FBNHoldings (previously FirstBank) commenced a USD100 million GDR programme in May 2007.
A global depositary receipt (GDR) is a negotiable certificate representing ownership of shares. It is held by a depositary bank and represents a specific number of shares of a stock traded on a stock exchange of many countries. GDRs are quoted, traded and dividends usually paid in US dollars. GDRs facilitate the trading and holding of non-US securities by foreign investors.
At inception of the programme, 7,700,400 units were created, with each unit represented by 50 units of FirstBank ordinary shares. Over the years, several investors in the programme have converted their holdings in GDR to nominal FBNHoldings shares for the purpose of trading in the Nigerian equity capital market. Currently, there are 3,754 units outstanding.
On 26 November 2012, FBNHoldings was listed on the Nigerian Stock Exchange, replacing FirstBank, and the existing shareholders in FirstBank exchanged ordinary shares in FBNHoldings equal to the number of shares held in FirstBank.
As at 31 December 2014, the closing price of the GDR at the over-the-counter (OTC) market was USD2.40.