Skye
Bank Plc has completed the purchase of 100 per cent shares of Mainstreet Bank
from the Asset Management Corporation of Nigeria (AMCON). The last tranche of
the money for Mainstreet Bank acquisition was paid to AMCON on Friday, October
31 ahead of the November 3 deadline.
Meanwhile
The 80 per cent balance payment was made to AMCON in fulfillment of the Share
Sale and Purchase Agreement earlier signed by both AMCON and Skye Bank.
Skye
Bank had on October 9, 2014, paid the mandatory deposit of 20 per cent for the
acquisition of the target Bank, with a pledge to complete the 80 per cent
balance payment within the agreed time frame.
AMCON
had announced Skye Bank as the preferred bidder for the acquisition of all its
interest in Mainstreet Bank, representing the entire capital of the bridge
bank. Skye Bank emerged the preferred bidder after a rigorous bidding exercise
that spanned five months, with over 20 bidders contending.
With
the final payment, Skye Bank Plc has completed what industry analysts described
as one of the biggest acquisitions ever in the country and becomes one of the
biggest and largest banks in the country in terms of branch network.
The
acquisition of Mainstreet Bank is part of Skye Bank’s strategic plan for
growth. Skye Bank emerged from the very successful merger and integration of
five banks in 2006, following the first phase of the banking industry
consolidation. The Bank intends to leverage its wealth of experience from the
successful integration of five banks to drive efficiency, increase market share
and ultimately ramp up stakeholder value from the acquisition of Mainstreet Bank.
The
acquisition will avail it many of benefits, including cost leadership, business
optimisation, and greater ability to offer business convenience to its teeming
retail and commercial customers, with a combined branch network of over 450,
across all the states of the Federation.
Skye
Bank, a leading tier 2 Bank in Nigeria, was among the 8 banks recently
designated as ‘Systemically Important Banks’, which reflects its industry
leadership, strong market share, diverse location spread, and strong brand equity.
The
management of Skye Bank assured the customers of Mainstreet Bank of excellent
service and superior value in the enlarged Skye Bank
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