By Ayomide Otitoju
Fidelity Bank Plc is capturing the spotlight on the Nigerian Exchange (NGX) as investors bet on the lender’s ability to sustain its earnings growth trajectory into 2025. The Tier-2 bank’s share price climbed steadily last week, reflecting heightened investor interest.
By the close of trading on Friday, Fidelity Bank’s share price rose to ₦19.10, up from ₦17.60 earlier in the week, driven by strong trading volumes. The surge in demand boosted the bank’s market valuation to over ₦611 billion. The stock is now within striking distance of its 52-week high of ₦19.30, with investor optimism building ahead of the release of its fourth-quarter earnings.
In the past seven trading sessions, Fidelity Bank outperformed key indices, including a 4.1% gain in the NGX Banking Index and a 1.1% uptick in the broader NGX All-Share Index.
The bank is also preparing to bolster its capital base as it plans a private placement of 20 billion units of shares to select investors at a price yet to be disclosed. This move, expected to secure shareholder approval in February, will significantly outsize its earlier capital-raising efforts.
In 2024, Fidelity Bank raised equity capital through a public offer of 10 billion ordinary shares at ₦9.75 per share, following prior approval from shareholders. The upcoming private placement underscores the bank’s drive to strengthen its capitalization and sustain its growth trajectory.
Fidelity Bank also disclosed that its board has commenced reviewing the audited financial statements for 2024. The company entered a regulatory close period on January 1 and plans to submit the financial statements to the Central Bank of Nigeria (CBN) for approval before publication on the NGX.
The lender’s performance and strategic initiatives have positioned it as a standout player in Nigeria’s banking sector, with investors keenly watching its next moves in the equities market.
