Sterling Hits ₦153bn Capital Milestone as CBN Confirms Full Recapitalisation of Sterling Bank & AltBank
The Big Announcement
The Central Bank of Nigeria (CBN) has officially validated the full recapitalisation of:
• Sterling Bank Plc
• The Alternative Bank (AltBank)
Both subsidiaries of Sterling Financial Holdings Company Plc are now fully compliant with the revised minimum capital requirements.
The capital programme was completed well ahead of the 2026 regulatory deadline.
How Sterling Raised the Capital
Sterling executed a multi-stage capital raise between December 2024 and October 2025.
₦75bn Private Placement (December 2024)
• Net proceeds: ₦73.86bn
• ₦68.8bn allocated to Sterling Bank
• ₦5bn allocated to The Alternative Bank
This strengthened both conventional and non-interest banking arms.
₦28.79bn Rights Issue
• Oversubscribed by ₦10.29bn
•
₦26.639bn approved and allotted
• Oversubscription restructured into a private placement
This enabled AltBank to meet capital requirements for non-interest banks with national licences.
₦88bn Public Offer (October 2025)
• Also oversubscribed
• ️ SEC approved allotment of 13.81 billion shares
• CBN cleared ₦96.69bn for recognition as additional capital
Total Capital Injection
In total:
₦153 billion was injected into Sterling Bank and AltBank.
Both institutions are now fully recapitalised.
The Group is ahead of the industry-wide compliance deadline.
️ Why This Matters
The revised capital requirements aim to:
• ️ Strengthen banking sector stability
• Enhance lending capacity
• Improve shock absorption
• Support long-term economic growth
Sterling’s early compliance reduces regulatory risk and strengthens investor confidence.
Strategic Advantage: Dual-Bank Structure
Sterling operates:
• A conventional commercial bank (Sterling Bank)
• A non-interest bank (AltBank)
Full recapitalisation reinforces this dual structure, allowing the Group to:
• Expand credit responsibly
• Serve broader customer segments
• Deploy capital efficiently
• Maintain resilience in a tough macro environment
What This Signals to the Market
Strong Investor Confidence
All capital programmes were oversubscribed — a sign of solid market trust.
Lending Capacity Expansion
Higher capital base means:
• Increased risk-taking ability
• Potential growth in loan book
• Stronger revenue opportunities
Competitive Positioning
Banks that recapitalise early can:
• Focus on growth
• Avoid last-minute capital pressure
• Capture market share
InvestingPort Insight
Recapitalisation is not just regulatory compliance.
It is about:
Balance sheet strength
Lending headroom
Market credibility
Long-term sustainability
The key question now becomes:
Can Sterling translate stronger capital into stronger earnings growth and improved return on equity?
Because ultimately, capital strength must drive profitability — not just regulatory comfort.
The Big Announcement
The Central Bank of Nigeria (CBN) has officially validated the full recapitalisation of:
• Sterling Bank Plc
• The Alternative Bank (AltBank)
Both subsidiaries of Sterling Financial Holdings Company Plc are now fully compliant with the revised minimum capital requirements.
The capital programme was completed well ahead of the 2026 regulatory deadline.
How Sterling Raised the Capital
Sterling executed a multi-stage capital raise between December 2024 and October 2025.
₦75bn Private Placement (December 2024)• Net proceeds: ₦73.86bn
• ₦68.8bn allocated to Sterling Bank
• ₦5bn allocated to The Alternative Bank
This strengthened both conventional and non-interest banking arms.
₦28.79bn Rights Issue• Oversubscribed by ₦10.29bn
•
₦26.639bn approved and allotted• Oversubscription restructured into a private placement
This enabled AltBank to meet capital requirements for non-interest banks with national licences.
₦88bn Public Offer (October 2025)• Also oversubscribed
• ️ SEC approved allotment of 13.81 billion shares
• CBN cleared ₦96.69bn for recognition as additional capital
Total Capital Injection
In total:
₦153 billion was injected into Sterling Bank and AltBank. Both institutions are now fully recapitalised. The Group is ahead of the industry-wide compliance deadline.️ Why This Matters
The revised capital requirements aim to:
• ️ Strengthen banking sector stability
• Enhance lending capacity
• Improve shock absorption
• Support long-term economic growth
Sterling’s early compliance reduces regulatory risk and strengthens investor confidence.
Strategic Advantage: Dual-Bank Structure
Sterling operates:
• A conventional commercial bank (Sterling Bank)
• A non-interest bank (AltBank)
Full recapitalisation reinforces this dual structure, allowing the Group to:
• Expand credit responsibly
• Serve broader customer segments
• Deploy capital efficiently
• Maintain resilience in a tough macro environment
What This Signals to the Market
Strong Investor ConfidenceAll capital programmes were oversubscribed — a sign of solid market trust.
Lending Capacity ExpansionHigher capital base means:
• Increased risk-taking ability
• Potential growth in loan book
• Stronger revenue opportunities
Competitive PositioningBanks that recapitalise early can:
• Focus on growth
• Avoid last-minute capital pressure
• Capture market share
InvestingPort Insight
Recapitalisation is not just regulatory compliance.
It is about:
Balance sheet strength Lending headroom Market credibility Long-term sustainabilityThe key question now becomes:
Can Sterling translate stronger capital into stronger earnings growth and improved return on equity?
Because ultimately, capital strength must drive profitability — not just regulatory comfort.