Nigeria’s apex court has formally approved the merger between Unity Bank Plc and Providus Bank Limited, bringing to a close all legal disputes that had delayed the creation of a combined banking institution set to rank among the country’s largest by branch network.
In a unanimous decision delivered on Monday, a five-member panel of the Supreme Court of Nigeria dismissed an appeal seeking to halt the transaction and awarded costs of ₦10 million against the appellants in favour of each respondent. The ruling effectively authorises the completion of the consolidation process after months of litigation.
The court went further by invoking its powers under Section 22 of the Supreme Court Act to directly sanction the merger, a step legal analysts describe as rare in banking-related cases. According to Brandspur Banking News Desk, the judgment ordered the transfer of all assets, liabilities, and undertakings of Unity Bank Plc to Providus Bank Limited within 10 days, without winding up the outgoing institution.
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Under the approved scheme, Unity Bank shareholders will receive a consideration of ₦3.18 per share or 18 Providus Bank shares of 50 kobo each for every 17 Unity Bank shares held. The court also dissolved Unity Bank’s board and approved “ProvidusUnity Bank Limited” as the new name for the enlarged entity.
The merger had earlier secured shareholder approval at a court-ordered Extraordinary General Meeting in September 2025, alongside regulatory clearances from the Central Bank of Nigeria and other statutory bodies. Legal challenges by two shareholders progressed from the Federal High Court to the Court of Appeal before reaching the apex court.
Senior counsel to Unity Bank described the ruling as decisive, noting that the Supreme Court’s intervention removed every remaining obstacle to the consolidation. When operational, the merged bank is expected to operate about 230 branches nationwide, combining Providus Bank’s digital banking strengths with Unity Bank’s extensive geographic footprint.
Industry observers say the enlarged institution will be better positioned to meet capital adequacy requirements under Nigeria’s ongoing banking reforms and to expand credit support for households, small businesses, corporates, and government entities.
