Atlas Mara has acquired gives from native banks wishing to purchase over Union Financial institution.
The holder of the most important stake in Union Financial institution of Nigeria is considering its future with the Lagos-based lender, as its 49.97 per cent possession has acquired acquisition gives from home bidders, Bloomberg has reported, citing insiders conversant in the topic.
Early pursuits within the shareholding of Atlas Mara, a monetary providers holding firm, quoted on the London Inventory Alternate, are coming from native banks intent on widening their attain within the Nigerian market, based on sources pleading anonymity as a result of negotiations are nonetheless below wraps.
Atlas Mara is presently partaking monetary advisor Rothschild & Co. however the deal might be consummated as an outright sale or take one other path because the panorama of a particular takeover just isn’t but clear.
Nigeria’s greatest lender, Entry Financial institution, is forging a cope with the agency to purchase its property in Zimbabwe, Botswana and Zambia, with that deal near being delivered.
The bank said at an analyst name this week it was trying to acquire traction within the monetary markets of eight different African international locations in a bid to leverage the potential of the continent’s new free commerce settlement.
Atlas Mara, based mostly in British Virgin Islands, is paring down its measurement, following a development plan that went dangerous in that it wrongly estimated competitors in Africa when it overpaid for acquisitions.
The corporate’s share of Union Financial institution, which has a market worth of N161.620 billion, is its largest asset and is considered as a strategic positioning in Africa’s greatest economic system.
Bob Diamond, who collectively based the monetary providers group, vacated his put up as chair of Atlas Mara about two years in the past for Michael Wilkerson, chairman of Fairfax Africa, which wields 49% stake within the firm.
Union Financial institution closed commerce on the ground of the Nigerian Inventory Alternate on Friday at N5.55 per share, up by 1.83%.
A spokesperson for Union Financial institution, Ogochukwu Ekezie-Ekaidem, advised PREMIUM TIMES inquiries needs to be directed to Atlas Mara.
Atlas Mara didn’t reply to a PREMIUM TIMES request, through electronic mail, for remark.