Fidelity Bank seals deal to acquire Union Bank UK
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Fidelity Bank Plc said it has entered into a binding agreement to acquire a 100 percent equity stake in the United Kingdom arm of Union Bank Plc, in line with its expansion drive beyond the Nigerian market to enable it to deliver extended services to its growing clients.
The bank made the disclosure in a statement signed by Ezinwa Unuigboje, the company secretary, through the Nigeria Exchange Group to the investing public on Tuesday.
According to the statement, the transaction was preceded by a letter of “No Objection” issued by the Central Bank of Nigeria (CBN) and is subject to the approval of the Prudential Regulatory Authority of the United Kingdom.
Commenting on the development, Nneka Onyeali-Ikpe, managing director and chief executive of Fidelity Bank, said the transaction aligns with the strategic plan of expanding its service touchpoints beyond the Nigerian market and providing straight-through services that meet and exceed the needs of the bank’s growing clients.
“The diverse service bouquet and business model of Union Bank UK offered a compelling synergy, and we hope to build on the existing capacity to create a scalable and more sustaining service franchise that will support the wider ecosystem of our trade businesses and diaspora banking services,” Onyeali-Ikpe said.
Union Bank UK has been in operation since 1983 offering banking services including personal banking, trades finance, treasury management and structured trade and community finance to individual and corporate clients.