Unity Bank says merger with Providus Bank a done deal, now at integration stage

The management of Unity Bank has disclosed that the proposed merger with Providus Bank is a done deal, with integration in progress. The clarification comes amid various reports citing that the deal had failed.

In an email shared with Technext on Wednesday, February 18, 2025, the Bank reaffirmed that the deal still has the backing of the Central Bank of Nigeria (CBN) with a pivotal financial accommodation to support the transaction. It noted that the merger has also received a boost of a “no objection” nod from the Securities and Exchange Commission (SEC). 

“The regulatory approvals form part of broader efforts to strengthen the resilience of Nigeria’s banking system, reinforce capital adequacy across the sector, and mitigate potential systemic risks,” it added. 

In the process of finalising the deal, both Unity and Providus Bank believe that having regulatory backing and shareholders’ support for the merger represents a significant milestone to meet the recapitalisation requirements. 

With the transaction, the combined capital base of both lenders is expected to exceed N200 billion, which is the minimum requirement to retain a national banking licence under the CBN’s recapitalisation framework. With the progress made so far, Unity Bank asserts that efforts have been made to complete the deal before the deadline. 

“The transaction marks a significant milestone in strengthening the financial stability and long-term competitiveness of the enlarged institution,” part of the statement reads. 

The clarification and update come amid mixed reports over the status of the proposed merger. Unity Bank explained that contrary to rumours and false reports, “suggesting that the merger process had stalled, the transaction remains firmly on track.”

It added that “necessary regulatory steps have been completed, with a few other steps only a matter of formality.”

Also Read: Unity Bank faces dissolution as Providus merger nears

Providus and Unity Bank: Status of the deal

According to Unity Bank, the deal has gained the approval of both the CBN and shareholders of both banks, adding that the merger was endorsed at their respective Extraordinary General Meetings held in September 2025. At the meeting, the scheme of merger was formally adopted.

Following which the transaction progressed with additional regulatory clearances from the Securities and Exchange Commission (SEC) and other relevant authorities. 

Currently, integration activities between the two institutions are underway, with the final court sanction expected to conclude the process, according to the statement.

Managing Director and Chief Executive Officer of Unity Bank, Ebenezer Kolawole, in the statement, tagged the development as a pivotal point for both banks. He noted that the milestone underscores its commitment to building a stronger and more resilient bank that creates opportunities in the market.

“The merger with Providus Bank significantly enhances our capital base, operational capacity, and strategic positioning. We are confident that the combined institution will be better equipped to support economic growth and deliver innovative financial solutions across Nigeria,” he added.

Unity Bank noted that the merger is expected to deliver a competitive and customer-centred financial institution that reshapes the Nigerian banking industry. 

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