Targets N30bn annual cost savings from merger
Diamond Bank to write off all bad loans
By Babajide Komolafe & Peter Egwuatu
Access Bank Plc, yesterday, said it will raise Tier 2 capital of $250 million (N90 billion) to strengthen its capital base ahead of its merger with Diamond Bank.
Meanwhile the post merger entity will lead to annual cost savings of N30 billion, to be derived from consolidation of support functions and processes, the benefits of scale, branch consolidation and Headquarters centralisation.
Managing Director/Chief Executive, Access Bank Plc, Mr. Herbert Wigwe disclosed this while addressing the press at the bank’s head office in Lagos in company of Managing Director/Chief Executive, Diamond Bank, Mr. Uzoma Dozie.
Wigwe also disclosed that no toxic asset will be carried into the post merger entity, saying Diamond Bank will write off all its bad loans prior to the consummation of the merger.
He said: “We are about to conclude with some…
