By Investadvocate

Lagos (INVESTADVOCATE)-The Nigerian Stock Exchange (NSE) Friday announced it has lifted the suspension placed on the Shares of Union Bank of Nigeria Plc (UBN) and has listed the Bank’s 2,533,125,000 Ordinary Shares of 50 Kobo par value at N11.15.

This was contained in a notice by the Exchange and obtained by www.investadvocateng.com in Lagos Nigeria.

“Union Bank Nigeria Plc (UBN) has completed its Share Reconstruction Exercise. As a result of this, we have lifted off the Suspension placed on its Shares. We have today delisted UBN old shares and listed 2,533,125,000 Ordinary Shares of 50 K par value at N11.15 in the Official List of the Exchange after the Reconstruction” the Notice said.

The Bank on December 14 2011 opened a Rights Issue following the approval of the Securities and Exchange Commission (SEC).

Union Bank had on September 09 2011 at a parley with the Media said existing shareholders will own 21 percent (21%) stake at the end of its recapitalisation exercise compared to 6.8% formerly held; indicating an increase of 208.82 percent (208.82%) increase.

Prior to this time, the Bank had on September 29 2011 in Lagos Nigeria notified the NSE that the Qualification Date for September 30 2011 has been scheduled to enable it update its Register for the purpose of its proposed Rights Issue of 1,407,291,667 Ordinary Shares of 50 Kobo each at N6.81 Kobo per share in the ratio of five (5) new Ordinary Shares for nine (9) Ordinary Shares held.

Following this development, at an Extraordinary General Meeting (EGM) held on September 30, 2011, the shareholders approved, amongst other resolutions, the Rights Issuance of 1,407,291,667 ordinary shares to existing shareholders.  The unit price would be sold at N6.81 to all qualified shareholders.

In its bid to recapitalise as directed by Nigeria’s Central Bank, Union Bank as one of the Rescued Nigerian Banks entered a Scheme of Arrangement with a core investor, African Capital Alliance Consortium (ACA) which would be investing $750 million and would be allotted 60% of the Bank’s total shares, while the remaining 19% shares will be allotted to the Asset Management Corporation of Nigeria (AMCON) and 21% to existing shareholders.