Speaking at the agreement signing ceremony at the UBA's headquarters, Group Managing Director, UBA, Mr Tony Elumelu, said: "This transaction reinforces our relationship with IFC and our common commitment to developing the financial markets in Nigeria and the rest of Africa. We hope to make this strategic partnership with IFC a success story, which should also translate to increased shareholder value for our investors. This support by IFC is a very good signal to current and future investors in UBA."
He said the implication of the investment was that IFC would eventually convert the loan to equity and become a shareholder in UBA and have a representation on the board of the bank. IFC and UBA are developing a strategic alliance under which IFC is investing in and providing advisory services to the bank in numerous areas.
IFC's Country Manager for Nigeria, Mr Solomon Adegbie-Quaynor, on the occasion said: "Nigeria's financial market has experienced good regulatory reforms which have also catalyzed further market consolidation to create well-capitalised and stronger banks in terms of risk management. We are, therefore, shifting our strategy from providing only long-term credit facilities to forming long-term strategic partnerships with select banks and other financial institutions to deepen existing market segments that they serve, as well as enter new market segments where needs and opportunities are great."
Source: allafrica
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