Prominent Nigerian commercial bank, Access Bank has reportedly acquired Diamond Bank.
After months of speculations over the future of Diamond Bank, TheCable quoted insiders as saying that the official announcement of the transaction will be made in the course of the week by the Central Bank of Nigeria (CBN).
It is believed that the acquisition was midwifed by the CBN in a bid to further consolidate the banking industry.
Also corroborating with the online newspaper, ThisDay reports that the two banks finally agreed to merge on Sunday, signing a Memorandum of Agreement, which if approved by the country’s apex bank and the Nigerian Stock Exchange (NSE), would move Access Bank, the principal partner, from number four to number two or number one in the nation’s banking hierarchy, if the current growth trajectory of Access Bank is maintained.
It was gathered that the boards of the two banks met at about 7pm, yesterday and passed the resolutions agreeing to merge subject to regulatory and shareholder approvals.
Also speaking on the merger agreement last night, Access Bank’s Chief Executive Officer, Mr. Herbert Wigwe, told ThisDay.
“Access Bank has a strong track record of acquisition and integration which has a clear growth strategy.
Bear in mind that last week, Diamond Bank announced its decision to drop its international operating licence to focus on national operations following capitalisation issues.
The bank’s chief executive officer, Uzoma Dozie, had confirmed in a statement released on Friday that it would cease to operate as an international bank.