Sterling Bank Plc (“Sterling”) and Equitorial Trust Bank Plc (“ETB) today announced that they have entered into a formal Transaction Implementation Agreement (TIA) which will lead to the recapitalization of ETB and merger of both financial institutions.
The TIA reflects the main commercial terms of reference on which agreement has been reached in principle by the Boards of both financial institutions in close consultation with the Asset Management Company of Nigeria (AMCON). Following the recommendations of the proposal under review, the transactions will be presented for approval to shareholders, the Central Bank of Nigeria, Federal High Court, Nigerian Stock Exchange, and Securities and Exchange Commission.
The complementary strengths of both institutions underscore the compelling merit of the transaction and will provide enhanced growth prospects as well as attractive financial returns for all shareholders. On completion of this transaction, the merged entity will have 185 branches, over N360 billion in deposits, and N550 billion in assets positioning it as a major financial solutions brand of choice across its target markets.
Further announcements will be made as may become necessary.
Sterling Bank PLC Equitorial Trust Bank PLC
About Sterling Bank
Sterling Bank is a major financial services provider offering a wide umbrella of services to individuals, businesses, non-profit organizations, and government-affiliated agencies. Through the main bank and its subsidiaries, Sterling Bank provides asset management, commercial banking, mortgage loans, insurance, investment banking, pension funds management, stockbroking, and registrar services. Sterling Bank serves its clients through 95 branches spread across Nigeria.
About Equatorial Trust Bank
Equitorial Trust Bank (ETB) was incorporated as a Limited Liability Company on January 30, 1990, and granted a commercial banking license on February 7, 1990. More than twenty years after it first opened for business, ETB currently has over 98 branches in prime urban locations across Nigeria and is widely regarded for its technology-driven customer-friendly service.
This release may contain forward-looking statements which reflect Sterling Bank’s current views with respect to, among other things, the Bank’s operations and financial performance. These forward-looking statements may be identified by the use of words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. Sterling Bank undertakes no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.