By Cynthia Ezekwe
Titan Trust bank has gotten approval from the Central bank of nigeria (CBN), and the Securities and Exchange Commission (SEC) to acquire all the shares held by the minority shareholders in Union Bank, which is referred as the scheme shares.
According to a statement signed by Somuyiwa Sonubi Union Bank’s company secretary, the transaction will be implemented by way of a Scheme of arrangement between the Bank and the Bank’s minority shareholders, in accordance with the provisions of Section 715 of the Companies and Allied Matters Act 2020 as amended.
The statement noted that under the terms of the scheme, the scheme shares, being the outstanding shares of the Bank not already held by Titan Trust, will be acquired by Titan Trust for a consideration of N7.00 per share.
“The terms and conditions of the Scheme are stated in the Scheme Document which will be dispatched to all shareholders, following receipt of an order from the Federal High Court to convene a Court-Ordered Meeting of the Bank’s shareholders,’’ the statement added.
Meanwhile,as of December 2022, Titan Trust Bank had a 94.5 per cent , which is N27.52 billion shares ownership stake in Union Bank. Titan Trust Bank first acquired a majority stake in UBN in June 2022.
The acquisition of the 1.74 billion shares or 5.97 per cent stake held by minority shareholders will give Titan Trust Bank 100 per cent ownership of Union Bank, giving the majority investors an opportunity to take the creditor private, from its current publicly-owned status.
