News Investigators/ Customers of Providus Bank Limited and Unity Bank Plc, have appealed to the institutions to ensure improved and seamless service delivery in their proposed merger plans.
Some of the customers who spoke to the News Agency of Nigeria (NAN) in Abuja on Sunday, urged the banks to adopt customer centric approach and improved digital banking solutions in their merger plans.
NAN reports that Unity Bank had on Sept. 26, secured shareholders approval to merge at a court-ordered Extraordinary General Meeting (EGM) where boards and shareholders of both banks gave their consent.
Mansur Abba, a Unity Bank customer, commended the merger saying it was long overdue.
Mr Abba alleged that the bank had been operating below his expectations in a long while hence the need for the merger.
”Although I withdrew some of my savings and deposited it in another account, I still maintained the bank because I like them.
”This merger should make them to improve their services and make customers’ happy,” he said.
Betty Ononye, another Unity Bank customer, appealed to the bank to decentralised its branches and Automated Teller Machine (ATM) for easy access by customers.
She expressed optimism that the decision would make the banks to be more digitally positioned to serve customers effectively.
Mrs Ononye suggested that the transition should not be like Intercontinental and Oceanic Banks that led to loss of share dividends by shareholders.
”I just heard about the merger but I believe it will help my bank to stand strong.
”Many times when I visit my bank’s ATM point, it is either not working or not dispensing cash.
”The banks must expand their branches and ATM points to enable customers have access to banking services in record time,” she said.
Mr Adewale Akintola, a customer of Providus Bank, advised the banks to prioritise customers’ satisfaction as a strategy to attract other customers to the bank.
He urged the bank to also extend its Corporate Social Responsibility (CSR) toward the support of Small and Medium Enterprises (SMEs) and businesses.
According to a statement issued by Unity Bank, 293 shareholders representing 99.32 per cent of total shareholding (N4.4bn in value) voted in favour of the resolutions, while two shareholders representing 0.68 per cent voted against.
The shareholders of Unity Bank were given the option of being paid N3.18 for every share held in the Bank in accordance with the terms stipulated in the Scheme, or be allotted 18 ordinary shares of N0.50 each in Providus Bank Limited in exchange for every 17 ordinary shares of the Bank at N0.50 each.
Speaking on the development, the Chairman of Unity Bank Plc, Hafiz Bashir, had said, “this approval by our shareholders is a strong vote of confidence in the merger and what it represents for the future.
”By joining forces with Providus Bank, we are creating a stronger, more competitive, and more resilient institution that will deliver long-term value to our customers, shareholders, and the Nigerian economy.”
Bashir said that the new name of the enlarged entity shall be Providus-Unity Bank (PUB) to reflect the core loyalty present in the vast northern market.
NAN recalls that the Central Bank of Nigeria (CBN) in August 2024, approved financial accommodation for the proposed Unity Bank and Providus Bank merger
The Acting Director, Corporate Communications of CBN, Hakama Sadi-Ali, said; ”this strategic move is designed to bolster the stability of Nigeria’s financial system and avert potential systemic risks.
”The merger is contingent upon the financial support from the CBN.
”The fund will be instrumental in addressing Unity Bank’s total obligations to CBN and other stakeholders.
“It is unequivocal to state that the CBN’s action is in accordance with the provisions of Section 42 (2) of the CBN Act, 2007.
“This arrangement is crucial for the financial health and operational stability of the post-merger organisation,” she said.
NAN