The Corporate Affairs Commission has issued guidelines for recapitalisation of banks and other financial institutions.
Recapitalisation is the process of infusing funds into banks to enable them to meet the mandatory capital adequacy set by a central bank.an upward review of the minimum capital requirements for commercial, merchant and non-interest banks.CBN said the increase was necessary due to prevailing macroeconomic challenges and headwinds occasioned by external and domestic shocks.
“Certificate of incorporation shall be issued within 24 hours for applications that satisfy all requirements for incorporation of companies prescribed in the Commission’s Operations Checklists available atFor an increase in share capital , CAC required a duly signed company resolution, return of allotment, a statutory declaration by directors verifying that the issued share capital is fully paid- up, and a notice of the fact that regulatory approval is required.
According to CAC, a notice of the fact that regulatory approval is required and must be filed by the provisions of Section 127 , & of CAMA, an annual returns and information on persons with significant control, must be filed up-to-date, and a certificate of increase shall be issued within 24 hours of filing of regulatory approval.