wish to notify the Exchange and investing public that Diamond Bank Plc (“the
Bank") is in the final stages of divesting its 97.07% equity stake in
Diamond Bank S.A. ("Diamond S.A.") (“The Transaction"). The
proposed divestment is part of the Bank’s plan to align its business operations
to its long-term goal of capitalizing on the significant opportunities in the
August 2017, Diamond Bank executed a Share Sale and Purchase Agreement with
Manzi Finances S.A ("Manzi Finances“), a financial services holding
company based in Cote d’Ivoire. As part of the terms and conditions that will
govern the divestment, the bank will dispose its entire 1,985,000 shares, which
translates to 97.07% of outstanding shares in Diamond SA, for €61 million
(Sixty One million Euros) Regulatory approvals have been obtained in all
jurisdictions for the transaction.
to the provisions of Rule 17 (The Nigerian Stock Exchange’s ("The
NSE's") Rules) and Rule 187 (the Securities & Exchange Commission
(“SEC”) Rules & Regulations), which require the disclosure of material
non-public information to The Nigerian Stock Exchange (“NSE"), we hereby
notify the NSE of the Transaction; in view of the potential effect of the
Transaction on the securities of the Bank listed on the NSE.
Bank’s strategic objective is to be the fastest growing and most profitable
technology driven retail banking franchise in Nigeria. This strategic intent
requires the Bank to optimize the use of its resources which means, where
necessary, divesting from its non-core assets, and focusing on the priority
area, namely Nigerian retail banking.
Nigerian market has vast potential due
to strong fundamentals,
including millions of people who are either
under banked or unbanked, and changing lifestyles that favor use of mobile
devices to complete multiple transactions via digital and technology platforms
at consumers’ convenience. This is also underpinned by significant economic
potential driven by an entrepreneurial spirit, and a growing culture of innovation.
addition, Diamond Bank already has a foundation for growth in Nigeria with over
15 million customers, many of whom are owning bank accounts for the first time.
Moreover, by harnessing technology and fostering a digitally led approach, the
Bank has a framework in Nigeria that allows it to scale rapidly and
efficiently. These capabilities will have further positive impact on the
overall development of the financial system, and the Nigerian economy in
updated approach and deployment of resources stands to benefit all of Diamond
Bank’s key stakeholders — shareholders, customers and employees — in the
immediate, medium and long term.
NSE and investing public will be kept abreast of further developments, as they