposits in low-cost current and savings accounts (CASA), and continues to benefit from strong credit ratings by S&P and Fitch.