Existing Shareholders retain 21 per cent of Union Bank

// Biz | Existing Shareholders retain 21 per cent of Union Bank
Email to a friend Plain text Print version // Font size: Decrease font Enlarge font

Existing shareholders of Union Bank will still retain 21 percent of the entity at the conclusion of ongoing capital injection by the new core investor. According to the banks’ group treasurer, Abayomi Oluyemi, the Asset Management Corporation of Nigeria (AMCON) will own 19 percent while the new core investor group will own 60 percent. As part of the scheme of arrangement, 10.967 billion shares will be cancelled while share reconstruction will be retained on the basis of 3 new shares for 16 existing shares.

At a presentation held in Lagos yesterday, he explained that the whole arrangement to recapitalise the bank would benefit all the parties. “The recapitalisation will bring in International Reputable companies as Shareholders. Core Investor will have a focus to increase value of Union Bank which will benefit all shareholders.” He added that the capital infusion by core investor, AMCON and existing shareholders will make Union Bank one of the most liquid bank in Nigeria.

For the customers, they would get the benefit of an old trusted brand in a renewed bank while major improvements in infrastructure, services and technology will make the banking experience easier and more enriching. “Level of capital injection means your money is safer than ever before. International best practice implemented in your bank while you can continue your business as usual (no new cheque book) with unusually great service.” Mr Oluyemi said the rejuvenated institution would ensure that the legacy of Union Bank continues to exist, while staff contribution to the legacy continues to be relevant and years of service continues to count towards career progression and entitlements of staff. “Staff stand to lose a lot if Union Bank ceases to exist as they will be required to reapply to the new bank and years of service will begin afresh.

Group managing director of the bank, Funke Osibudo said all is set for the court ordered meeting on September 30 seeking shareholders’ approval to go ahead with the recapitalisation plans. The meeting is to approve the scheme of arrangement between the lender and its potential core-investor - Union Global Partners limited.

Union Global Partners is a consortium comprising reputable names like ACA B - Holdings limited (ACA managed fund, FMO Netherlands, Standard Chartered Private Equity, Auctor capital, Carlye Capital, High Vistar); The Keffi Group VIII LLC ( Keffi Group, JC Flowers, BGI); ABC Holdings Limited (Banc ABC Botswana); and Discovery Group Of Connecticut, USA.

These will bring in the initial investment of $500 million while US OPIC will subsequently invest $250 million as Tier 2 capital.

Tagged : Christian Chukwu, Plateau State Government Threatens To Sack 11000 T, Nigeria military, Aminu Tambuwa, Jim Iyke Mobbed By Fans In Sierra Leone

Headlines Newsview all

Two female suicide bombers kill 67 people, injure 98 in Borno market

At least 67 people were feared dead and about 98 others seriously injured yesterday when two female suicide bombers hit a popular Monday market along ... Full story

Stella Damasus Talks About Secret Affair With Yoruba Actress Doris Simon's Husband, Daniel Ademinokan Video

For the first-time ever Nollywood actress Stella Damasus is opening up about aspects of her personal life that has dominated the media in the past ... Full story

Abuchi Ngwoke, 35 Year Old Nigerian Man Sentenced To Death for Drug Trafficking In Malaysian

Whenever they come home, they will be forming big boys for some of our girls who love money more than their lives but back in ... Full story

Pop Artiste Oritsefemi Accused Of Absconding After Collecting Money For Show In Czech

The brewing controversy surrounding the Europe tour of pop artiste, Orisefemi. is growing into uncontrollable proportions with the main actors throwing the punches of accusations ... Full story

Nigeria's National debt rises to N10.8tn

The total debt of the Federal Government,  the 36 states of the federation and the Federal Capital Territory rose from N8.32tn on September 30, 2013 ... Full story

Senators Initiate Move To Impeach President Goodluck Jonathan

Some Peoples Democratic Party’s senators on Monday started impeachment moves against President Goodluck Jonathan over what they described as the high level of impunity and ... Full story

P-Square's Dad Dies After Knee Surgery

This is not the best of times for the Okoye family as they have reportedly lost their father. Pa Okoye is said to have passed away ... Full story

Stephanie Okereke Linus Addresses Brother's Arrest Over Rape

Stephanie Linus has released a statement addressing the rape allegations against her older brother, Daniel Okereke, who was arrested for allegedly molesting a UNILAG student ... Full story

Three Killed, 10 Houses Burnt In Ibadan Mayhem

At least three people were killed and 10 houses destroyed by armed youths who  invaded Born Photo, Isale Osi, Idi Arere and Popoyemoja in Ibadan ... Full story

Boko Haram Militants Attack Traders In Borno State Market

Many market men and women are feared dead after Boko Haram militants disguised as traders attacked a market in Damasak town in the Mobar Local ... Full story

D'banj Dragged To Court Over Debt Mess

This are indeed not the best times for koko master, and has a matter of fact this is the first time I am hearing D’banj ... Full story

Comment on: Existing Shareholders retain 21 per cent of Union Bank

Rate this article

0

Breaking News

Why I’m Not In Most Movies—Cossy Orjiakor Explains

Controversial actress and singer, Cossy Orjiakor, in an interview with Encomium magazine, denied rumours that she no longer get movie roles as widely thought. Cossy explained ...

Bullet-Spangled Black Man In The U.S.A

Drive slow, blacks crossing,My charges will be trumped up to be read posthumous, on my coffin.I am black in America and it is poaching season,I ...

Genevieve Nnaji, Others Show Keen Interest in New Mobile Phone.[Pictures]

The event which was used to unveil its service on the new mobile phones, had fans asking for more as they were entertained by talented ...

Mo'Cheddah And Lover Shine At Etisalat iParty [Pictures]

Ko Ma Roll crooner and ace Yoruba rapper, Modupe Oreoluwa otherwise known as Mo’Cheddah seem to be savouring the best of romantic relationships. The 24-year old ...

Nollywood Actor, Nonso Diobi Surprises Female Fan With N.1m

If recent happenings in the entertainment industry are anything to go by, especially with the way entertainers splash cash on some of their fans, it ...

Lola Okoye Pays Glowing Tribute To Late Father-In-Law

The entire family Okoye family are still in mourning mood since they lost their father yesterday, November 24. Lola Omotayo, wife of Peter Okoye, the other ...

After 18 Years Of Childlessness, Couple Blessed With Quadruplet

Mrs. Clara Dominique, has been barren for 18 years, but strongly believed that God's time is the best, thus she endured all the tribulations that ...

Bambitious: First Ever Movie to be Premiered In Enugu

...Sele Bobo, Pete Edochie, Mr. Ibu others set to grace event It is a known fact that Enugu State has over the years been the African ...

How I Lied To Make Her My Wife- Ralph Nwadike Tells Story To Celebrate 19 Year Old Marriage

Ralph Nwadike needs no introduction in the entertainment industry, but for the benefit of those who are not so familiar with the name. Ralph is a ...

9ice Causes Stir In Ibadan

Nigerian politicians seem to have devised a new means to create unnecessary perception about their personality just to make the electorates believe they (politicians) are ...