SINGAPORE, Oct. 18, 2012 /PRNewswire/ -- The Richard Chandler Corporation today announced that it has invested US$112 million to support the recapitalisation of Union Bank of Nigeria by Union Global Partners Limited (UGPL) consortium. This investment equates to a 13.4% position in Union Bank of Nigeria (UBN).
Founded in 1917, UBN is one of Nigeria's most recognised and established banks, with a strong heritage and a pedigree brand. UBN has a nationwide platform of over 400 branches, approximately US$6.6 billion of total assets and approximately US$ 3.5 billion of customer deposits. UGPL has recapitalised UBN with US$ 500 million, acquiring a 65% shareholding in the bank.
Nigeria has a population of 167 million, making it the seventh most populous country in the world and Africa's largest nation. Gross domestic product is projected to grow by more than 6.5% between 2012 and 2015 - one of the fastest rates in the world. The Government has introduced effective policy measures which have stabilised the banking sector in response to the impact of the recent financial crisis in Nigeria. The banking system is poised to support and accelerate Nigeria's long-term economic growth.
Richard F. Chandler, Chairman of the Richard Chandler Corporation, remarked:
"The Richard Chandler Corporation believes in building and developing great companies which can make a significant contribution to their nation's economy. UBN has a strong heritage and brand which has attracted a stable low-cost depositor base. UBN is well positioned to allocate credit to those who need it most and use it best. This should enable businesses and entrepreneurs to flourish, supporting and accelerating Nigeria's economic growth."
Dick Kramer, Chairman of UBN remarked:
"The Richard Chandler Corporation is a globally-renowned business group, with a strong track-record of investing in and building businesses in high-growth emerging markets. UBN and UGPL highly value the strategic investment of the Richard Chandler Corporation and its passion for building great companies. Furthermore, the Richard Chandler Corporation is one of the world's leading social development groups with healthcare and education initiatives across Asia and Africa."
About the Richard Chandler Corporation
The Richard Chandler Corporation is an international business group founded by New Zealand-born entrepreneur Richard F. Chandler. The Richard Chandler Corporation builds and operates businesses in energy, consumer and financials, healthcare, and education, with operations in Asia and the Pacific, Africa, the Americas, Europe, and the Middle East. The Corporation's vision of Building Great Companies and Great Nations reflects its belief in the power of business to drive national prosperity. In all its work, the Corporation places a special emphasis on good corporate governance as a crucial element of business sustainability and increasing stakeholder value. More information about the Richard Chandler Corporation is available on its website at www.richardchandler.com.
About Union Bank of Nigeria
Union Bank of Nigeria (UBN) was established in 1917 as Colonial Bank, and acquired by Barclays Bank in 1925. The bank listed on the Nigerian Stock Exchange in 1971. In 1972, twelve years after Nigeria's independence from Britain, the Federal Government of Nigeria (FGN) acquired a 51% stake in the bank. In 1979 Barclays Bank divested fully, and the bank was renamed the Union Bank of Nigeria Limited. In 1993, the FGN sold its shareholding to Nigerian individuals, making UBN a wholly private Nigerian enterprise. Today Nigeria is one of Nigeria's largest corporate and retail banks. In addition to its commercial banking activities, UBN also owns subsidiaries that are active in real estate, insurance and asset management.
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SOURCE Richard Chandler