FCMB nears N500bn capital mark as CBN reviews bid for international banking licence

FCMB Group is on the verge of meeting the N500 billion recapitalisation threshold required for an international banking licence, as the race among Nigerian lenders to comply with new regulatory capital requirements intensifies.

Sources familiar with the development disclosed that the financial services group is close to crossing the benchmark set by the Central Bank of Nigeria (CBN).

A senior official at the apex bank confirmed that FCMB has submitted details of proceeds from its recent public offer, which are currently undergoing regulatory verification.

“The bank is undergoing verification,” the source said. “We do not have any reason to believe they will not achieve the international banking licence status.”

FCMB had initially announced plans in 2024 to raise N340 billion, later revising the target to N370 billion in 2025. In November, it further increased its capital ceiling to about N400 billion, reflecting growing ambition to secure an international banking licence.

When combined with the N125.2 billion capital base it held in 2023, the group appears poised to surpass the N500 billion threshold mandated by the CBN for Tier One banks seeking international authorisation.

Checks show that as of its 2025 full-year interim financial statement, FCMB had a share capital of N288.8 billion and an additional N46.6 billion in Additional Tier 1 capital, bringing total qualifying capital to N335 billion. This left an estimated N165 billion required to meet the regulatory benchmark.

However, the group recently concluded a public offer that raised over N200 billion. In addition, it is expected to receive another N10 billion from a divestment in one of its subsidiaries. Combined, these inflows suggest that FCMB could raise about N400 billion in fresh capital, potentially pushing its total capital base to approximately N525 billion.

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The recapitalisation effort is part of a broader sector-wide exercise directed by the CBN, with banks racing to meet new capital thresholds ahead of the regulatory deadline. The apex bank recently disclosed that about 19 banks have met their recapitalisation targets across various licence categories.

Several Tier One lenders have already secured regulatory approval. These include Access Corporation, Guaranty Trust Holding Company (GTCO), Zenith Bank Plc and First Holdco Plc.

United Bank for Africa (UBA) has also met its target and is awaiting final approval. The bank raised N178.3 billion, which, when added to its existing N355 billion capital base, lifted its total capital above the N500 billion minimum required for banks with international licences.

Other lenders, including Fidelity Bank, Sterling Bank, Stanbic IBTC and Wema Bank, have similarly met their recapitalisation targets and are undergoing final CBN verification.

In addition to recapitalisation benchmarks, the CBN recently directed holding companies to ensure their total capital exceeds the combined capital of all subsidiaries, in line with Section 7.1 of the Guidelines for Licensing and Regulation of Financial Holding Companies in Nigeria.

As of August 2025, GTBank’s capital base stood at over N504 billion, while GTCO disclosed a recent N10 billion capital raise to comply with holding company capital computation requirements.

FCMB’s financial performance underscores its strengthened position. Its 2025 full-year interim report shows pre-tax profit rising to N176.9 billion, compared to N73.3 billion as of December 2024. Total assets increased to N7.5 trillion from N7 trillion in 2024, while net assets stood at N823.4 billion, including N335.4 billion in share capital.

With its capital base now hovering above the regulatory threshold—subject to final CBN verification—FCMB appears firmly positioned to secure international banking status, marking a significant milestone in its growth trajectory.