Tony Elumelu Acquires N43.91bn Worth of UBA Shares Ahead of Capital Raise
By DAYO ADESULU
Tony Elumelu, Chairman of United Bank for Africa (UBA), has significantly increased his stake in the bank with the acquisition of N43.91 billion worth of shares over a two-day span, strengthening confidence in the institution’s long-term growth trajectory.
According to a regulatory disclosure filed with the Nigerian Exchange Group (NGX) by Bili Odum, UBA’s Group Company Secretary, the transactions were executed between May 29 and May 30, 2025. The billionaire banker and philanthropist acquired 1,267,669,350 shares at an average price of ₦34.64 per share, demonstrating his firm belief in the bank’s value and future performance.
Breakdown of Share Purchases
The regulatory filing reveals the breakdown of Tony Elumelu’s transactions:
- 50 million shares were acquired at various prices ranging between ₦34.55 and ₦34.75
- An additional 17,669,350 shares were bought at ₦34.70 per share
This latest acquisition follows a previous transaction on May 23, where Tony Elumelu purchased 45,034,044 shares at ₦34.30, worth approximately ₦1.53 billion.
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In total, Tony Elumelu’s share acquisitions in UBA for May 2025 have exceeded N45 billion, solidifying his position as one of the largest individual shareholders in the pan-African financial institution.
A Strategic Move Ahead of CBN’s Capitalization Deadline
Elumelu’s aggressive share acquisition aligns with UBA’s preparation to meet the Central Bank of Nigeria’s (CBN) new capital requirements. The apex bank has directed all commercial banks with international licenses to raise their minimum capital base to ₦500 billion.
Currently, UBA’s capital base stands at ₦355.2 billion. To bridge the gap, the bank has announced plans to raise ₦144.8 billion in Q3 2025, and Elumelu has already signaled his full commitment to the initiative.
“We will meet the CBN’s recapitalisation deadline. The bank is fully focused on strategic capital raising that strengthens our position in Nigeria and across Africa,” Tony Elumelu stated earlier.
Boosting Investor Confidence
The high-profile share acquisition is expected to boost investor confidence and send a strong signal to the market that UBA is on a solid growth path. Elumelu’s financial commitment reinforces the bank’s stability and underscores his belief in UBA’s capacity to deliver long-term shareholder value.
With operations in over 20 African countries, as well as offices in London, Paris, and New York, UBA is one of the most internationalized Nigerian banks. The planned recapitalisation will enable it to further deepen its footprint and scale financial services across key markets.
Market Reaction and Stakeholder Expectations
Investors and market analysts have praised Elumelu’s move as both strategic and timely, particularly as banks race to comply with regulatory directives in a competitive capital environment.
Financial observers also believe Tony Elumelu’s increasing stake could signal a stronger board-level influence and a longer-term growth strategy that leverages digital transformation, pan-African expansion, and diversified revenue streams.
As the Q3 capital raise approaches, shareholders will be watching closely to see how the bank structures its offering, with many expecting a mix of public offerings and private placements.
