FIDELITY Bank Plc has entered into a binding agreement for the acquisition of a 100 per cent equity stake in Union Bank United Kingdom (UK) Plc.
The Fidelity Bank management said the Central Bank of Nigeria (CBN) had issued a letter of ‘No Objection’ to the plan, according to a regulatory filing, dated August 30, 2022, that the bank posted today on the Nigerian Exchange Group (NGX).
The bank’s Managing Director/Chief Executive Officer, Mrs Nneka Onyeali-Ikpe, described the transaction as aligning with its goals.
Onyeali-Ikpe said, “This transaction aligns with our strategic plan of expanding our service touchpoints beyond the Nigerian market and providing straight-through services that meet and exceed the needs of our growing clients.
“The diverse service bouquet and business model of Union Bank UK offered a compelling synergy, and we hope to build on the existing capacity to create a scalable and more sustaining service franchise that will support the wider ecosystem of our trade businesses and diaspora banking services.”
The transaction is subject to the approval of the Prudential Regulatory Authority (PRA) of the United Kingdom.
The ICIR reported on May 31, 2022, that Titan Trust Bank (TTB) had completed the process of acquiring majority shareholding in Union Bank of Nigeria (UBN) Plc.
The acquisition will give TTB up to a controlling 89.39 per cent equity stake in the first generation bank.
The chairman of the Union Bank Board, Beatrice Hamza Bassey, had so commented, “Earlier today, we reached a significant milestone with the completion, after regulatory approvals, of the epoch-making transaction announced in December 2021 between the Bank’s core shareholders and Titan Trust Bank.
“As is normal for transactions such as this, the current board and CEO Mr. Emeka Okonkwo, retired and handed over the reins of the bank to a new Board, and to Mr. Mudassir Amray as the new Chief Executive Officer. The entire board congratulates the parties on this landmark transaction.”
Union Bank UK commenced operations from the heart of the City of London in 1983 to provide competitive banking services, including personal banking, trade finance, treasury management, and structured trade and commodity finance, to individual and corporate clients.