October 30, 2017/Cordros Research

UBN) Rights Issue, opened on 20 Sept, 2017, will close today, 30 October 2017.

Use of Proceeds:

80% of proceeds to be used as working capital

12% of proceeds to be invested in technology, innovation and digitalization

8% of proceeds to be invested in customer touch points

Details of the Rights:

Being Issued –                     12,133,646,995 Ordinary Shares of 50 kobo each

Rights Price –                       N4.10 per share

Gross Issue Proceeds –       N50, 000,000,000

Provisional Allotment –        5 new Ordinary Shares for every 7 Ordinary Shares of 50 kobo each held as

                                               at the close of business on August 21, 2017

Worthy of Note:

(1) The Rights is at 33.12% discount to the stock’s current market price of N6.13

(2) The theoretical market price of the stock after the Rights is estimated at N5.28.

In all two cases above, upside potential on the Rights price ranges between 28.8% and 49.51%.

Shareholders who do not wish to take up their Rights should take a cue from the wide upside potential in trading their Rights to interested investors.

How to Participate in the Rights:

(1)    For existing qualified shareholders

• Complete the rights issue form indicating full acceptance, partial acceptance or requesting additional rights
• Make payment for the total rights taken (either cheque or bank transfer) either directly to the Registrars or preferably through the stockbroker
• Submit the completed rights issue form and all evidence(s) of payments to the receiving agent for onward submission

 (2)    For potential investors

• Complete share transfer form
• Make payments for agreed traded rights
• Submit transfer form and evidence of payment to receiving agents