The past couple of months has been replete with one bank public offer or another; from 1st bank, to UBA, to Access, to Oceanic, to Fidelity, FCMB and now Afribank, even GT did a GDR offer. we are also aware that more are around the corner.
My concern is not about them getting more funds, but what are they really going to do with these monies?
Bankers and analysist in the house, whats up? Am worried1

I learnt from a stock broker friend that Soludo has instructed them that they must have issued out their IPOs before the end of the year.

They are going to the market to mop up more funds for the long haul to a developed Sub Saharan Economy. They need to devise ways of mopping more and more including the one you not yet earned in order for Nigerian Banks to get to the same footing with regards to share holder funds like their South African counterparts. Also they need it if the good dream of Soludo with respect to the AFC (Africa Finance Corporation) is to make impact in bridging the Funding Gap for developing the economies of Sub-Saharan Africa. Take Lagos State the Punch published on line that investing N2 in Lagos mass transport can yield N1 every year. If Nigerian Banks are big there is lots of Money to be made. Zenith is the fastest in the race at the moment with its third fund raising trip.

Babs o
Thanks for the detailed insight, its just that it doesnt come across to me that they are very well positioned, i believe you have to plant the corn long before the chicken becomes hungry.
For me i see a lot of retail and short term financing, to buy cars, home aplliances etc.
must they wait until they get all this monies come in before chatting courses for this more long term financing that will give biorth to more Dangotes and a much need boom in the real sector?
i think the time to show that committment is now, or else, they will end up with more money and nothing to do with it.

Akenmi,

Take Bagco IPO that just opened Zenith has underwritten 80% of it on a firm committment basis. The IPO will be used to fund outstanding loans of Bagco says the dailies. Some Banks will definitely end up funding big projects that will become successful. First Bank Funded Obajana Cement. Some banks may end up coasting. However the main determinant on their success is good government and rule of law. I like your quote on you don't plant corn when it is required to be eaten but long before that.