First Bank Agrees to Sell Bank to Another Firm, Gives Reasons
- The parent company of First Bank, FBN Holdings Plc, has agreed to sell 100% of its shares in FBNQuest Merchant Bank to another firm
- FBN Holdings disclosed that EverQuest Acquisition LLP emerged as the preferred bidder of FBNQuest Merchant Bank after rigorous processes
- EverQuest Acquisition LP comprises Custodian Investments Plc, Aoin Investments and Evercorp Industries.
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
FBN Holdings Plc, the parent company of First Bank, has concluded plans to sell its 100% equity in its subsidiary, FBNQuest Merchant Bank Limited, to Everquest Acquisition LLP.
In a recent report, FBN Holdings announced that the sale aligns with its goal to optimise its portfolio.
Source: Getty Images
FBN Holdings reveals reasons
A statement from FBH Holdings Plc said that the sale aligns with the Nigerian Exchange Limited (NGX) Rulebook.
The company announced the decision on Friday, September 6, 2024, and was signed by the company’s secretary, Adewale Arogundade, and is subject to regulatory approvals.
The report disclosed that the sale followed a rigorous bid process, leading to EverQuest emerging as the preferred bidder.
EverQuest’s other subsidiaries
EverQuest Acquisition LP comprises Custodian Investments Plc, Aoin Investments and Evercorp Industries.
The completion of the sale is subject to approvals from the Central Bank of Nigeria and other regulatory bodies.
TheCable reports that the divestment comes amid a faceoff between FBN Holdings Plc and one of its core investors, Barbican Capital Limited.
The duo are in court over an investor's allegation that its shares in the financial institution were altered.
NDIC to liquidate more banks
The development comes as the Nigerian Deposit Insurance Corporation (NDIC) will, at the expiration of its notice filed on August 23, 2024, approach a federal high court to obtain an order to dissolve 87 microfinance banks and primary mortgage banks in Nigeria.
The corporation disclosed this in a notice on its website, stating that, by its enabling laws, it will present an application to the Federal High Court to obtain dissolution orders of the closed banks and to release/discharge the Corporation as Liquidator of the banks at the expiration of 30 days from the date of the publication.
CBN Sacks More Directors
Legit.ng earlier reported that the Central Bank of Nigeria (CBN) has terminated the appointments of directors at the Nigeria Incentive-Based Risk Sharing System for Agriculture Lending (NIRSAL).
The dismissed directors include NIRSAL’s managing director and chief executive officer, Abbas Umar Masanawa, executive director of operations, Kennedy Nwaruh and executive director of technical, Olatunde Akande.
A NIRSAL official reportedly said that the staff are awaiting further clarification on the dismissal's circumstances.
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Source: Legit.ng
