Shareholders approve Access, Diamond Bank merger

99.98% of Diamond Bank shareholders voted in support of the merger
For Access bank, 97.89% of the shareholders representing 14.3 billion of the total shares of 14.6 billion) voted for merger.
The two lenders awaiting final approval from the Central Bank of Nigeria (CBN) and the Security and Exchange Commission (SEC) to finalise deal.

To complete the merging process between Access Bank Plc and Diamond Bank Plc, shareholders of both banks have approved the deal.

At its different extra Ordinary General Meetings held in Lagos on Tuesday, shareholders gave the approval for the two lenders to create Nigeria's largest bank by asset.

The meeting was the outcome of a Federal High Court order on the two financial institutions following the merger plan.

How shareholders voted at the extraordinary meeting

At the meeting 99.98% of Diamond Bank shareholders representing (about 15.1 billion shares) voted in support of the merger while the remaining sharing abstain from voting.

For Access bank, 97.89% of the shareholders representing 14.3 billion of the total shares of 14.6 billion) voted for merger while the remaining 2.10% voted against the plan.

The two banks will now wait for final approval from the Central Bank of Nigeria (CBN) and the Security and Exchange Commission (SEC).

Diamond bank A picture showing Diamond Bank office around Oniru, Victoria Island, Lagos newstage

Access, Diamond Bank shareholders' concerns about the merger

Shareholders at the event called on the management to ensure that the post-merger integration for Access-Diamond Bank is seamless and the issue of legacy loans are addressed.

The shareholders also emphasised the need for Access Bank to focus on achieving a consistent return on investments and dividend payments.

Recall that at an interactive session in January, Herbert Wigwe, Access Bank CEO, said the merger will retain some brand and products of Diamond Bank.

Herbert Wigwe, GMD Access Bank Plc ece-auto-gen

Wigwe also explained that the powerhouse created from the deal will work to make both brands great and ensure customers of Diamond Bank enjoy seamless banking.

In December 2018, Access Bank Plc and Diamond Bank Plc announced plans to merge and create Nigeria's largest bank by customer size and capital base. The deal is expected to be completed by the end of March 2019.