The ratings action marks a significant milestone for Quest Merchant Bank following a transformative period for the institution, reflecting renewed confidence in the Bank’s financial strength, market positioning, liquidity profile and future growth trajectory.

According to GCR, the revised Stable Outlook is anchored on Quest Merchant Bank’s sound risk profile, improved capitalization and strong liquidity, alongside the successful transition of the Bank’s ownership structure following its acquisition by EverQuest LLP after the divestment by FBN Holdings.

The rating agency also highlighted the Bank’s strong presence within Nigeria’s merchant banking sector, where Quest Merchant Bank accounted for c.30% of the sub-sector’s total assets as of 31 December 2025, reinforcing its position as one of the country’s leading merchant banking institutions.

Further strengthening the Bank’s outlook was the successful completion of its ₦42.9 billion capital raise in March 2026 in line with the Central Bank of Nigeria’s revised minimum capital requirements. GCR noted that the capital injection is expected to further enhance the Bank’s capital adequacy position and support the next phase of business growth.

Quest Merchant Bank’s asset quality and liquidity profile also remained key strengths underpinning the ratings affirmation. The Bank maintained a NPL ratio of 3.2%, significantly below the broader banking industry average, while continuing to sustain strong liquidity metrics and resilient earnings performance.

GCR additionally recognised the strategic value of the Bank’s relationship with Custodian Investment Plc, noting the potential for expanded business opportunities, operational synergies and stronger profitability over time.

Commenting on the development, Afolabi Olorode, Ag. Managing Director/CEO, Quest Merchant Bank Limited, said:

“This outlook revision is a strong signal of confidence in the future of Quest Merchant Bank and the progress we have made in strengthening our organization over the last year.

“Beyond the ratings action itself, this recognition reflects the resilience of our business, the quality of our balance sheet, and the confidence our clients, partners and stakeholders continue to place in the Bank.

“We have emerged from a defining transition period stronger, well-capitalized and better positioned to capture the opportunities ahead. We remain committed to delivering innovative solutions, creating long-term value and supporting economic growth across the sectors we serve.”

The Stable Outlook reflects GCR’s expectation that Quest Merchant Bank will continue to maintain sound asset quality, stable funding and strong liquidity metrics over the next 12 to 18 months, further reinforcing confidence in the Bank’s long-term strategic direction and operating fundamentals.

The refreshed identity reflects the Bank’s strategic direction as it deepens its role as a trusted partner to institutions and investors, providing insight-driven financial solutions and a disciplined approach to supporting long-term value creation.

With a strong legacy of execution and a deep understanding of key sectors, the Bank continues to differentiate itself through measured decision-making, strong risk management, and the ability to navigate increasingly complex market environments.

The new identity brings these qualities into sharper focus, while signalling a renewed emphasis on growth, innovation, and relevance in a changing financial landscape.

Quest Merchant Bank remains focused on supporting clients across their growth journey, helping to unlock opportunities, structure transactions effectively, and provide the clarity required to make confident financial decisions in dynamic conditions.

Commenting on the development, Afolabi Olorode, the acting managing director/CEO, stated:

“Our new brand identity represents an important step in our journey as Quest Merchant Bank. It reflects both who we are and where we are headed, an institution grounded in experience yet firmly focused on the future. As we continue to evolve, our priority remains to provide our clients with the clarity, confidence, and strategic support they need to achieve their long-term objectives.”

The refreshed identity will be progressively reflected across the Bank’s touchpoints, aligning its visual presence with its strategic ambition and ongoing investments in innovation, digital transformation, and service delivery.

Quest Merchant Bank remains focused on reinforcing its position as a leading merchant bank, trusted by institutions and investors to unlock value and deliver sustainable financial outcomes.

Project BRIDGE is a strategic digital infrastructure initiative designed to significantly expand Nigeria’s fibre-optic infrastructure and accelerate broadband penetration across the country.

The project will deploy approximately 90,000 kilometres of open access fibre-optic cable, strengthen nationwide connectivity and enable inclusive digital and economic growth.

As Transaction Advisor, Quest Merchant Bank will support FMCIDE and the Project BRIDGE Project Implementation Unit in structuring and implementing the project’s financial and commercial framework.

The mandate includes developing bankable investment structures, supporting investor engagement, and designing the public–private partnership framework required to facilitate successful project execution and long-term sustainability.

Commenting on the appointment, Afolabi Olorode, acting managing director/CEO Quest Merchant Bank, said:

“Project BRIDGE represents a critical step in strengthening Nigeria’s digital backbone and unlocking the immense opportunities within the country’s digital economy. We are honoured to partner with the FMCIDE under the leadership of Honourable Minister, Dr. ‘Bosun Tijani on this important initiative and look forward to applying our transaction advisory and infrastructure finance expertise to help deliver a robust and investable framework that will attract private capital and support long-term national development.”

Also speaking on the appointment, Yetunde Falore, head of Investment Banking, Quest Merchant Bank, said:

“Nigeria’s digital economy is entering a defining phase, and infrastructure initiatives such as Project BRIDGE will play a central role in expanding connectivity, deepening digital inclusion, and supporting sustainable economic growth. We align with the criticality of this project and are proud to bring in our expertise to help drive a timely, efficient and successful project delivery in our role as Transaction Advisor.

Project BRIDGE aligns strongly with His Excellency, President Bola Ahmed Tinubu’s Renewed Hope national transformation agenda, which prioritises the expansion of digital infrastructure, technology-driven productivity, and increased private-sector engagement in delivering critical national assets.

By accelerating broadband penetration and strengthening the country’s digital backbone, the initiative is expected to unlock significant opportunities across key sectors, including education, healthcare, agriculture, commerce, and the wider innovation ecosystem.

Under this appointment, Quest Merchant Bank will be supporting the Honourable Minister and the Project Implementation Team in structuring and delivering a financially robust Special Purpose Vehicle (SPV) by shortlisting qualified Private Sector participants to partner with the Nigerian Government (backed by World Bank, Africa Development Bank and European Bank for Reconstruction & Development) to deliver a world class private sector led, wholesale open Access Fibre Company. The project targets SPV set up and project break-ground by Q3 2026.

This milestone reflects investors’ continued confidence in the Bank’s long-term strategy, strong governance, and sustainable growth outlook.

It also marks an important step in the Bank’s post-divestment evolution under its new ownership, positioning Quest Merchant Bank with the balance-sheet strength needed to execute its next phase of growth.

With a significantly enhanced capital base, Quest Merchant Bank is now better positioned to underwrite larger transactions and expand its advisory, capital markets, and structured financing capabilities across priority sectors of the Nigerian economy.

The CBN’s recapitalisation directive, which sets ₦50 billion as the minimum capital threshold for merchant banks, is designed to reinforce the resilience, stability, and lending capacity of Nigeria’s financial system. By meeting this benchmark, Quest Merchant Bank reinforces its standing as a trusted financial partner in infrastructure, energy, manufacturing, and corporate growth initiatives nationwide.

Afolabi Olorode, acting managing director and chief executive officer of Quest Merchant Bank, described the achievement as a defining moment in the Bank’s evolution:

“This milestone marks a significant step forward for Quest Merchant Bank. Meeting the ₦50 billion capital requirement underscores investors’ confidence in our strategy and reflects the strength of our governance and franchise.

With this strengthened capital position, we are equipped to play an even greater role in financing key sectors of the Nigerian economy, enabling private enterprise, and supporting sustainable economic expansion.

Our focus remains clear. We will continue to continue to help our clients succeed, while serving as a trusted long-term partner in delivering sustainable growth.”

Quest Merchant Bank remains committed to responsible growth, innovation, and delivering strategic financial solutions that empower businesses and institutions across Nigeria.