The Business of Making Capital Move: Coronation Merchant Bank’s Investment Banking Year
AI Executive Briefing
Gemini Flash AI~45s readCoronation Merchant Bank navigated a complex 2026 Nigerian financial landscape by pivoting toward market-driven capital raising and executing landmark deals like the Dangote Refinery public offer. The bank successfully managed a high volume of mandates, emphasizing advisory rigor and structural alignment to meet the needs of both issuers and institutional investors.
Context & Background
- ✦Nigeria's funding environment is characterized by expensive capital and a reliance on domestic institutional investors like pension funds and banks.
- ✦The market is undergoing structural modernization, including the adoption of T+1 settlement cycles and reclassification to Frontier Market status, intended to improve accessibility.
Key Figures & Named Entities
•Taiwo Olatunji, Group Head of Investment Banking at Coronation Merchant Bank, oversees the firm's mandate execution and strategy.•The Dangote Refinery public offer involved 4.1 billion ordinary shares priced at N525 each, totaling N2.15 trillion.
Outlook & Next Steps
For 2027, the bank anticipates continued activity in debt transactions and selective equity deals, with a strategic focus on the more complex and detailed requirements of infrastructure finance.
Key Takeaways
AI Summary- Coronation Merchant Bank managed over 30 investment banking mandates in 2026, with expectations to exceed 40 by year-end, signaling a shift toward market-driven financing rather than regulatory-led recapitalization.
- The N2.15 trillion Dangote Refinery public offer served as the year's headline transaction, marking a significant milestone as the first petroleum refinery offered to investors on the Nigerian Exchange.
- Market infrastructure improvements, including the T+1 settlement cycle and Nigeria's reclassification to Frontier Market status by FTSE Russell, are aimed at enhancing efficiency and attracting sustained investment flows.
Key Facts:1 June 2026: Eligible equities transactions transitioned to a T+1 settlement cycle.27 October 2026: The Dangote Refinery and Petrochemicals public offer, valued at N2.15 trillion, officially closed.21 September 2026: FTSE Russell's reclassification of Nigeria to Frontier Market status was scheduled to proceed.
Editorial Excerpt
In a market balancing expensive funding with renewed demand for capital, Coronation Merchant Bank’s 2026 experience offers a view of how Nigerian
Frequently Asked Questions About This Story
How has the nature of capital raising in Nigeria changed in 2026?
The market has shifted from regulatory-driven recapitalization toward businesses proactively seeking capital to meet their own expansion, refinancing, and diversification needs.
What does Taiwo Olatunji identify as the primary causes of transaction failure?
He identifies two recurring points of failure: a misunderstanding of the client’s actual requirements and the creation of financial structures that do not align with investor portfolios.
