NOVA Bank has applied to the Central Bank of Nigeria (CBN) for a reclassification of its license from a national to a regional commercial banking license, as part of a broader restructuring strategy aimed at enhancing operational efficiency and focused market growth.

The bank disclosed the move on Monday, noting that the decision was taken following a review of its capital deployment plans and in response to the CBN’s revised recapitalisation guidelines issued in March 2024.

According to the bank’s Acting Managing Director/Chief Executive Officer, Mrs. Chinwe Iloghalu, the application for a regional license is in line with the institution’s intention to optimise its resource use while expanding strategically within selected markets.

“Given the Bank’s current stage of growth, we have chosen the prudent route to optimise what we need, grow efficiently, and scale sustainably,” she said. “This is a major strategic positioning that will ensure continued efficiency in the deployment of assets and resources.”

NOVA Bank also announced plans to open three additional branches in Abuja, Owerri, and Port Harcourt in the coming weeks. The bank said the expansion is intended to improve access to its services while continuing investments in digital banking to ensure secure and convenient service delivery.

The management noted that the shift in licensing structure will allow the bank to consolidate its presence in regions where it has already built strong relationships, without diluting its service quality or innovation agenda.

As part of its recapitalisation efforts, NOVA’s shareholders are backing a proposed injection of N24 billion via a rights issue to meet and exceed the new minimum capital threshold for regional banks ahead of the 2026 CBN deadline.

“Indeed, our shareholders have shown strong commitment to ensuring full capitalisation through rights issue by injection of additional N24 billion before end of 2025,” Iloghalu said.

The bank’s Chairman, Mr. Phillips Oduoza, reaffirmed NOVA’s long-term commitment to its strategic goals. He expressed appreciation for the support of stakeholders, including customers, shareholders, and regulators.

In a separate development, Global Credit Rating (GCR) recently reaffirmed NOVA’s BBB rating with a Stable Outlook, highlighting the bank’s strong liquidity position, improved earnings, and sound asset quality.

The bank’s audited financial results for 2024 showed a year-on-year profit before tax growth exceeding 200 percent, alongside broader improvements across key financial metrics. The bank said these results reflect the effectiveness of its organic growth strategy and prudent capital management.