EXCLUSIVE: Providus–Unity Banks Merger Enters Final Stage as Official Announcement Nears
EXCLUSIVE: Providus–Unity Banks Merger Enters Final Stage as Official Announcement Nears
The proposed merger between Providus Bank and Unity Bank has reached an advanced, final stage, with an official announcement expected in the coming days, TheCable can exclusively report.
Multiple sources familiar with the discussions—both within and outside the two financial institutions—confirmed that negotiations have largely been concluded, clearing the way for one of the most significant banking consolidations expected in early 2026.
Part of a Wider Banking Consolidation Wave
The Providus–Unity deal is one of at least three mergers anticipated among Nigeria’s tier-2 banks as lenders race to comply with the recapitalisation requirements set by the Central Bank of Nigeria (CBN). The apex bank’s directive has intensified merger and acquisition talks across the sector, particularly among banks seeking to strengthen their balance sheets and remain competitive.
Industry insiders say the renewed push for consolidation mirrors earlier banking reforms, with regulators prioritising stronger capital bases, improved governance, and long-term stability in the financial system.
Strategic Fit for Both Banks
For Providus Bank, the merger is expected to significantly expand its asset base, branch network, and customer reach. Unity Bank, on the other hand, stands to benefit from fresh capital injection, operational restructuring, and improved liquidity—key factors analysts believe influenced the consolidation talks.
Sources noted that the merger discussions have progressed beyond exploratory talks, with regulatory engagement and internal approvals nearing completion.
What to Expect Next
While neither Providus Bank nor Unity Bank has issued an official statement yet, banking sector observers expect a formal disclosure once final regulatory clearances are secured. If concluded, the merger would create a stronger combined entity better positioned to meet CBN capital thresholds and compete more effectively in Nigeria’s increasingly competitive banking landscape.
