The Nigerian Exchange Group Limited (NGX) has suspended trading in the shares of GT Bank Plc, ahead of its listing as a holding company.
This was disclosed by the head of listings and regulation department of the NGX, Godstime Iwenekhai, through a bulletin issued on Friday.
Commenting on the recent development, Iwenekhai said: “Trading License Holders and the investing public are hereby notified that trading in the shares of Guaranty Trust Bank Plc (the Bank) was suspended today, Friday, 18 June 2021.
“The suspension is necessary to prevent trading in the shares of the Bank in preparation for the eventual delisting of Guaranty Trust Bank Plc from the Daily Official List of the Nigerian Exchange Limited (NGX) and listing of the Holding Company, Guaranty Trust Holding Company Plc on NGX.”
Recall that GTBank had earlier obtained a regulatory approval-in-principle (AIP) to restructure into a financial holding company (Holdco), following shareholders and investors approval. In line with the development, investors approved the transfer of 29,431,179,224 ordinary shares of 50 kobo each in the issued and paid-up share capital of the bank held by them to Guaranty Trust Holding Company Plc.
What you should know:
- Given the recent development, GT Bank will join the growing list of financial holding companies in Nigeria, such as: FBN Holdings Plc, FCMB Group Plc , Stanbic IBTC Holdings Plc and Access Bank Plc (still in process)
- With its new status as a holding company, the bank will be able to diversify into other allied businesses like asset management, insurance, payment service and even pension management.