Diamond Bank Acquisition Rumors
Quote from Ndubuisi Ekekwe on November 12, 2018, 9:07 AMIt is a very hard news to read that Diamond Bank is going through a paralysis: the Nation reports that Access Bank is discussing acquisition of the Nigerian bank. That is certainly a tough one for many of us who started in that bank.
It was learnt that the development leading to the impending acquisition was triggered by Diamond Bank directors who approached Access Bank for intervention in a bid to stave off a possible regulatory intervention that could lead to the withdrawal of the lender’s operating licence in the light of the bank’s depleting capital adequacy ratio on account of a huge Non Performing Loans (NPLs) portfolio put at over N150 billion.
The Nation gathered that Access Bank directors examined the proposal and, after series of meetings and evaluations, accepted to acquire the entity. However, the agreement so far reached, it was understood, will not alter the name of Access Bank nor its management structure.
In the Nation's article, Diamond Bank did not specifically deny it. Largely, this could be true when you consider that the bank lost some of its directors few weeks ago.
It is a very hard news to read that Diamond Bank is going through a paralysis: the Nation reports that Access Bank is discussing acquisition of the Nigerian bank. That is certainly a tough one for many of us who started in that bank.
It was learnt that the development leading to the impending acquisition was triggered by Diamond Bank directors who approached Access Bank for intervention in a bid to stave off a possible regulatory intervention that could lead to the withdrawal of the lender’s operating licence in the light of the bank’s depleting capital adequacy ratio on account of a huge Non Performing Loans (NPLs) portfolio put at over N150 billion.
The Nation gathered that Access Bank directors examined the proposal and, after series of meetings and evaluations, accepted to acquire the entity. However, the agreement so far reached, it was understood, will not alter the name of Access Bank nor its management structure.
In the Nation's article, Diamond Bank did not specifically deny it. Largely, this could be true when you consider that the bank lost some of its directors few weeks ago.