Unity Bank Shareholders Authorise Merger With Providus Bank

By Dipo Olowookere

The proposed merger between Unity Bank Plc and Providus Bank Limited has seen a major headway as the shareholders of the former have approved the transaction.

The nod for both financial institutions to operate as an entity was given at a Court-Ordered Meeting held on Friday September 26, 2025, at the OOPL Hotel in Abeokuta, Ogun State.

At the event, which had the participation of 295 shareholders, the bank’s directors and solicitors/transaction advisers were given the mandate to seek the necessary court orders and take all required actions to give full effect to the scheme.

As part of the scheme consideration, Unity Bank shareholders will receive N3.18 per share or be allotted 18 ordinary shares of 50 Kobo each in Providus Bank Limited (credited as fully paid) for every 17 ordinary shares of Unity Bank held.

Upon completion, Unity Bank’s entire share capital will be cancelled, and the bank dissolved without winding up, while Providus Bank will retain its certificate of incorporation as the enlarged bank.

A look at the voting pattern showed that 293 shareholders, representing 99.32 per cent of total shareholding (N4.4 billion in value) voted in favour of the resolutions, while two shareholders, representing 0.68 per cent voted against.

The chairman of Unity Bank, Mr Hafiz Mohammed Bashir, informed shareholders that the new name of the enlarged entity would be Providus-Unity Bank (PUB) to reflect the core loyalty present in the vast northern market.

“This approval by our shareholders is a strong vote of confidence in the merger and what it represents for the future.

“By joining forces with Providus Bank, we are creating a stronger, more competitive, and more resilient institution that will deliver long-term value to our customers, shareholders, and the Nigerian economy,” he stated.

Mr Bashir clarified to shareholders that the Nigerian Exchange (NGX) Limited lifted the suspension of trading of Unity Bank shares on Thursday, September 15, 2025, with a remarkable crossing of 4.004 billion units of AMCON shares, representing 34 per cent of issued shares of Unity Bank, to an existing shareholder of Unity Bank and not to Providus Bank.

It is believed that the merger between the two lenders would pave the way for the emergence of a financial powerhouse anchored on strong market positioning with the capacity to take on the competition on the strength of both traditional and modern digital banking.