Sterling Financial Holdings Completes Share Reconstruction

Sterling Financial Holdings Company Plc has successfully completed a 1-for-10 share reconstruction and resumed trading on the Nigerian Exchange at a reference price of N77.00, up from N7.70 prior to the exercise. The company's market capitalization remains unchanged at about N527.5 billion.

This reconstruction was approved by shareholders at the company's Annual General Meeting, supported by a High Court order and a no-objection from the Securities and Exchange Commission. On October 8, 2026, the Nigerian Exchange delisted Sterling’s 68.50 billion existing ordinary shares and listed 6.85 billion reconstructed shares.

The consolidation reduced the total outstanding shares by 90%, while the share capital declined from N34.25 billion to N3.43 billion. Cowry Asset Management Limited cautioned investors that the adjusted price should not be seen as an increase in shareholder wealth, as the overall investment value remains unchanged.

The reconstruction was first presented to shareholders ahead of the June 9 Annual General Meeting, and analysts noted that such exercises do not inherently improve a company's financial position.