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Guaranty Trust Holding Company Plc Initiates London Stock Exchange Listing

Strategic Insights

— 2 min read

Guaranty Trust Holding Company Plc (GTCO) has embarked on a strategy to enhance its global visibility by listing its ordinary shares on the London Stock Exchange (LSE) through a fully marketed equity offering. The move is aimed at raising approximately $100 million to support the recapitalisation of its banking subsidiary, Guaranty Trust Bank Nigeria, in line with the Central Bank of Nigeria's directive. The listing is expected to begin on July 9, 2025, with a planned change to 'GTCO' following the cancellation of the GDR listing by July 31, 2025.

Key Takeaways:

  • GTCO will list its ordinary shares on the LSE through a fully marketed equity offering, aiming to raise approximately $100 million.
  • The listing is part of a broader strategy to enhance the company's global visibility and attract international capital.
  • The company plans to use the proceeds to support loan book growth across retail, SME, and institutional banking; strengthen its technology infrastructure; expand its branch network; and pursue strategic acquisitions in pension fund administration and asset management.
  • 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.
  • The company's non-performing loan ratio improved to 4.5 per cent, and loan coverage rose to 146.9 per cent, reflecting strong risk management practices.
  • 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.
  • The company plans to maintain 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 and P and Fitch.
  • 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.
  • 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.

Statistics:

  • $100 million: the approximate amount to be raised from the listing on the LSE.
  • N209 billion: the amount raised by GTCO in July 2024 as part of a N750 billion equity capital programme.
  • 36.3 per cent: the return on average equity (RoAE) reported by GTCO in Q1 2025.
  • 39.3 per cent: the capital adequacy ratio (CAR) of GTCO as of FY24.
  • 4.5 per cent: the non-performing loan ratio of GTCO.
  • 146.9 per cent: the loan coverage ratio of GTCO.
  • 88.9 per cent: the proportion of deposits held in low-cost current and savings accounts (CASA) by GTCO.

Sources:

  • Corporate filing in the Nigerian Exchange Limited (NGX) signed by Erhi Obebeduo, Company Secretary.
  • Circular issued by GTCO regarding the delisting of GDRs.
  • Financial statements of Guaranty Trust Holding Company Plc.

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