Wema Bank, partly owned by Kessington Adebutu, gets approval for $34 million raise

Wema Bank, partly owned by Nigerian gambling magnate Kessington Adebutu, has received regulatory approval for a N50 billion ($34.1 million) private placement, the lender confirmed Thursday. The move raises Wema’s qualifying capital to N264.87 billion ($180.7 million), comfortably above the Central Bank of Nigeria’s threshold of N200 billion ($136.5 million). 

The bank said the private placement was fully subscribed, signaling strong investor confidence. Wema Bank, which holds a national banking license, is expected to fully meet the central bank’s capital requirement by March 2026. Managing Director and Chief Executive Officer Moruf Oseni described the approval as a milestone for the bank.

“We are delighted to have received all necessary regulatory approvals for our N50 billion ($34.1 million) special placement,” Oseni said. “This step strengthens our capital base, enhances liquidity, and positions Wema Bank to seize emerging opportunities while continuing to serve our customers effectively. We are grateful for the confidence of our shareholders, regulators, and clients as we advance our growth agenda.”

Funds to support digital expansion and lending growth

The bank said proceeds from the capital raise will support its digital transformation, expand reach across retail, SME, and corporate clients, and increase lending capacity to productive sectors of the Nigerian economy. 

“It will also fund technology upgrades and staff development, improving operational efficiency and service delivery,” the statement added. “Wema Bank remains committed to creating value for shareholders, delivering innovative financial solutions to customers, and contributing to Nigeria’s economic growth and financial inclusion objectives.”

Strong shareholder support

Founded more than 80 years ago, Wema Bank has modernized operations through its ALAT digital banking platform, which has gained traction with younger customers. Adebutu holds a 28.26 percent stake in Wema through his company, Neemtree, while his daughter, Abolanle Matel-Okoh, owns 4.54 percent. 

The latest private placement follows a N150 billion ($102.4 million) rights issue completed in September 2025 and a N157 billion ($107 million) capital raise in August, clearing significant hurdles in the bank’s recapitalization drive.