Nigeria Bank Case Study

recapitalization. The table 1.1 below show at a glance the breakdown of the merger and acquisition of Nigerian banks from 2005 to date:

Table 1.1. Emerged Banks after the Bank consolidation exercise

S/N Bank Name Member of the group

1

Access Bank ** Marina Bank, Capital Bank International, Access Bank

2 Afribank PLC Afribank PLC, Afribank (Merchant bankers).

3

Diamond Bank Diamond Bank, Lion Bank, African International Bank

4 Eco Bank ** Eco Bank

5 ETB PLC Equatorial Trust Bank (ETB). Devcom Bank

6 FCMB PLC FCMB, Co-operative Development Bank, Nig-American Bank, Midas Bank

7 Fidelity Bank PLC Fidelity Bank, FSB Int‟I Bank, Manny Bank

8 First Bank PLC FBN PLC, FBN Merchant Bankers, MBC International Bank

9

First Inland PLC IMB, Inland Bank, First Atlantic Bank, NUC International Bank

10 GT Bank PLC Guarantee Trust Bank

11 IBTC-Chartered Bank PLC * Regent Bank, Chartered Bank, IBTC

12

Intercontinental Bank PLC Global Bank, Equity Bank, Gateway Bank, Intercontinental Bank

13 Nigeria International Bank Ltd Nigeria International Bank Ltd. (Now Citi Bank Ltd).

14 Oceanic Bank PLC ** Oceanic Bank, International Trust Bank

15 Platinum-Habib Bank PLC Platinum Bank, Habib Bank

16 Skye Bank PLC Prudent Bank, Bond

The recent M & A transactions for 4 of the intervened banks were largely driven by the need to address their deficient capital positions. The transactions were largely assisted by the Regulatory Authorities through the provision of technical support in the form of advice. While the development is expected to resolve the problems of the intervened banks, there are obvious issues and challenges that should be addressed both by the Regulatory Authorities and operators in order to derive maximum benefits from the outcome of the transactions. Kai (2002) summarized the major problems that are still inherent in many banks in Nigeria