Providus Bank Limited and Unity Bank Plc are moving closer to completing their long-anticipated merger, following regulatory approvals and preparations for shareholder consent.

The Central Bank of Nigeria (CBN) granted approval for the merger scheme in August 2024, paving the way for both banks to consolidate operations. Unity Bank has since scheduled a court-ordered meeting of shareholders for 26 September 2025, where investors will formally vote on the deal.

Under the proposed arrangement, Unity Bank shareholders will have the option to either accept a cash compensation of ₦3.18 per share or exchange their holdings for 18 Providus Bank shares for every 17 Unity Bank shares held.

In a major development ahead of the vote, the Asset Management Corporation of Nigeria (AMCON) divested its 34.22% stake in Unity Bank to Providus Bank, reinforcing Providus’s position in the merger process.

If approved, the merger is expected to create a stronger financial institution with an expanded balance sheet and improved competitiveness within Nigeria’s banking sector. Market analysts say the deal could provide stability for Unity Bank’s operations while boosting Providus Bank’s national reach.