Union Bank goes private after delisting from stock exchange

Cynthia Ezekwe

Union Bank of Nigeria Plc has been delisted from the Nigerian Exchange Commission (NGX) following a 100 per cent acquisition led by Titan Trust Bank Limited.

In May 2023, Union Bank announced its intention to exit the Nigerian Exchange Commission (NGX). This process was completed through a scheme of arrangement under Section 715 of the Companies and Allied Matters Act 2020 (as amended). As part of the scheme, the bank’s core shareholder, Titan Trust Bank Limited, acquired the minority stake, allowing the bank to be taken private. This is considered a significant development for the bank, which will now be able to focus on its core business of providing banking services to its customers.

Prior to the minority acquisition, Titan Trust Bank had expressed interest in purchasing a majority stake in Union Bank in December 2021. However, in May 2023, the firm successfully purchased a majority stake in the company, allowing it to mop up the remaining shares held by minority investors. With this acquisition, Titan Trust Bank now owns 100 per cent of Union Bank, making it a fully private company.

In his comments on the acquisition, Union Bank’s CEO, Mudassir Amray, said that this move is part of the company’s effort to attract larger private investments. The goal, he noted, is to strengthen the bank’s position as one of the leading pioneer banks in Nigeria. Amray also expressed his gratitude to the bank’s shareholders for their support and confidence in the company’s future.

“We remain committed to delivering value to our customers, employees and shareholders through superior solutions. We appreciate the support of the Central Bank of Nigeria, Securities Exchange Commission, Nigerian Exchange Group (NGX) and every other agency and parastatal that were instrumental to achieving this,” he added.