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Access Banks Acquires Diamond Bank Following CBN Approval

Valentine Chinyem

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The Central Bank of Nigeria (CBN) has finally given a nod to the acquisition of Diamond Bank by Access Bank.

According to a source who confirmed the deal, said it has been sealed and awaiting final ratification from the regulatory body, aftet which the CBN would make an official announcement to this effect within the week.

The acquisition was midwifed by the CBN in a bid to further consolidate the banking industry, sources informed.

It would be recalled that Diamond Bank made thr announcement last week, that it is dropping its international operating licence to focus on national operations following capitalisation issues.

This was made known Diamond Bank’s chief executive officer, Mr. Uzoma Dozie, who confirmed the development in a statement released on Friday.

“With this approval, the bank will cease to operate as an international bank,” Dozie had said.

“The re-licensing as a national bank supports Diamond Bank’s objective of streamlining its operations to focus resources on the significant opportunities in the Nigerian retail banking market, and the economy as a whole.

“The move follows Diamond Bank’s decision to sell its international operations, which included the disposal of its West African Subsidiary in 2017 and Diamond Bank UK, the sale of which is currently in its final stages.

“The change to national bank status also enables the bank to maintain a lower minimum capital requirement of 10 per cent, as against 15 per cent required for international banks.”