Fidelity Bank ‘Lost’ N1.08bn Related Party Loans Linked to Former Directors

Fidelity Bank Plc has classified 2 major related party loans linked to former Directors worth N1.08 billion as essentially Lost and non-recoverable.

The bank made the disclosure in its public offer prospectus seen by MoneyCentral.

Cy Incorporated Nigeria Limited linked to a Mrs Onome Olaolu had N313.08 million outstanding Finance Lease/Overdraft loans with the status classified as lost by Fidelity Bank as at December 2023.

Equipment Solutions and Logistics Services Ltd, linked to Mr. IK Mbagwu had N767.02 million of outstanding Term Loan/Overdraft with the status classified as lost by Fidelity Bank as at December 2023.

Fidelity Bank said it has perfected the collateral on the securities.

The bank is offering 10 billion Ordinary Shares of 50 kobo each at ₦9.75 per share.

On Monday it extended by Fourteen (14) days the trading in its Rights Issue and Offer for subscription of the bank’ shares, amid concern of low subscription due to high interest rates that favor fixed income investments and competition from other bank offers.

Get More of our proprietary news and analysis as MoneyCentral is now on WhatsApp Channels  Follow the MoneyCentral Nigeria channel on WhatsApp: Click here!