December 24, 2021
Titan Trust Bank which seeks to acquire 104 years old Union Bank of Nigeria Plc was registered on December 11, 2018, according to details from the Corporate Affairs Commission (CAC) and it obtained its National Banking license on the 26th of April 2019 to operate as a fully commercial National Bank.
The bank promoted by Mr Tune Lemo, a former Deputy Governor of Central Bank of Nigeria if all things go well will become the new owner of Union Bank.
Banking insiders said the move to acquire Union Bank had been on for over one year but had been delayed tactically as the owners of Titan Trust were still consulting and crossing all Ts in the transaction which they are confident will receive the blessing of Central Bank of Nigeria, given the enormous and thorough job done by the new proposed owners of Nigeria second oldest banks.
Upon acquisition of Union Bank, it’s not clear if owners of Titan Trust will change the name of Union Bank to reflect its new owners. A top staff of Titan Trust was not forthcoming with answers when Political Economist posed the question, but only said “change of name is never a priority for the acquisition. The motive to acquire Union Bank of Nigeria is strategic. We are looking at where we are and where we want to be. We considered spread of Union Bank, its assets and brand equity. All this informed the decision. Titan Trust Bank may be new but the owners are not new to banking and financial management whether national or at international level.
“So, people should not be emphasizing the age of Titan Trust Bank. We may be young but we’re ambitious, focused and future-driven.”
Union Bank is one of the oldest commercial banks in Nigeria, operating in the country since 1917 with
total assets estimated at $4.1 billion (2018). Its parent organization is Union Global Partners Limited.
The UBN Company Secretary, Somuyiwa Sonubi, announced the “Proposed Divestment of Majority Shareholding Interest in Union Bank of Nigeria Plc” on the Nigerian Exchange Ltd (NGX) website.
The statement said the board of UBN had received a notification from Union Global Partners Ltd. (UGPL), the holder of majority shareholding in Union Bank of the execution of a Share Sale and Purchase Agreement.
It said the agreement was between UGPL, certain other existing shareholders of Union Bank (as sellers) and Titan Trust Bank Ltd. (as Purchaser) for the sale of an aggregate 89.39 per cent of the issued share capital of Union Bank held by the Sellers, to the Purchaser.
It noted that the completion of the transaction was subject to obtaining applicable regulatory approvals and the fulfilment of certain conditions precedent.
