Sterling Financial repositions share structure to support growth strategy

Sterling Financial, a Nigerian financial services group, has initiated a share capital reconstruction to bolster its growth strategy and improve capital efficiency. The restructuring involves consolidating every ten existing ordinary shares into one new share, resulting in a reduction of issued shares from 68.5 billion to 6.85 million.

This move aims to enhance the company's appeal to institutional and retail investors by providing clearer per-share performance metrics and facilitating sharper comparisons with sector peers. The reconstruction also leaves total shareholders' funds unchanged, as the transferred amount was set aside for future use. The exercise requires the suspension of trading in the Group's shares on the Nigerian Exchange Limited for up to ten working days, following which the revised share structure will be implemented.