*Shareholders endorse deal

Omolabake Fasogbon

Providus Bank Limited has climbed into the league of Nigeria’s top lenders, emerging as the ninth-largest bank by assets following its business combination with Unity Bank.
This comes as the merger process received a boost yesterday, following a court-ordered Extraordinary General Meeting (EGM), where shareholders and Boards of Directors of Providus Bank Limited and Unity Bank Plc gave their resounding approval to proceed with the business combination of the two financial institutions.

Data compiled from the financial statements of both entities showed that as at June 30, 2025, the total assets of the combined entity stood at N5.325 trillion, placing it ninth in the industry.
Also, the total deposits of the combined entity stood at N3.219 trillion as at June 30, 2025, with an industry ranking of 11th. Providus now has 229 branches, which places it on the 10th position in the industry and 3.6 million customers as at June 30, 2025.

However, the nod to go ahead by the boards and shareholders of the two institutions signifies a moment of national significance for Nigeria’s banking industry as it reflects resilience, foresight, and collective responsibility.
In a joint statement, Providus Bank and Unity Bank also expressed appreciation to the Central Bank of Nigeria (CBN) for its foresight, determination, and commitment to building a stronger financial system.
It noted that the central bank, by enabling the transaction, “has reinforced its vision of a sector anchored on resilience and customer confidence.”

“This regulatory support is not only shaping healthier banks, but also inspiring the confidence of businesses, investors, and everyday Nigerians that our financial system is ready to serve as a cornerstone for sustainable growth,” it added.

The statement noted that the vote was also a signal to the markets, to regulators, and to the wider public that Nigeria’s banking sector remains robust and forward-looking.
“In affirming this merger, shareholders have helped to reinforce the confidence that underpins economic stability. It is a statement that Nigerian banks are prepared to adapt, consolidate, and grow in line with the Central Bank of Nigeria’s vision of a stronger and more resilient financial system—and ultimately, its aspiration to support Nigeria’s transition into a trillion-dollar economy.

“With a starting solid Capital Adequacy Ratio, the emerging entity will have the scale to compete, the reach to serve every part of the federation, and the capacity to support businesses, households, and government at every level.
“The enlarged bank will immediately rank high among the banks with the most extensive branch networks in Nigeria, with approximately 230 branches nationwide.

“Unity Bank has served its customers faithfully with a proud legacy, while Providus Bank has earned a reputation for innovation, world-class digital banking platforms, and customer-centric service excellence. The enlarged bank will provide the backbone for businesses to thrive and communities to prosper,” it added.
According to both institutions, the merger when completed secures jobs, protects livelihoods, and creates new opportunities within a bigger, stronger, and future-oriented institution.
It stated that the success of the merger rests not only on systems and balance sheets but on people, adding that their contribution would be safeguarded and celebrated.

 “This historic transaction is not simply about numbers; it is about confidence in the Nigerian financial system. By combining Providus Bank and Unity Bank, we are creating an institution of scale and substance- that will give confidence to customers, strength to the financial system and create opportunity for our people.
“This merger ushers in a new chapter: a bank that is bigger in ambition, broader in reach, and stronger in capacity. It will embody the values of innovation, empathetic relationship management, customer focus, and integrity.
“With enhanced technology platforms, deeper capital strength, and a commitment to customer service, the enlarged bank will stand as both a guardian of stability and a catalyst for growth in Nigeria’s journey toward a trillion-dollar economy,” it added.

At the EGM of Providus Bank’s shareholders, the resolutions proposed and duly passed included, “that the Scheme of merger as contained in the Scheme Document dated the 28th day of August 2025, a printed copy of which has been presented at the Court Ordered Meeting and, for purposes of identification, endorsed by the Chairman, be and is hereby approved; and that the Directors of the Company be and are hereby authorised to consent to any modification of the Scheme that the Securities and Exchange Commission, CBN and/or the Court shall deem fit to impose and approve.

“That the company be and is hereby authorised to accept the merger of all the assets and liabilities and undertakings, including real properties and intellectual property rights of Unity Bank Plc with that of the Company upon the terms and subject to the conditions set out in the Scheme Document, without any further act or deed.
“That in consideration for the merger of the company of all the assets, liabilities, and undertakings, including real properties, deferred tax assets, licenses, permits, credits, and intellectual property rights of Unity Bank Plc, the company shall:

“Pay the cash consideration of N3.18 to the Scheme Shareholders, that elect to receive the cash consideration, for each ordinary share of N0.50 held in Unity Bank as at close of business on the Terminal Date” or
“Issue and allot up to 18 ordinary shares of N0.50 each in the share capital of the Company in exchange for every 17 ordinary shares of N0.50 each held in Unity Bank Plc as at close of business on the Terminal Date, to all Scheme Shareholders that elect to receive the share consideration.

“That the share capital of the company be increased from N20,902,916,875.00 to N27,091,389,903.50 divided into 54,182,779,807 ordinary shares of N0.50 each by the creation of 12,376,946,057 ordinary shares of N0.50 each ranking pari passu with the existing ordinary shares of the Company and that the Board of Directors of the Company (where it deems appropriate) be authorised to take necessary steps to cancel any unallotted shares of the company.”
Other resolutions according to the document signed by the Managing Director of Providus Bank, Walter Akpani and Chairman, Mallam Husaini Dikko, included: “That all legal proceedings, claims, and litigations pending or contemplated by or against Unity Bank Plc be continued by or against the Company after the Scheme is sanctioned by the Court.

“That the name of the enlarged bank (resulting from the merger of the Company with Unity Bank Plc), shall be changed to Providus-Unity Bank Limited (Enlarged Bank).
“THAT the certificate of incorporation of the company shall be the certificate of incorporation of the Enlarged Bank.
“That if the total number of shareholders in the Enlarged Bank post-Merger exceed 50, the Enlarged Bank be re-registered as a public company limited by shares.

“That the Memorandum and Articles of Association of the Enlarged Bank be and are hereby amended to reflect the change of name and increase in the share capital of the Enlarged Bank.
“That the Solicitors of the company be and are hereby directed to seek orders of the Court sanctioning the Scheme and the foregoing resolutions, as well as such other incidental, consequential or supplemental orders as are necessary or required to give full effect to the Scheme.
“That the Directors of the Company are hereby authorised to take such actions as may be necessary to give full effect to the Scheme.”

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