Unity, Providus Banks merger gains momentum with strong shareholders’ backing – Report

The proposed merger between Unity Bank Plc and Providus Bank Limited is progressing steadily and remains firmly on track, following overwhelming shareholder approval and key regulatory clearances.

The transaction, which has received full endorsement from the Central Bank of Nigeria (CBN) and a “no objection” from the Securities and Exchange Commission (SEC), is widely seen as one of the most significant steps in meeting the apex bank’s recapitalisation requirements within the stipulated timeline.

Analysts note that the CBN’s financial accommodation and regulatory support underscore the merger’s strategic importance in strengthening Nigeria’s banking sector, enhancing capital adequacy, and reducing systemic risks.

The combined entity now boasts a capital base exceeding ₦200 billion — comfortably above the minimum threshold required to maintain a national banking licence under the CBN’s recapitalisation framework.

Shareholders of both institutions formally approved the scheme of merger at their respective Extraordinary General Meetings held in September 2025. Integration activities are currently underway, with final court sanction expected to complete the process.

Unity Bank Managing Director and Chief Executive Officer, Ebenezer Kolawole, described the development as a defining moment for the institution.

“This milestone underscores our commitment to building a stronger, more resilient bank that can deliver greater value to our customers and stakeholders,” Kolawole said. “The merger with Providus Bank significantly enhances our capital base, operational capacity, and strategic positioning. We are confident that the combined institution will be better equipped to support economic growth and deliver innovative financial solutions across Nigeria.”

The bank also addressed recent media reports suggesting delays, clarifying that the transaction is advancing smoothly and that remaining steps are largely formalities.

When finalised, the Unity-Providus merger is expected to create a more competitive, customer-focused financial institution with greater scale, innovation, and reach — particularly in retail and SME banking — positioning it to play a stronger role in Nigeria’s evolving financial landscape.

The post Unity, Providus Banks merger gains momentum with strong shareholders’ backing – Report appeared first on Vanguard News.