Access Bank Acquires Diamond Bank

0
244

Access Bank has acquired Diamond Bank as confirmed by Cableng, who alleged that the official announcement of the transaction will be made in the course of the week by the Central Bank of Nigeria (CBN).

This is coming after Diamond Bank announced its decision to drop its international operating licence, to focus on national operations following capitalisation issues. Sources alleged that the acquisition was midwifed by the CBN in a bid to further consolidate the banking industry.

Uzoma Dozie, Diamond bank’s chief executive officer, who confirmed the development in a statement released on Friday, said;

“With this approval, the bank will cease to operate as an international bank,” Dozie had said.

“The re-licensing as a national bank supports Diamond Bank’s objective of streamlining its operations to focus resources on the significant opportunities in the Nigerian retail banking market, and the economy as a whole.

“The move follows Diamond Bank’s decision to sell its international operations, which included the disposal of its West African Subsidiary in 2017 and Diamond Bank UK, the sale of which is currently in its final stages.

“The change to national bank status also enables the bank to maintain a lower minimum capital requirement of 10 per cent, as against 15 per cent required for international banks.”

Reports of Access Bank acquiring Diamond Bank is coming, after Diamond bank recorded its worst month on record in November with share plunging to 0.61k per unit on November 30, 2018.

LEAVE A REPLY

Please enter your comment!
Please enter your name here