Zenith Bank makes N20bn profit in 6 months

08.01.2008

Zenith Bank Plc has announced remarkable gross earnings of N57.58 per cent for the half year ending December 31, 2007, underscoring the bank’s growing share of the industry business.

The unaudited half year results, announced in Lagos on the floor of the Nigerian Stock Exchange, also showed profit before tax of N20.14 billion, amounting to a 57 per cent increase over the N12.83 billion recorded for the same in the previous year.

The results equally showed that profit after tax rose by a remarkable 66 per cent from N9.47 billion recorded the previous year to N15.71 billion for the period under review.

The bank is presently in the market to raise N130 billion in a hybrid offer through the offer for subscription of 1,763, 000, 000 ordinary shares of 50 kobo each at N38.90 and a rights issue of 1,654,557,911 shares at N36.90.

The rights issue is coming at a discount of at least N9.19 per share while the public offer has a discount of N7.19, factors that analysts say have produced positive market reaction since the bank’s offer opened on December 6.

The bank’s stock last traded for N46.09 before the statutory announcement at the Nigerian Stock Exchange (NSE) for the offer. Zenith Bank shares have long been coveted by investors who desire consistent and stable returns on their investments.