In a bid to transform Union Bank of Nigeria into one of country’s leading financial institutions, Union Global Partners Limited (Union Global Partners), a consortium of Nigerian and international investors formed to recapitalise Union Bank, has succeeded in its capitalisation of the foremost Nigerian financial institution with $500 million; thereby giving the consortium a 65 percent ownership of the outstanding common shares of Union Bank.

The consortium which now hold 11,008,274,206 common shares, seeks to build long-term, sustainable value for all stakeholders by investing in Union Bank’s infrastructure, operations and people while strengthening its ability to deliver quality financial products and services to Nigerian consumers.

Investors of the Union Global Partners includes African Capital Alliance, African Development Corporation, Corsair Capital, FMO, the Richard Chandler Corporation, and Standard Chartered Private Equity who altogether, bring a wealth of experience in transforming financial institutions in emerging markets through strategic planning, infrastructure investments, and introducing world-class standards of corporate governance.

The Richard Chandler Corporation invested $112 million to support the recapitalisation of Union Bank of Nigeria, equating to a 13.4 percent stake in Union Bank of Nigeria (UBN).

Commenting on the Central Bank of Nigeria’s (CBN) view that banking reforms are vital to strengthen the economy which will place Nigeria among the world’s top 20 economies by the year 2020, Dick Kramer, Chairman of Union Bank said; “Attracting such a high quality consortium of local and international investors to recapitalise Union Bank demonstrates Nigeria’s potential. In addition, Union Global Partners’ investment in Union Bank provides a compelling vote of confidence for the banking sector. I look forward to working with Union Global Partners and Union Bank in developing long-term sustainable value for all stakeholders.”

Union Bank is one of Nigeria’s most recognised and established banks with  strong heritage and pedigree. Established in 1917, the bank has a nationwide network with 379 branches across the country, all of which are on-line real time. As at December 31, 2010 the bank’s gross earnings was 113.961 billion naira ($726 million); profit after tax was 118.016 billion naira ($750 million) and total assets was 845.231 billion naira ($5.4 billion).

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