Union bank

Titan Trust Bank acquires majority stake in Union Bank

Titan Trust Bank Limited (TTB) has acquired significant stakes in Union Bank of Nigeria Plc.

Somuyiwa Sonubi, secretary of Union Bank, revealed this in a statement published Thursday on the Nigerian Exchange Limited (NGX).

According to the statement, Union Global Partners Limited, Atlas Mara Limited and other existing shareholders have agreed to divest 89.39% of their stake in Union Bank to TTB.

The Board of Directors of Union Bank of Nigeria Plc explained that the transaction, which is subject to regulatory approvals and other financial conditions, would, when completed, result in the transfer of 89.39% of the share capital issued from Union Bank to TTB.

Commenting on the transaction, Beatrice Hamza Bassey, President of Union Bank, said, “On behalf of the Board of Directors, we congratulate all parties involved in reaching this milestone. of the transaction and the Board of Directors looks forward to supporting the next steps to ensure a seamless completion of the process following regulatory approvals.

“We are grateful to our current investors whose large and consistent investments over the past nine years have facilitated the transformation of Union Bank, one of Nigeria’s oldest and most legendary institutions.

“Today, the bank is well positioned with an innovative product offering, a growing customer base of over six million and consistent year-over-year profitability.

“This is a solid foundation for our new investors to build on as we enter a new era for the bank.”

Tunde Lemo, Chairman of Titan Trust Bank, said, “Titan Trust Bank’s Board of Directors and our key stakeholders are delighted as this transaction marks a key milestone for Titan Trust in its strategic growth journey and propels the institution forward. at the top level in Nigeria. banking sector.

“The agreement represents a unique opportunity to combine Union Bank’s leading and long-standing banking franchise with TTB’s innovation-driven model, which promises to enhance the product and service offering for our valued customers. combined.”

Reacting to the development, Emeka Okonkwo, CEO of Union Bank, described the divestment as “an important step in the journey of our 104-year-old bank”.

“While thanking our current investors for their unwavering commitment to the Bank over the years, we welcome our new lead investor, TTB,” he added.

“We recognize the strategic fit between the two institutions and hope this agreement will deliver the best outcome for our employees, customers and stakeholders. We look forward to collectively writing the next exciting chapter for Union Bank.

Mudassir Amray, Managing Director of Titan Trust Bank, said, “After more than two years of operating with aggressive organic growth, we are delighted to have the opportunity to significantly increase our market share.

“UBN’s extensive presence, cutting-edge technology platform, quality people and strong brand loyalty fit well with our synchronized modular strategy. We look forward to delivering superior results for the benefit of our people, customers, shareholders and stakeholders. »

The deal will see Atlas Mara give up one of its strong subsidiaries in Africa.

Last year, the financial services group announced plans to exit African markets, seeking partners and investors to take its stake. Access Bank, Nigeria’s largest bank by customer base, had acquired some of the Atlas Mara active in Botswana, Zimbabwe and Zambia.

With the announcement, Union Bank led the winners in the Nigerian Stock Exchange, gaining 9.78% to close at 5.05 naira per share.