Fidelity acquisition: Union Bank UK not part of Titan Trust’s deal with Union Bank Nigeria
Contrary to reports in some sections of the online media, Union Bank UK which Fidelity Bank Plc announced that it has reached an agreement to acquire, is not part of Union Bank of Nigeria Plc recently acquired by Titan Trust Bank (TTB) Limited.
Recall that earlier in the year, Titan Trust Bank (TTB) through its parent company, Tropical General Investments Limited (TGI Group), completed the acquisition of Union Bank of Nigeria, as part of its ambitious plan of building a strong Tier-1 brand capable of taking up a larger market share in the country and the larger continent.
The deal, regarded as one of the largest acquisition deals in the history of Nigeria’s banking industry, with an off-market deal worth N191 billion, has since positioned the lender to compete with other long-standing and well-rooted Nigerian banks.
The shares of Union Bank of Nigeria have been transferred to its owners, TGI Group.
Findings by Daily Global Newspaper however, reveal that the ownership transfer excludes Union Bank UK, a former subsidiary of Union Bank of Nigeria Plc.
Fidelity Bank had on Tuesday, announced its proposed acquisition of Union Bank UK, a former subsidiary of Union Bank of Nigeria, as part of its expansion plans.
In a regulatory filing issued to the Nigeria Exchange (NGX), the bank stated that it has entered into a binding agreement for the acquisition of 100% equity stake in Union Bank United Kingdom Limited, for which the Central Bank of Nigeria has issued a letter of “No Objection”.
The transaction is however subject to the approval of the United Kingdom’s Prudential Regulatory Authority (PRA).
