By Chukwuma Umeorah
Unity Bank Plc has clarified that the Asset Management Corporation of Nigeria’s (AMCON) 34 per cent equity stake in the bank was acquired by an existing shareholder, not by Providus Bank Limited, which is currently pursuing a merger with the lender.
The clarification, issued at a court-ordered shareholders’ meeting on Friday, followed reports suggesting that Providus Bank had purchased the stake in a N6.5 billion transaction involving more than four billion Unity Bank shares.
According to Unity Bank, the transaction was executed on the Nigerian Exchange Limited (NGX) on September 25, 2025, immediately after the lifting of the suspension on its shares. “The shares were acquired by an existing shareholder of the bank, not by Providus Bank Limited, which is currently pursuing a merger with Unity Bank,” the bank said in a statement.
At the meeting, shareholders overwhelmingly endorsed the merger scheme with Providus Bank. Out of 295 shareholders who participated, 293 representing 99.32 per cent of the total shareholding valued at N4.4 billion voted in favour of the resolutions.
Under the terms of the deal, Unity Bank shareholders will either receive a cash consideration of N3.18 per share or opt for share allotment, where every 17 Unity Bank shares will be exchanged for 18 ordinary shares of N0.50 each in Providus Bank, credited as fully paid. Upon completion, Unity Bank’s entire share capital will be cancelled, and the bank dissolved without winding up, with Providus Bank emerging as the surviving entity.
The bank added that the merger is expected to reshape its banking landscape, combining Unity Bank’s nationwide branch network with Providus Bank’s digital banking expertise and customer-focused services.
Chairman of Unity Bank Plc, Hafiz Mohammed Bashir, described the developments as a milestone for the sector. “The acquisition of AMCON’s 34 per cent stake by an existing shareholder further strengthens confidence in Unity Bank’s future. Alongside the merger with Providus Bank, this marks the beginning of a new chapter that will deliver greater value to shareholders, customers, and the Nigerian economy,” he said.
Shareholders also authorised the bank’s directors and solicitors to secure all court and regulatory approvals necessary for the smooth implementation of the merger.
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