Unity Bank and Providus Bank Merger Nears Final Court Approval

Unity Bank Plc and Providus Bank Limited have reaffirmed that their planned merger is progressing as scheduled, with integration work already ongoing while they wait for final court sanction.

The two lenders disclosed this in a joint statement issued on Wednesday, February 18, 2026, following a Court-Ordered Meeting. They said the deal remains on track and has not stalled, and that the remaining steps are largely procedural.

According to the banks, the transaction has already secured major regulatory clearances, including approval from the Central Bank of Nigeria. They said this positions the combined institution to meet the ₦200 billion minimum capital requirement for national banking operations under the CBN’s recapitalisation framework.

The banks also said shareholder approval was obtained in an overwhelming majority, while the Securities and Exchange Commission issued a “no objection” clearance confirming compliance with capital market and corporate governance requirements.

What the banks are saying

Unity Bank’s Managing Director and Chief Executive Officer, Ebenezer Kolawole, described the merger as a major step that will strengthen capital, expand operational scale, and improve competitiveness. He added that combining the strengths of both banks would create a stronger platform to deliver value to customers and stakeholders.

The lenders also noted that the CBN provided financial accommodation to support the transaction, which they said reflects regulatory confidence in the merger.

With court approval now the final major hurdle, both banks said they have already begun internal integration efforts to ensure a smooth transition once the sanction is granted.

Why the merger matters now

The deal is unfolding amid the CBN’s banking recapitalisation programme, which raised minimum capital thresholds across licence categories.

Under the framework, banks operating with national licences must maintain at least ₦200 billion in capital before the March 2026 deadline. International banks face a higher minimum threshold of ₦500 billion.

With inflation pressures, exchange rate instability, and tighter liquidity conditions putting stress on the financial system, regulators are pushing banks to build stronger capital buffers. The Unity–Providus combination is expected to deliver a capital base above the ₦200 billion requirement, helping the merged entity secure its national banking status within the timeline.