Unity Bank Plc says its merger with Providus Bank Limited remains on course following approvals from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC).
In a statement on Wednesday, the bank said the approvals, alongside court and shareholder endorsements, form part of the process to meet the apex bank’s recapitalisation requirements.
The bank’s statement follows speculation that the merger has been stalled due to insider credits owed by its directors.
“Recall that the Central Bank of Nigeria (CBN) backed the merger between the two lenders, with pivotal financial accommodation to support the transaction,” the bank said.
“The merger also received a further boost with a ‘no objection’ nod from the Securities and Exchange Commission (SEC). The regulatory approvals form part of broader efforts to strengthen the resilience of Nigeria’s banking system, reinforce capital adequacy across the sector, and mitigate potential systemic risks.”
According to Unity Bank, the combined entities will have a capital base exceeding N200 billion, the minimum required to retain a national banking licence under the CBN’s framework.
The development positions the combined entity among the 21 banks that have satisfied the apex bank’s new capital threshold for national banking operations.
“The transaction has since progressed with additional regulatory clearances from the Securities and Exchange Commission (SEC) and other relevant authorities. Integration activities between the two institutions are currently underway, with final court sanction expected to conclude the process,” the statement further reads.
Speaking on the merger, Ebenezer Kolawole, Managing Director and Chief Executive Officer of Unity Bank, described the development as a defining moment.
“This milestone underscores our commitment to building a stronger, more resilient bank that can deliver greater value to our customers and stakeholders,” Kolawole said.
“The merger with Providus Bank significantly enhances our capital base, operational capacity, and strategic positioning. We are confident that the combined institution will be better equipped to support economic growth and deliver innovative financial solutions across Nigeria.”
The bank also addressed media reports suggesting the merger had stalled, stressing that all regulatory approvals have been secured, with the remaining steps largely procedural.
“…the transaction remains firmly on track. The necessary regulatory steps have been completed, with a few other steps only a matter of formality,” the bank said.
On September 26, 2025, Unity Bank Plc said its shareholders had approved its merger with Providus Bank Limited.
Under the scheme, all assets, liabilities, and undertakings of Unity Bank will be transferred to Providus Bank, while all legal proceedings involving Unity Bank will continue in the name of Providus Bank after court sanction.
As part of the consideration, Unity Bank shareholders will either receive N3.18 per share or be allotted 18 ordinary shares of Providus Bank for every 17 shares previously held in Unity Bank.
Chronicle NG had earlier reported that the proposed merger between the two banks had reached the final stage, with an official announcement expected soon.
