Providus, Unity Bank Complete Merger Process, Set To Start Operation

Nigeria’s newly merged lender, ProvidusUnity Bank, says it is set to commence operations as a single unified institution following the completion of its business combination and all required regulatory, shareholder, and judicial processes.

In a statement on Sunday, the bank said the combination of Providus Bank and Unity Bank positions it to strengthen capitalisation, expand its national footprint, deepen financial inclusion, and support Nigeria’s long-term economic growth.

According to the statement, the merger brings together Providus Bank’s innovation-driven, customer-centric service model and digital capabilities with Unity Bank’s extensive geographic reach and established market presence.

The bank said the combination creates a stronger platform for retail, small and medium-scale enterprise, SME, and corporate banking services across the country.

It added that the merger aligns with ongoing reforms in Nigeria’s financial sector aimed at strengthening institutional resilience, protecting depositor confidence, improving competitiveness, and building stronger banks to support economic transformation.

Stakeholder appreciation and customer impact

ProvidusUnity Bank expressed appreciation to the Central Bank of Nigeria, CBN, for facilitating the transaction and reaffirmed its commitment to strengthening the country’s banking system.

The institution also thanked shareholders, customers, employees, and other stakeholders for their support throughout the merger process.

For customers, the bank said the integration would provide expanded access to banking services, improved service delivery, enhanced technology infrastructure, broader banking channels, and a wider national footprint to improve efficiency and consistency.

It assured customers of uninterrupted banking services during the transition, noting that enhanced products and expanded capabilities would be introduced gradually over time.

The bank also assured employees that the merger represents continuity, opportunity, and stability, adding that it remains committed to retaining talent, preserving institutional knowledge, and supporting career development.

Court approval

Earlier this month, the Supreme Court ordered the transfer of all assets, liabilities, and undertakings, including real properties, of Unity Bank to Providus Bank in accordance with the approved Scheme of Merger.

The merger was challenged by customers and shareholders of the affected banks, Mr. Suleiman Abubakar and Mr. Mohammed Goni Modu.

The apex court held that the appeal lacked merit, dismissed it in its entirety, and imposed costs of N10 million in favour of each respondent.

As part of the merger arrangements, the court approved a consideration of N3.18 per share, or 18 Providus Bank shares of 50 kobo each for every 17 Unity Bank shares held by shareholders.

The bank said the merger would enhance the banking sector’s capacity to mobilise investment, support enterprise development, expand access to credit, and contribute to Nigeria’s aspiration of building a trillion-dollar economy.