Union bank

Facts and figures: how Titan Bank compares to Union Bank

Union Bank, one of Nigeria’s oldest and most respected banks, is set to be taken over by Titan Trust Bank, a bank established two years ago with a balance sheet well below its target.

As reported by Nairametrics, the acquisition is being made through an offer to sell which will see the majority owners of Union Bank Plc cede all of their holdings which would be around 90% to Titan Trust Bank.

We recently published an exclusive revealing the people behind Titan Trust Bank, their shareholders and related parties. In the continuity of our deep dive into what promises to be a historic agreement in 2021.

Total size of the balance sheet

  • Titan Bank 136.3 billion naira
  • Union Bank 2.19 trillion naira as of December 2020 and is currently 2.56 trillion naira based on its 9-month interim results.
  • Thus, Union Bank is 18.8 times the size of Titan Bank.

Shareholders’ funds

  • Titan Trust Bank – 32.9 billion naira
  • Union Bank – N264.6 billion
  • Union Bank is 8 times larger in terms of net assets.

Customer deposits

  • There can be no bank without customer deposit, even if you are a two year old bank like Titan Bank.
  • Titan Trust Bank – 85.9 billion naira
  • Union Bank – 1.1 trillion naira in December 2020 (1.2 trillion naira in September 2021).
  • Multiple – Union 12.8 times larger than TTB when it comes to customer deposits

Loans and advances

  • Titan Trust Bank – 38.9 billion naira
  • Union Bank – N692.8 billion (N809.1 billion as of September 2021)

Number of heads

  • Titan Trust Bank – 110
  • Bank of the Union – 2,342

Bank branches

  • Titan Trust Bank – 6 branches nationwide (4 in Lagos)
  • Union Bank – 293 branches nationwide


  • Titan Trust Bank – 12
  • Union Bank – 937 and above

Key factors

As expected, Union Bank is a much larger bank having been in business for much longer than TTB. However, when it comes to acquiring a business, age or number of years of operation is not the most important factor.

Cash – The amount of money that Titan Bank’s donors can put on the table for the acquisition of Union Bank will be one of the determining factors. It is very likely that this will be a 100% cash deal paid to majority Union Bank owners who divest.

Regulators – We do not envision regulatory issues with a transaction of this nature for a number of reasons. First, the fact that Titan Bank is a much smaller bank swallowing a much larger bank will not be considered anti-competitive. Rather, it will be seen as an opportunity to have another strong contender on the scene to take on the biggest Tier 1 and Tier 2 banks.

Staff – Mergers, acquisitions and acquisitions are often viewed with skepticism because of what they could mean for employees. However, since Titan Trust Bank is much smaller than Union Bank, we don’t expect layoffs or massive payouts. Most Union Bank employees will be retained for at least the medium to long term.

bailout – Regulators like CBN will always welcome new investors taking over a bank that wants to be sold by its main owners. This relieves the CBN of any need to fill this gap if shareholder challenges begin to negatively impact the bank’s progress towards restructuring.

Synergies – This acquisition will also bring cost synergies, in particular for the purchaser TTB. By buying into a large established bank like Union Bank, it will achieve a huge level 2 bank status within a year, which could have taken up to a decade to achieve if it were to recapitalize TTB with the same amount of shares. capital like Union Bank. They also won’t need to start opening new branches, investing in untested technology, opening new ATMs, etc.