Business
Sterling Holdco to raise fresh $400 million through debt, equity instruments
Sterling Financial Holding Company Plc has announced plans to raise $400 million in fresh capital through a combination of debt and equity instruments, as part of resolutions to be considered at its Annual General Meeting (AGM).
The company disclosed the capital raise in a statement signed by its secretary, Sunny Kanabe, and posted on NGX Group on Monday, announcing its 3rd Annual General Meeting (AGM), scheduled for 9 June.
The proposed capital raise is being put forward without affecting the capital-raising approvals earlier granted at the company’s AGM held on 11 July, 2025, it said.
The company had disclosed in July 2025 plans to raise to $400 million through a mix of financing options, including debt instruments and equity offerings.
In the statement published on Monday, the lender said the fresh capital could also be raised through the issuance of debt instruments, including convertible or non-convertible bonds, preference shares, ordinary shares, global depositary receipts, or a combination.
According to Sterling Financial Holding Company, capital could also be raised through public offerings, private placements, rights issues, and other approved methods.
The lender stated that the fundraising’s pricing and timing will be determined by its Board, and subject to the approval of relevant regulatory authorities.
“Company be and is hereby authorized to raise up to US$400,000,000 (Four Hundred Million United States Dollars) or its equivalent in Naira or other currencies.
“The capital may be raised in tranches or otherwise through the issuance of debt instruments (including, but not limited to, bonds that may be convertible or non-convertible, preference shares, ordinary shares, global depositary receipts, or a combination thereof, in the Nigerian and/or international capital markets, whether by way of public offer, private placement, rights issue, or any other method, at such dates and upon such terms and conditions as may be determined by the Board of Directors of the Company (the “Board”), subject to the procurement of requisite approvals from the relevant regulatory authorities,” the statement read.
It added that where the capital raise involves equity issuance, the board will have authority to increase the company’s share capital and allot new shares as necessary to complete the transaction.
The resolutions also empower the board to amend the company’s ‘Memorandum and Articles of Association’ to reflect any changes in its share capital structure arising from the exercise.
In addition, shareholders are being asked to approve the Board’s authority to take all necessary steps, obtain regulatory approvals, and engage professional advisers required to execute the transaction.
The company also sought ratification of any prior steps already taken in relation to the capital raise process.
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“That the Board be and is hereby authorised to take all such lawful steps, pass all requisite resolutions and do all such other lawful acts and/or things as may be necessary for and/or incidental to giving effect to the resolutions above; and all prior lawful steps taken by the Board in the above regard be and are hereby ratified.
“That the Company be and is hereby authorised to appoint such professional parties and advisers and perform all other acts as may be necessary to give effect to the above resolutions, including obtaining relevant regulatory approvals and, without limitation, complying with the directives of any relevant regulatory authority,” the statement read.
Nigeria’s economy grew by 4.43 per cent year-on-year in real terms in the second quarter of 2026, according to the National Bureau of Statistics (NBS).
The latest growth rate is higher than the 4.23 per cent recorded in the corresponding quarter of 2025 and represents an improvement from the 3.89 per cent recorded in the first quarter of 2026.
The NBS disclosed this in its Gross Domestic Product Report for the second quarter of 2026, released on Monday.
The latest figure indicates that economic activity continued to expand during the quarter, extending a gradual recovery recorded over the past year.
Nigeria’s economy grew by 3.87 per cent in real terms in 2025, compared with 3.38 per cent in 2024, according to the NBS data.
The latest quarterly performance was also the strongest growth recorded since the third quarter of 2024, when the economy expanded by 3.86 per cent, based on the NBS quarterly series.
In nominal terms, the country’s GDP stood at ₦119.29 trillion in the second quarter of 2026, while real GDP was estimated at ₦53.47 trillion.
The improvement came as both the oil and non-oil sectors recorded stronger growth compared with the preceding quarter, although the contribution of the non-oil economy remained overwhelmingly dominant.
Services remain dominant
The services sector remained the largest contributor to Nigeria’s real GDP during the quarter, accounting for 56.62 per cent of total output.
It also recorded real growth of 4.60 per cent, up from 3.94 per cent in the corresponding quarter of 2025.
Agriculture contributed 26.15 per cent to real GDP and grew by 4.39 per cent, a significant improvement from the 2.82 per cent recorded in the second quarter of 2025.
The improvement in agriculture is notable, as the sector remains an important source of employment and income for millions of Nigerians, even as farmers continue to contend with insecurity, high input costs, climate-related pressures, and infrastructure constraints.
The industrial sector, however, recorded slower growth.
Industry grew by 3.96 per cent in the second quarter, compared with 7.46 per cent in the corresponding period of 2025. It accounted for 17.23 per cent of real GDP during the quarter.
The slowdown means that the stronger headline GDP figure was not reflected uniformly across all major sectors of the economy.
Oil production rises
Meanwhile, the oil sector recorded a stronger performance during the quarter, aided by higher crude oil production.
Nigeria’s average daily oil production rose to 1.72 million barrels per day (bpd) in the second quarter, from 1.55 million bpd in the first quarter of 2026.
Production was also higher than the 1.68 million bpd recorded in the second quarter of 2025.
The increase in production coincided with stronger growth in the oil sector.
The sector grew by 7.31 per cent year-on-year in real terms, compared with 2.57 per cent in the first quarter of 2026. On a quarter-on-quarter basis, oil-sector growth stood at 10.91 per cent.
Despite the improvement, oil remained a relatively small part of Nigeria’s overall economic output.
The sector contributed 4.16 per cent to real GDP in the second quarter, up from 4.05 per cent in the corresponding quarter of 2025 and 3.92 per cent in the first quarter of 2026.
By contrast, the non-oil sector accounted for 95.84 per cent of real GDP.
The non-oil sector grew by 4.31 per cent in real terms during the quarter, compared with 3.64 per cent in the second quarter of 2025 and 3.94 per cent in the first quarter of 2026.
According to the NBS, agriculture, information and communication, real estate, trade, financial and insurance services, manufacturing and construction were among the activities that supported non-oil growth during the quarter.
Growth improves but remains moderate
The latest GDP figures suggest that Nigeria’s economy is gaining momentum, but the pace of expansion remains moderate relative to the country’s development needs.
President Bola Tinubu’s administration has repeatedly set a target of achieving 7 per cent annual economic growth by 2027. The 4.43 per cent quarterly growth, therefore, remains below the pace required to reach that broader target if sustained annual growth is the benchmark.
The economy has nevertheless recorded a gradual improvement since the contraction and weak growth rates that characterised earlier years.
The annual growth rate rose from 0.95 per cent in 2021 to 4.32 per cent in 2022, before moderating to 3.04 per cent in 2023. It then increased to 3.38 per cent in 2024 and 3.87 per cent in 2025, according to the NBS data.
The latest figures, therefore, point to a continued, although still gradual, strengthening of economic activity.
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However, stronger GDP growth does not necessarily mean that households are immediately experiencing improved living standards.
GDP measures the value of goods and services produced in the economy and does not, on its own, show how income is distributed or whether households can afford basic goods and services.
For Nigerians, the impact of the latest expansion will ultimately depend on whether stronger economic activity translates into more jobs, higher incomes, increased investment and lower production and living costs.
The continued dominance of services and the improved performance of agriculture also highlight the growing importance of the non-oil economy to Nigeria’s growth story.
At the same time, the slowdown in industrial growth shows that challenges related to electricity, financing, infrastructure, logistics, and production costs continue to weigh on the productive sectors.
The latest NBS figures provide further evidence that the Nigerian economy is expanding faster than a year ago.
The bigger test, however, will be whether that growth can be sustained and broadened across productive sectors and translate into tangible improvements in Nigerians’ economic well-being.
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