Fidelity acquisition: Union Bank UK not part of Titan Trust’s deal for Union Bank Nigeria
Contrary to reports in some sections of the media, Union Bank UK, which Fidelity Bank announced it has reached an agreement to acquire, is not part of the Union Bank of Nigeria, recently acquired by Titan Trust Bank (TTB).
Recall that earlier in the year, TTB, through its parent company, Tropical General Investments Group (TGI Group), completed the acquisition of Union Bank of Nigeria as part of its plan to build a strong Tier-1 brand capable of taking up a larger market share in Nigeria and Africa.
The deal, regarded as one of the largest acquisition deals in the history of banking in Nigeria, with an off-market deal worth ₦191 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 also been transferred to its owners, TGI Group.
Findings, however, reveal that the ownership transfer excludes Union Bank UK, a former subsidiary of Union Bank of Nigeria.
Fidelity Bank announced on Tuesday its proposed acquisition of Union Bank UK 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 a 100 per cent equity stake in Union Bank UK 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).