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

Boko Haram Terrorists Kill 60 In Borno State

Sahara Reporters obtained information that the Boko Haram terrorists killed 50 peoplein two attacks in Borno state since Monday, February 8.State Emergency Management Agency (SEMA) ... Full story

Nigerian Army Arrests Two Soldiers Working With Boko Haram In Adamawa

Two soldiers working with Boko Haram terror group have been arrested by the Nigerian Army. At a press conference held yesterday February 9th, the acting ... Full story

Bayelsa Monarch's Abuja Home Raided By DSS

The Department of State Security has raided a Bayelsa Monarch's Abuja home confiscating cash and other property.  The Maitama Home of a Bayelsa first class monarch, ... Full story

High Court Jailed Two Nigerians For Trying To Smuggle $5.4M Out Of Airport

Two Nigerians, Ojukwu Nnamdi Rowland and Ngene Linus Chibuike, arrested at the Murtala Muhammed International Airport, Lagos, while attempting to smuggle $5, 424,270 USD out ... Full story

Police Arrest Fake Soldier Who Specializes In Stealing Exotic Cars

Operatives of the Abia State Police Command have arrested a fake Army Lieutenant, who specialises in stealing exotic cars from automobile dealers in the state. It ... Full story

TRAGIC! Reverend Sisters Die In Ghastly Motor Accident In Cross River

Four reverend sisters pictured below died in a fatal motor accident after their car collided with a truck of a Coca Cola Bottling company along ... Full story

Nollywood Actress Ordered To Pay N10m Fine To Beauty Pageant For Cheating Her

The Federal High Court in Port Harcourt slammed top Nollywood actress, Ibinabo Fiberesima N10 million fine instituted against her by ex-beauty queen, Miss Earth Nigeria ... Full story

Arms Scam: EFCC Arrests Top Ranking Military Chief At Airport

Drama ensued at the the airport as military personnel refused the Economic and Financial Crimes Commission from arresting yet another top military officer fingered in ... Full story

Soldiers Arrested In Yola With Illegal Military Weapons

Two Nigerian soldiers in the north-eastern part of Nigeria has been apprehended by security operatives for being in the possession of illegal weapons.  Two soldiers of ... Full story

Federal Government Seeks Secret Trial For Nnamdi Kanu

It has been revealed that Nigerian government is bent on finding a way to try the director of Radio Biafra, Nnamdi Kanu in a secret ... Full story

National Assembly Postpones Budget Passage Indefinitely

The passage of the 2016 appropriation bill submitted by President Muhammadu Buhari has been suspended due to endless controversies.  The National Assembly has said it is ... Full story

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

Rate this article

0

Breaking News

Omotola Stuns As She Unveills 'The Real Me

Omotola Jalade, AKA Omosexy is a fashion icon and beauty to behold. The Nollywood star looks so stunning as she stepped out for the press ...

Shocker! Photos Of Lilian Esoro Triplet Sisters Surfaces

At the first look at the photo mix of top Nollywood actresses, Lilian Esoro, Yvonne Okoro and Esther Audu one would easily mistake them for ...

Kehinde Bankole Slays in New Photo

Been a celebrity definitely comes with a price; the pressure of always looking at your best is always there.As a celebrity having lot of people ...

Osas Ajibade's New Photos Beg For Attention

Nollywood actress, and TV star Osas Ajibade in a bid to announce her latest feat, decided to share some stunning photos.The lovely bride of Tinsel ...

Nollywood Practitioners Hold Candle Light Possession for Late Actor, Dede One Day (Photos)

The sudden death of popular Nollywood comic actor, Dede One Day, still remains a shock to many in the industry after the news of his ...

Comedy Helped to Heal my Broken Heart...Princess Reveals

Three years ago, Nigerian female comedian, Oluwadamilola Adekoya, popularly known as Princess, married Adesola Jeremiah, but the union came to an unexpected end.It was a ...

TY Bello’s Celebrity Bread Seller, Olajumoke to Feature on CNN?

Ty Bello's celebrity bread seller turned model, Olajumoke Orisaguna, has been making wave for some weeks now and indeed her creator is smiling on her ...

I Can Marry A Lady With Lots Of Tattoos- Comedian Funnybone

Multi-talented comedian, Stanley Chibuna, better known as Funny Bone, was born in Kaduna State and is one of the first class humour merchants.The Anambra-born Theatre ...

Monalisa Chinda Set to Walk Down the Aisle with new Boo

Happy times are here for Nollywood actress, Monalisa Chinda, as it is being rumoured that she is about saying ‘I Do’ to the man after ...

Belinda Effah Puts to Bed in US, Joins The Babymama League

Well, a lot of secret events are taking place in the Nigerian entertainment industry these days that many are yet to know about.While many criticize ...