The approval has triggered an immediate positive reaction in the equities market, with the Group’s share price rallying by 12.5% over two trading days to close at N12.50.

Subscription Success and Market Impact

The Rights Issue, which offered 5,067,396,400 ordinary shares at N10.00 per share, achieved a 100% subscription rate.

According to allotment documents, the offer attracted broad participation from both existing and new investors:

Existing Shareholders: Accounted for approximately 88% of the total subscription.

New Investors: 138 new investors entered the expanded capital structure by acquiring rights traded on the floor of the Nigerian Exchange (NGX).

Surplus Funds: Due to additional demand, the Group will refund approximately N1.83 billion in surplus payments to eleven shareholders who over-subscribed.

Investors who participated in the offer at N10.00 have already seen a 25% gain on their investment following the post-approval price rally.

The capital infusion is set to accelerate VFD Group’s Governance as a Strategy (GaaS) model.

Nonso Okpala, group managing director of VFD, noted that the proceeds would be deployed to upscale flagship businesses by strengthening the balance sheet of core portfolio companies; recapitalizing capital market-related entities to meet new regulatory requirements; funding the Group’s entry into Southern Africa and the United Kingdom, and accelerating the development of potential unicorns within its diversified ecosystem.

Folajimi Adeleye, executive director of Finance for the Group, highlighted that the increased capitalization addresses previous concerns regarding market liquidity and float.

By expanding the share base, VFD Group is positioning itself to attract more local pension fund managers and foreign institutional investors.

“This milestone provides the necessary capital buffer to harden our institutional infrastructure and accelerate our pan-African footprint,” Okpala stated. “We are filling an immense vacuum across many sectors of the economy and, in doing so, creating unparalleled value for our shareholders.”

Following the SEC’s Letter of No Objection, the Group has initiated the formal distribution process e-allotment as shares will be credited to shareholders’ Central Securities Clearing System (CSCS) accounts by April 2, 2026, and surplus monies from over-subscription are expected to be returned to affected investors by April 10, 2026.

For VFD Group, the 100% subscription of this N50.6 billion raise is a strong vote of confidence in its proprietary investment model.

As the Nigerian economy continues to navigate inflationary pressures and currency volatility, VFD’s move to harden its infrastructure suggests a defensive yet growth-oriented strategy aimed at turning market dislocations into long-term value.

According to the group’s financial statement, gross earnings grew 44% year-on-year to N41.17 billion from N28.59 billion, driven by an increase in investment and similar income, which accounted for about 91% of gross earnings, alongside net gains on financial assets.

Investment and similar income rose 50% to N37.58 billion, while net gains on financial assets stood at N2.92 billion.

The Group recorded a 50% increase in net investment income to N35.67 billion. Operating profit rose 64% to N27.16 billion, while investment and similar expenses climbed 50% to N1.92 billion from N1.28 billion. Profit before tax grew to N6.04 billion from N3.35 billion, and earnings per share rose to 49 kobo from 26 kobo.

Total expenses increased 12% to N10.79 billion, driven mainly by a 43.42% surge in personnel expenses to N2.90 billion, attributed to increased staff strength to meet higher business activity.

Commenting on the performance, Nonso Okpala, CEO/managing director of VFD Group, said:

“These financial outcomes are a result of deliberate moves: disciplined portfolio management, improved group-wide efficiency, and focused capital deployment. Our investee companies are no longer just holdings; they are contributors to an ecosystem that multiplies value across fintech, asset management, banking, real estate, and capital markets. We will continue to deliver value to all our shareholders through execution, discipline, and scale.”

Total assets and liabilities also rose significantly. Total liabilities increased to N288.52 billion from N237.14 billion, while total assets grew to N356.87 billion from N295.67 billion, driven by higher investment in financial assets and funds under management, alongside a 39.61% decline in loans and advances to N37.62 billion from N62.30 billion.

The approval was disclosed in a statement signed by Gbeminiyi Shoda, the Nigerian Exchange Secretary,  on February 19, 2025.

According to the statement, the decision was sanctioned by the board of VFD Group in compliance with Section 289 (8) of the Companies and Allied Matters Act, 2020.

Commenting on the importance of the investment, Nonso Okpala, VFD group’s managing director, noted the company’s assurance in V Bank’s growth prospect. He stated:

“Our N5 billion investment in V Bank reflects our unwavering confidence in its potential and our commitment to its growth. V Bank is not just a microfinance institution; it is a vital component of Nigeria’s financial ecosystem. We are focused on scaling its operations, expanding its reach, and reinforcing its position as a trusted financial partner to millions of Nigerians.”

Similarly, Rotimi Awofisibe, managing director of V Bank, affirmed that the capital infusion would enable the bank to enhance its digital services and provide innovative financial solutions to a wider customer base.

Driving digital financial inclusion in Nigeria, VFD Microfinance Bank is a fully digital bank offering financial solutions to individuals and businesses.

As a subsidiary of VFD Group, it aims to provide seamless and accessible banking services through innovative digital platforms.

In a collaborative effort with Narrative Landscape Press and GLG Communications, VFD Group donated Chimamanda Ngozi Adichie’s inaugural children’s book, “Mama’s Sleeping Scarf,” to the students of Comenius Nursery and Primary School as part of the Street 2 School Initiative.

This collaboration underscores VFD Group’s resolute dedication to social impact and education, particularly in underserved communities.

The donation of 1,000 copies of “Mama’s Sleeping Scarf” aims to inculcate a love for reading and inspire young minds to explore limitless possibilities.

During the school visit, Ms. Elmer Aluge, VFD Group’s Soft Power Specialist, and Mr. Odudu Abasi-Okon, Strategy Officer of VFD Group Plc, joined forces with Dr. Eghosa Imasuen, director of Business Development at Narrative Landscape, to engage with the school’s administrators and students. Together, they shared stories, laughter, and the joy of discovering reading.

In a heartfelt address, Ms. Elmer Aluge urged the students to remain steadfast in their educational pursuits, emphasizing the power of reading.

She remarked, “Education is the key that unlocks endless opportunities. Let the pages of ‘Mama’s Sleeping Scarf’ kindle your imagination and propel you towards greatness.”

Moved by the students’ enthusiasm, Dr. Eghosa Imasuen expressed his admiration for their curiosity and promised to relay their gratitude to Chimamanda Adichie, whose work continues to inspire young minds across the globe.

The event concluded with a touching exchange of gratitude as students and teachers presented the VFD Team, Narrative Landscape Press, and Chimamanda’s Publicist with handmade thank-you cards and gift bags.

VFD Group remains steadfast in its commitment to nurturing future leaders and fostering positive change through initiatives that empower and uplift communities.

More about VFD Group:

• VFD Group is a proprietary investment company that focuses on building positive and socially conscious ecosystems by aggregating potentially viable businesses with the objective of creating innovative products and solutions that are accessible to the everyday Nigerian citizen and entrepreneur.
• It was founded by skilled professionals with diverse experiences, qualifications, and backgrounds.
• As a future-focused group, we have successfully transformed our investment approach from being a financial service-focused proprietary investment company to taking a sector-agnostic approach to investment with a focus on creating a global ecosystem through investments and collaborations in various businesses and sectors of the economy that will enhance our global footprint.

Their business combines digital services and infrastructure prioritizing technological innovation, and venture capital, and encompasses accelerator hubs, creative agencies, and business consultancy.

The Africa Technology Expo holding in Abuja &convened by Nnaemeka Clinton, CEO of Spark Africa alongside the S.A on ICT &Innovation to the Enugu State Government, Engr. Elvis Nwankwo is the largest tech gathering and in this edition, ATE will be hosting over 3,000 tech enthusiasts, founders, a large pool of VCs and Angel investors, big tech giants, Innovative hubs, and over 50 exhibiting companies.

It will support the Nigerian Startup Act, promote gender inclusiveness and innovation, and encourage local ideas and investments by Africans for Africans.

They are especially shining the light on local African innovative ventures and promoting collaboration within the Ecosystem.

Spark Africa also intend to bridge any knowledge gaps that might exist by bringing in Giants (Likes of Tomi Davis, US Consulate General, Obi Cubana, VFD group, Mastercard Foundation, UnlockAid, etc) with well over 10 years of verifiable success in their respective industries to invest in, inspire and empower them for the global market.

The 2023 Edition of the ATE uniquely focuses solely on promoting local content only, our indigenous startups coming up with unique solutions that are 100% uniquely evolved to address Nigeria’s problems and can’t afford to get a visa and showcase their startups at GITEX or headquarter their companies in San Francisco or California.

The Africa Technology Expo will hold on the 27th &28th of January, 2023 at the NAF Conference Centre, Abuja. The first day will be blockchain centric while the second day will be startup &talent-centric.

Get your tickets booking today on the official website or click www.africatechnologyexpo.com.

NFW is one of the largest gatherings of players in the fintech ecosystem in Nigeria as well as Africa and this edition will hold in a hybrid format which offers you the opportunities to attend physically or be a part of the event online.

You can register to attend the #NFW2022 here.

The Nigeria Fintech Week (#NFW2022) theme for this year is reflective of Deloitte’s Fintech Report which highlights customer inertia and infrastructure as one of the failings of the global fintech ecosystem.

The theme also speaks to the need to take on the issue of sustainable impact across sectors as the world finds its footing in the ‘next normal’.

In light of this, this year’s edition would practically touch on emerging technologies spanning different verticals and e-government in the African contexts.

The hybrid event which has Fintech Association of Nigeria, FintechNGR, and Fintech Associates Limited, as its organizing partners, is set to host about ten thousand attendees.

Some of the features of Nigeria Fintech Week which are applicable to businesses and professionals alike include opportunities to expand business & professional networks, interact and learn from top industry leaders & respected icons, and advance thought leadership.

The NFW team is also big on promoting emerging voices and experts, so you can send in your application if interested in being a part of the speaker line-up this year.

Other aspects of the event more particular to corporate brands are product acquisition/promotion, brand exposure & publicity, technology launches/showcase, fast-track customer acquisition, co-create solutions off the event, foster new B2B and B2C partnerships, as well as media interviews and appearances. For brand participation, you are encouraged to kindly send an expression of interest while slots are still open.

Other key features include TechSpark – a full-day hands-on session for students on deepening technical skills & tech-enabled businesses which will be held at select campuses, pavilions at the physical location in Landmark by international investors and embassies, as well as regulatory parleys and Ecosystem Hour.

The 2021 edition had over 8000 participants in attendance both online and physically from 20 countries and had notable highlights such as the launch of DigiStuds – a digital academy training project for undergraduates in Nigerian universities, Ecosystem Hour with representatives from other local/regional ecosystem bodies, and a mini TechSpark.

It also had practical sessions on NFTs, Disruption Disrupted, discourses on fintech in the capital market, femtech, payments and a lot more.

Past editions of the Nigeria Fintech Week had given birth to Fintech Association of Nigeria, the umbrella body for about 300 players in the Fintech space from the twenty-one sectors of the economy, the Africa Fintech Network, the body of thirty-two national Fintech Associations across Africa, Fintech Adoption Roadmap Policy in the Capital Market, helped young startups to launch out and scale up, rallying point on regulatory issues amongst others. 

Some of the sponsors at NFW2021 include Zenith Bank, Mastercard, Ecobank, Aella, Access Bank, Unified Payments, TeamApt, VFD Group, Softalliance, CreditRegistry, Jackson, Etti & Edu, FastCredit, AELEX,Coinnews, DLM, Odua Investment Company Limited,  AppZone and numerous product exhibitors, in addition to ecosystem/media partners like NIBSS, NCC, TechEconomy.ng, Proshare, Nairametrics.