Shareholders of Access Bank have approved the boards proposed merger plan with the Diamond Bank Plc.
The Access Bank shareholders who gave the aproval in Lagos during Court Ordered meeting expressed optimism that merger will impact positively on the bank.
They also urged the board and management of the bank to maintain its dividend payment policy post merger.
the National Coordinator Independent Shareholders Association of Nigeria, Sir Sonny Nwosu who spoke on behalf of other shareholders said he is convinced that the merger between Access Bank and Diamond Bank would work and bring returns on investment.
He urged the board and management to pay special dividend to existing shareholders instead of giving them bonus.
He expressed the need for the bank to recover all the legacy loans to increased their profitability.
According to the scheme of merger between two Banks , “the entire assets, liabilities and undertakings of Diamond Bank shall be merged with Access Bank to form the assets, liabilities and undertakings of the Enlarged Access bank which shall carry on the business of Diamond Bank, while Diamond Bank shall be dissolved without being wounded up.
The scheme explained that in order to preserve and maximises value for the Enlarge Access Bank post merger, Access Bank will ensure that all employees of the two institutions would be treated fairly and their continuing employment with the Enlarged Access Bank shall be based on merit.
Stating the reason for the merger, the Group Managing Director of Access Bank, Mr Herbert Wigwe said “a merger with Diamond Bank enables Access Bank to acquire a bank with 17 million retail customers and most viable mobile payment platform. The expected revenue and cost synergies are material and promises significant long term value. The merger will allow access bank to acelerate its prospects of becoming the leading retail bank in Nigeria and Africa.”