Zenith Bank, Access Bank a number of other African and Middle East financial institutions have indicated interest in acquiring Union Bank and other assets of its holding group, Atlas Mara Group, a Pan-African banking Group.
Reports say that Atlas Mara has been working with Rothschild & Co to consider options for its Union Bank stake.
It is expected that the acquisition will end the incursion of Bob Diamond, the founder of Atlas Mara Limited and a former Chief Executive of Barclays Bank Plc into the African financial market.
Diamond is said to have misjudged competition in Africa by overpaying for acquisitions.
A report from Bloomberg which quoted sources that prefer anonymity since the plans are yet to be made public, said that the London-based group has received a number of offers for its 49.9% stake in Union Bank of Nigeria.
Key contenders for the acquisition are Zenith Bank, Access Bank as well as other Africa rivals like Morrocco’s Attijariwafa Bank.
Others are some Middle Eastern Banks and private equities who have indicated interest in acquiring all of Atlas Mara’s remaining assets in Africa including its Zimbabwe unit.
Atlas Mara has been working with Rothschild & Co to consider options for its Union Bank stake but there is still a lot of uncertainty around discussions.
On Wednesday, Atlas Mara Group said it has secured regulatory approval for the sales of its businesses in Botswana and Mozambique and received interest in other assets. Details were however, not disclosed.
The group added that it completed a planned restructuring exercise and extended a standstill agreement with its creditors to May 17.
The new date would enable it complete documentation. It added that is at the moment in dispute with 2 creditors, TLG and Norsad.