Titan Trust Bank Acquires 89.39% of Union Bank of Nigeria Shares
Union Bank of Nigeria (UBN) board of directors today announced that it has received a notification of an agreement by Union Global Partners Limited, Atlas Mara Limited and other majority shareholders to divest shareholding in Union Bank to Titan Trust Bank.
The bank hinted about the development in a notification submitted to the regulators. Under the agreement, majority shareholders in Union Bank transfer an aggregate of 89.39% of the issued share capital of Union Bank held to Titan Bank. The acquisition allows Titan Bank to consolidate Union Bank as its subsidiary.
However, according to Union Bank, the completion of the transaction is subject to obtaining applicable regulatory approvals and the fulfilment of certain conditions precedent.
Commenting on the transaction, the Chairman, Union Bank, Mrs. Beatrice Hamza Bassey said: “On behalf of the Board, we congratulate all the parties involved in reaching this phase of the transaction and the Board looks forward to supporting the next steps to ensure seamless completion of the process following regulatory approvals.
“We are grateful to our investors whose significant and consequential investments over the past nine years facilitated the transformation of Union Bank, one of Nigeria’s oldest and storied institutions. Today, the bank is well-positioned with an innovative product offering, a growing customer base of over six million and consistent year on year profitability.
“This is a solid foundation for our incoming investors to build on as we move into a new era for the bank.”
According to the chairman, Titan Trust Bank, Mr. Tunde Lemo, OFR: “The Board of Titan Trust Bank and our key stakeholders are delighted as this transaction marks a key step for Titan Trust in its strategic growth journey and propels the institution to the next level in the Nigerian banking sector.
“The deal represents a unique opportunity to combine Union Bank’s longstanding and leading banking franchise with TTB’s innovation-led model which promises to enhance the product and service offering for our combined valued customers.” He said.
Commenting on the development, Chief Executive Officer, Union Bank, Mr. Emeka Okonkwo said, “This transaction marks a significant milestone in the journey of our 104-year old Bank.
“Whilst thanking our current investors for their unwavering commitment to the Bank over the years, we welcome our new core investor, TTB. We recognize the strategic fit between the two institutions and expect that this deal will deliver the best outcome for our employees, customers and stakeholders. We look forward to collectively writing the next exciting chapter for Union Bank”.
On his part, Chief Executive Officer, Titan Trust Bank, Mr. Mudassir Amray said: “After completing over two years of operations with aggressive organic growth, we are excited to have an opportunity for a significant leap forward in market share.
“UBN’s widespread presence, state of the art technology platform, quality staff and strong brand loyalty fits well with our synchronized modular strategy. We look forward to delivering superior results for the benefit of our staff, customers, shareholders, and stakeholders.”
Rothschild & Cie acted as financial adviser and White & Case LLP and Banwo & Ighodalo acted as legal advisers respectively, to the selling shareholders of Union Bank, while Citigroup Global Markets Limited also acted as a financial adviser, Pricewaterhouse Coopers as due diligence partner, Norton Rose Fulbright LLP, Drew Law Practise and G. Elias & Co. acted as legal advisers respectively to TTB.
# Titan Trust Bank Acquires 89.39% of Union Bank of Nigeria Shares >>> Read Also: Union Bank sells UK Subsidiary to consolidate growth in Nigeria
