By Peter OBIORA InvestAdvocate

Lagos (INVESTADVOCATE)-Nigeria’s mid-tier lender, Wema Bank Plc said on Thursday is seeking to raise $100 million tier II capital in the second quarter (Q2) of this year, a Reuters report said.

The reported quoted Tunde Mabawonku, chief financial officer (CFO) of the bank as saying that the $100 million will be used to fund its growing loan portfolio.

In the same vein, Mabawonku said the lender will also seek fresh equity capital of between N30 billion ($151 million) to N40 billion, from strategic investors by the fourth quarter (Q4)

Mabawonku said he expected Wema Bank’s capital ratio to top 25 percent next year, after the capital raising exercise from 18 percent now.

“The bank is raising $100 million…to shore up existing working capital. The funds will not be converted to naira but will be used to fund our growing foreign currency portfolio,” the report quoted the bank’s CFO as saying.

Share price of the Wema Bank climbed up 8.8 percent to N1.11 from N1.02 traded the previous session; gaining 0.09 kobo.