Shareholders of Unity Bank PLC NGX: UNITYBNK) have approved a scheme of merger with Providus Bank Limited, marking a significant consolidation in Nigeria’s banking sector.
The resolutions were passed during a court-ordered general meeting held on September 26, 2025, at the OOPL Hotel in Abeokuta, Ogun State, as reported by Investogist.
The merger, detailed in a scheme document received a formal endorsement from the meeting’s chairman.
Under the approved terms, Unity Bank’s assets, liabilities, undertakings, real properties, intellectual property rights, and other interests will be transferred to Providus Bank without further legal actions once the scheme takes effect.
Shareholders will receive compensation based on their holdings: either N3.18 per share in cash or an exchange of 18 ordinary shares in Providus Bank (each valued at N0.50 and credited as fully paid) for every 17 ordinary shares held in Unity Bank.
Following the merger, Unity Bank’s share capital will be canceled, and the bank will be dissolved without winding up.
Providus Bank’s certificate of incorporation will govern the combined entity, with ongoing legal proceedings transferred to Providus Bank.
The resolutions authorize Unity Bank’s directors and solicitors to seek court approval and address any regulatory requirements from the Securities and Exchange Commission (SEC) and the Central Bank of Nigeria (CBN).
This strategic move aims to create a stronger “Enlarged Bank” under Providus Bank’s leadership, potentially enhancing competitiveness.
Industry analysts, as noted by Investogist, view this as a potential trendsetter for further consolidations, pending court sanction and regulatory clearances.
Administrator and Writer
