First City Monument Bank, one of Nigeria’s largest financial institutions, has recorded the fastest ever completion of a public offer and GDR by a Nigerian bank.

On February 6, 2008, FCMB successfully secured approval from the Securities and Exchange Commission for the basis of allotment of its second public offer less than three months after the offer closed.
Shareholders are now beginning to receive share certificates from their brokers, FCMB said in a statement on Monday.

Speaking about the success of the public offer FCMB’s Managing Director, Mr. Ladi Balogun said, “Over recent weeks, the SEC has rightly started to clamp down on the delays that are threatening the credibility of Nigeria’s capital markets amongst the international investment community.

We are delighted that we have succeeded in showcasing how best practice can be applied in this country”
The period of time between an investor initially investing in a public offer and the moment that he receives his share certificate will significantly influence his perceptions moving forward.

Money that is held in escrow in the meantime represents an opportunity cost to the investor that issuers and regulators should aim to minimise in order to improve confidence in Nigeria’s capital markets.

Having completed the public offer in record time FCMB is now set to start the work of allocating its newly acquired capital with a view to enhancing shareholder returns while mitigating risk.