AMCON sells 34% stake in Unity Bank to Providus Bank in N6.5bn deal

The Asset Management Corporation of Nigeria (AMCON) has sold its 34% equity stake in Unity Bank Plc to Providus Bank, paving the way for the long-awaited merger between the two financial institutions. According to trade details on the Nigerian Exchange (NGX), the transaction was completed on Thursday, September 25, 2025, via a crossed deal involving […]

The Asset Management Corporation of Nigeria (AMCON) has sold its 34% equity stake in Unity Bank Plc to Providus Bank, paving the way for the long-awaited merger between the two financial institutions.

According to trade details on the Nigerian Exchange (NGX), the transaction was completed on Thursday, September 25, 2025, via a crossed deal involving 4 billion Unity Bank shares at N1.66 per share, amounting to over N6.5 billion in value.

It was gathered that the acquired shares are intended to be transferred to Providus Bank, further solidifying its takeover of Unity Bank as part of a broader merger scheme that is set to culminate in Unity Bank’s full integration into Providus.

Our correspondent gathered that the 34 per cent total equity stake in Unity Bank was transacted through a crossed dealing on the trading floor of the Nigerian Exchange Limited (NGX) to a preferred bidder, 24 hours ahead of their Court-Ordered Meeting to approve the scheme of merger.

The share acquisition by Providus Bank, especially the AMCON stake, is a critical milestone ahead of the September 26 shareholder vote.

If all approvals go as expected, Providus Bank could complete the acquisition and rebrand as a fully national retail bank, with digital reach and nationwide presence.

Unity Bank’s shareholders are set for a payout of N3.18 per share, a remarkable return considering the stock had been flat at N1.51 prior to its suspension.

The acquisition marks a milestone for Providus Bank, which began operations in June 2017.

In under a decade, the bank has positioned itself as a fast-growing, digitally focused lender, popular among Nigeria’s tech-savvy customers and SME ecosystem.

Unity Bank was last valued at N19.4 billion before its shares were suspended in May 2024.

The stock had been flat at N1.51 before the suspension, making the N3.18 offer a 110% premium.

As of 2024, Unity Bank’s unaudited total assets stood at N414 billion, with customer deposits of N402 billion.

Providus Bank, by comparison, had grown its asset base from N373 billion in 2020 to N2.56 trillion in 2024.

Its customer deposits reached N1.5 trillion, while profit after tax stood at N33 billion, slightly down from N43.5 billion in 2023.

Per the court order by Hon. Justice D.I. Dipeolu, Unity Bank shareholders will decide whether to approve a cash consideration of N3.18 per share or opt for a share swap under which every 17 Unity Bank shares convert into 18 shares in the enlarged Providus Bank.

If approved, Unity Bank’s assets, liabilities, intellectual property, and ongoing legal matters will be transferred to Providus. Unity Bank will be dissolved, with Providus continuing as the surviving entity.

This is coming amidst the ongoing recapitalisation programme of the Central Bank of Nigeria (CBN) with only 14 banks having met the deadline while some banks are considering merger and acquisition.