The board of both Diamond and Access Bank have finally confirmed their merger after weeks of denial.
The merger sees Access Bank acquiring the entire capital share of Diamond Bank in combination of cash and shares in Access Bank. The agreement will also see Diamond Bank shareholders receive a consideration of N13.3 per share comprising of N1.00 per share in cash and the allotment of two new Access Bank ordinary shares for every seven Diamond Bank ordinary shares.
The merger will also see Diamond ceasing to exist under the Nigerian law.
The merger will also create Nigerian, and possibly African biggest retail bank.
Chief Executive Officer of Diamond Bank, Uzoma Dozie said: “The board believes that the proposed combination of the two operations provides an exciting prospect for all stakeholders in both businesses.”
Herbert Wigwe, CEO of Access Bank, said: “Access Bank and Diamond Bank have complementary operations and similar values, and a merger with Diamond Bank, with its leadership in digital and mobile-led retail banking, could accelerate our strategy.”
Exotix Capital acted as international financial advisor to Diamond Bank, Templars acted as the Nigerian legal counsel.
