Unity Bank Plc has confirmed that its merger with Providus Bank Limited is firmly on course, following overwhelming shareholder approval and key regulatory clearances that have positioned the combined entity to meet new capital requirements set by the Central Bank of Nigeria (CBN).
The transaction, which received regulatory backing from the CBN alongside a pivotal financial accommodation to facilitate the deal, has also secured a “no objection” approval from the Securities and Exchange Commission (SEC). The approvals represent critical milestones in Nigeria’s ongoing banking sector recapitalisation programme, aimed at strengthening capital adequacy, enhancing resilience, and mitigating systemic risks across the industry.
Industry analysts say the merger underscores growing consolidation within the sector as lenders move to comply with stricter capital thresholds introduced by the apex bank. The combined institution’s capital base is expected to exceed ₦200 billion, meeting the minimum requirement for retaining a national banking licence under the CBN’s revised framework. With this development, the enlarged bank joins the group of 21 financial institutions that have satisfied the new benchmark for national operations.
Shareholders of both banks endorsed the scheme of merger at their respective Extraordinary General Meetings in September 2025, formally approving the business combination. Since then, the transaction has progressed through additional regulatory stages, with integration activities currently underway. Final court sanction is anticipated to conclude the process.
Managing Director and Chief Executive Officer of Unity Bank, Ebenezer Kolawole, described the merger as a defining milestone for the institution, citing the complementary strengths of both lenders.
“This milestone underscores our commitment to building a stronger, more resilient bank capable of delivering greater value to customers and stakeholders,” Kolawole said. “The merger significantly enhances our capital base, operational capacity, and strategic positioning, equipping us to support economic growth and provide innovative financial solutions nationwide.”
The bank also addressed reports suggesting delays in the process, clarifying that the merger remains on track, with the remaining steps largely procedural.
Upon completion, the Unity–Providus combination is expected to create a larger, more competitive financial institution with expanded capacity to serve retail and small and medium-sized enterprise (SME) customers across Nigeria’s banking landscape.
