Unity Bank Plc, in a notice released to the Nigerian Stock Exchange (NSE) has responded to the alleged termination of a $1 billion investment by Milost Global a private equity firm.

Here are key points from the press release.

Bua group
  • Milost Global was introduced to the Bank by Mayo BV.
  • The conditions given by Milost were contained in a proposal which neither of the parties had committed to.
  • At no point did Unity Bank agree to delist from the Nigerian Stock Exchange.
  • There was also no agreement whatsoever for the acquisition of a 60% stake in the bank.
  • The bank had no binding definitive agreement with Milost Global.
  • Threat mails sent to Milost Global did not emanate from the bank. The private equity firm allegedly received threatening emails from an individual to terminate the Unity Bank transaction or risk being shut out of the country. Milost also stated that negative articles started appearing in the local press and last week, following which Unity issued a “false statement which denying any binding agreement
  • Since both parties were only engaged in preliminary discussions with no binding commitment agreement, the issue of termination does not arise.

Why so late ? 

Unity’s response comes two days after Milost announced it had terminated the transaction. An earlier statement by the bank merely disclosed that talks had not been concluded.

Previous media statements by Milost Global had revealed that it had begun discussions with the Central Bank of Nigeria (CBN) over a possible acquisition of a large bank. The apex bank has maintained a studious silence.

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