Fidelity Bank Plc has announced its proposed acquisition of a 100 per cent equity stake in Union Bank UK Plc, following a binding agreement between the two bank.

Fidelity Bank, in a statement on Tuesday, signed by Fidelity Bank’s Company Secretary, Ezinwa Unuigboje, explained that the Central Bank of Nigeria (CBN) has issued a letter of ‘No Objection’ on the transaction, adding that the agreement is subject to regulatory approvals of the United Kingdom’s Prudential Regulatory Authority (PRA).

Managing Director/Chief Executive Officer, Fidelity Bank Plc, Nneka Onyeali-Ikpe said “The deal allows SME-focused Fidelity Bank, which holds an international banking permit but has never operated outside its base Nigeria, inroad into the UK market where, in 1983, Union Bank first set foot to provide personal banking, treasury management, and structured trade and commodity finance services.

“The proposed acquisition marks Fidelity Bank’s first foray into the international market and signals yet another milestone in the bank’s increasing profile as a leading African bank.”

She added: “The diverse service bouquet and business model of Union Bank UK offered a compelling synergy, and we hope to build on the existing capacity to create a scalable and more sustaining service franchise that will support the wider ecosystem of our trade businesses and diaspora banking services.”