The board of directors of Nigeria’s Infrastructure Bank Plc has approved the recapitalisation of the financial institution to the tune of 29 billion naira (US$180 million), according to the Chief Executive Officer (CEO), Mr. Adekunle Oyinloye.
The private Guardian newspaper Monday quoted the CEO as saying the board also agreed to raise new funds both in equity and debt capital to meet the recapitalisation exercise.
He said the board members had agreed to raise 3 billion naira (US$18.6 million) to 4 billion naira (US$24.8 million) as equity among themselves, while the rest would be raised from the capital market.
“We believe that based on our five-year capital plan, that this will be far more than adequate to address our capital requirement for our projects.
“This is not limited to what we raised on specific bases. We will also be raising what we called municipal bond and will soon be in the capital market for that,” he said
The Vice Chairman of the bank, Johan Kruger, said the bank was handling a Redline Transit Project to aid transportation system in the commercial city of Lagos and its environs.
Kruger explained that the bank had since 2009 been meeting with a consortium of banks on the Transit Project in response to the Lagos Metropolitan Area Transport Authority’s request to solve transportation problem in Lagos.