Union Bank, Intercontinental, 3 others may be acquired
Gbola Subair, Abuja - 27.08.2009
THE five troubled banks, Union Bank, Intercontinental Bank, Afribank, FinBank and Oceanic Bank, may cease to exist as the Central Bank of Nigeria (CBN) wants them taken over by other banks in a recapitalisation plan to be unfolded in London on Friday.

A CBN source told the Nigerian Tribune that the apex bank governor, Mr. Lamido Sanusi, preferred the ailing banks being taken over by other banks rather than setting up an asset management company to take over the non-performing loans.

To ensure that other banks take over the ailing banks, the apex bank source said the banks would be valued properly by a consortium of valuers to ensure that they were not undervalued.

Friday’s meeting with international banks, lenders and rating agencies, according to the apex bank would also be used to discuss the recent N420 billion bailout for the five banks.

Sanusi will be accompanied by the new management teams of Afribank, FinBank, Intercontinental Bank, Oceanic Bank and Union Bank.

The CBN had, on August 14, 2009, injected N420 billion into the five banks and sacked their managing directors and the executive directors over what it described as weak and unethical management, which left the banks very weakly capitalised to the point of collapse.

In injecting the bailout, the apex bank said the capital injection was only a temporary measure and that the institutions would be run as ongoing concerns until new investors could be found to recapitalise and take them over.

However, this intention of the CBN may pitch the CBN against the shareholders of these banks who have vowed to resist any takeover of the banks through the backdoor.

http://www.tribune.com.ng/27082009/news/news3.html

I said it from day one!
De real agenda don de comot sha.

Well, I've heard it and it's really becoming true that this Sanusi and YARADULL want to islamize the country. I read from the dailies that he was recently seen in Saudi Arabia having talks with the Arabs on how to take over Nigerian banks. What a shame.
Let's remember that these people, Akingbolas and Ibrus have been running this business on diesel and have been creating employment for Nigerian graduates despite the field of study. What the govt has to pay them back with is to sell off their businesses. What a foul play and gross injustice. Mr. Sanusi, you can't just snatch another person's business. Business is grown or cultivated not acquired. Better go and grow your own. It is now becoming clear that Nigerian cannot work. I think the solution still remains Sovereign National Conference, where Nigerians would be allowed to air their views on how they wish to be goverened or if they would prefer to disintegrate.
Let him that read also understand.

The notherners control the government and now they want to control the economy? ? Ive said it times without number that these notherners are desperate and will stop at nothing till every other tribe and religion is second class.

We need to divide this country now!!!The entity NIGERIA has failed in all ramifications and hence has no further reason or significance in existence

Sanusi is trying to rob someone of his business. This is gross injustice. Has any of the depositors complained of not collecting his money any time he demands for it? i think Sanusi should come out of that seat. He's not credible.
Secondly, can't any other person see that Nigeria has being led by blind leaders who have no focus. IBB came and failed, Abacha came and failed, Abdulsalem came and failed, OBJ came and failed, and the weakling, YARAWEAK is already and they'll still rig him in again in 2011. Let's pray that God does not allow them.

God! what's all this mess? Why do they want to sell the Banks now? Now the volumes of withdrawals gonna increase by 10,000%.

Acquisitions won't lead to massive withdrawals, rather it will strenthen the banks the more. I think that is what we precisely need at a time like these.

babaearly:

God! what's all this mess? Why do they want to sell the Banks now? Now the volumes of withdrawals gonna increase by 10,000%.

Because you have a  YAR A'CLUELESS,  YAR A'LIAR  and  YAR A'FAILURE as your president.

Even for a newly graduated economist will tell you that once you recapitalise and have new management, plus the DEBTORS are now paying, you simply restructure internally.

Nigeria is an emerging economy, trying to do a dramamtic things (even though it may be useful or necesasary) would cause a bigger damage.

We have all said it before when they were appointing all the KANO and KATSINA men to run majority of the Economic sector.

Our Northern brothers have failed to run the political scene and they want to try their hands on the Economy/financial sector. It will even be catastrophic.

The only good things that the North may cause their own demise quicker than we all think.

For whatever it is worth we hope that somehow  YAR A'DULL will not get re 'selected' for 2011.

We need a SERIOUS REVOLUTION in this country, NOT THE ONE BASED ON ETHNIC/TRIBAL LINES.

Friends,its not about calling yaradua and his associates names, its about realizing that this project called Nigeria has failed.once a project fails what do you do?

I can see a weak Unity (northern) bank "acquiring" Union, Intercontinental, or even Oceanic. Afterall, gofament go provide abinchi for aboki

naijaking1:

I can see a weak Unity (northern) bank "acquiring" Union, Intercontinental, or even Oceanic. [i]Afterall, gofament go provide abinchi for aboki[/i]

!!! Naija sef!!!

There is no law against the acquirement of those banks as long as due process is followed and the huge debts hanging on their heads liquidated.

@topic

Finally the northern agenda is starting to become exposed . . . gradually

I read somewhere that Vanguard had reported exactly this kind of scenario in March, seems like a northern islamic take over of the country .