News Column

Actis Cedes Major Stake in Diamond Bank

August 22, 2014

Henry Ifeanyi

ACTIS DB Holdings Limited, one of the major investors in Diamond Bank, has sold its 14,79 stake to Kunoch Holdings.

The bank announced the new share structure in a statement.

Actis, a private equity investor specialising in investments in emerging markets, acquired a significant equity stake in the Bank in 2007.

Peter Schmid, Actis Head of Private Equity said that over the years, positive contributions by Actis, other institutional investors and the new management team of the Bank have created additional value for all Diamond Bank's shareholders.

"We have worked with Diamond Bank to build a strong franchise over the last seven years.

"During the period of our investment, Diamond Bank underwent substantial change and is now recognised by the Central Bank of Nigeria as one of the systemically important banks in the industry.

"The Bank has a strong and capable management team to take it to the next stage of its development and Actis wishes Alex and his team well in this next phase," he said.

Dr Alex Otti, Group Managing Director of Diamond Bank, said his bank was happey to have worked with Actis.

"We are pleased to have worked with Actis over the last seven years, and are excited about the next stage of the Bank's development. Diamond Bank is one of the leading retail banks in Nigeria, with exciting growth prospects in the retail segment of the Nigerian economy as well as a strong position in the Micro, Small and Medium Scale Enterprises and corporate segments of the economy," he said.

He added that the Bank was currently undertaking a Rights Issue to raise an additional N50.3 billion which is expected to position the Bank to further enable it execute its strategy going forward.

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Source: AllAfrica

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