The Federal High Court of Nigeria on 19 March 2019 sanctioned the merger between Access Bank Plc and Diamond Bank Plc (the “Banks”). The record-breaking merger which would no doubt engender the growth of the Nigerian Banking Sector resulted from the approval given by the shareholders of the Banks at their respective Court-Ordered Meetings held on 05 March, 2019. Prior to the sanctioning of the merger, the Banks had obtained the approval of the Central Bank of Nigeria and the Securities & Exchange Commission to proceed with the merger.
By the sanctioning of the Scheme of Merger, Diamond Bank has successfully transferred all its assets, liabilities and undertakings to Access Bank Plc. The entire issued share capital of Diamond Bank has now been cancelled and Diamond Bank dissolved without being wound up. As part of the Merger Scheme, it was reported that Diamond Bank’s shareholders are to receive a cash consideration of N1 per share and two ordinary shares of the enlarged Access Bank for every seven ordinary shares of Diamond Bank held as at the effective date of the Merger.