Union Bank Reimagined: A merger that shapes tomorrow

In a historic move that is set to reshape Nigeria’s financial services landscape, Union Bank of Nigeria has officially completed its long-anticipated merger with Titan Trust Bank, marking the dawn of a new era in banking.

The merger, finalized on September 1, 2025, combines Union Bank’s century-long legacy with Titan Trust Bank’s youthful dynamism, creating a formidable institution that delivers enhanced value, innovation, and inclusion to millions of customers nationwide. Nobody is sure whether the bank aims to compete with tier 1 international banks, which require a capitalization of N500 billion, or national banks with a capitalization of N200 billion.

However, the integration means that Union Bank and Titan Trust Bank have now become one financial institution, operating under the name Union Bank of Nigeria Plc. All Titan Trust branches have been rebranded and recognized as Union Bank branches, instantly expanding the bank’s physical footprint and digital presence nationwide. For customers, this union promises expanded branch networks, enhanced digital platforms, more innovative products, and improved customer service.

Acquisition or Merger

The journey to this milestone began in late 2021, when Titan Trust Bank signed a Share Sale Agreement to acquire a majority stake in Union Bank. By June 2022, Titan Trust Bank had successfully acquired the majority of Union Bank’s issued share capital, triggering significant changes in the governance and ownership structure of one of Nigeria’s oldest banks.

In November 2022, regulatory requirements mandated that Titan Trust extend a Mandatory Takeover Offer to other shareholders, thereby consolidating its control. By May 2023, the bank moved to acquire the remaining shares through a scheme of arrangement, which resulted in the delisting of Union Bank from the Nigerian Stock Exchange later that year.

Finally, after a comprehensive integration process and obtaining regulatory approvals, the two institutions were merged into a single, unified entity on September 1, 2025. The merger marks the end of Titan Trust Bank as a standalone entity and the continuation of Union Bank as a stronger, reimagined brand.

Experts believe strongly that Titan Trust Bank acquired Union Bank, Big Strong and Reliable Bank, which was in the same league as First Holdco, UBA, among others.

Speaking on the issue, the Vice Chairman of the board at Highcap Securities Ltd, Mr. David Adonri, said Titan Trust Bank was a stronger partner in the acquisition. Adding that it actually came to rescue that bank whose shares were delisted from the Nigerian Exchange group when the CBN intervened.

Heritage Meets Innovation

Union Bank, with a history spanning over 108 years, has long been a trusted name in Nigeria’s financial services industry. Its heritage of reliability and deep-rooted customer trust is now complemented by Titan Trust Bank’s agility and forward-looking strategies. Established in 2018, Titan Trust Bank was built on the vision of leveraging innovation to close market gaps, quickly establishing itself as a disruptive force in Nigeria’s banking sector.

The merger, therefore, represents the fusion of tradition and modernity. Union Bank contributes scale, heritage, and trust, while Titan Trust brings technological innovation, operational agility, and an entrepreneurial spirit. Together, they form a bank that is better positioned to meet evolving customer needs and to compete more aggressively in Nigeria’s dynamic financial services sector.

Union Bank’s Chief Executive Officer, Mrs. Yetunde Oni, described the merger as a transformative event: “By blending stability with innovation, we are better positioned to meet the evolving needs of Nigerians and to be their most trusted financial partner.”

Customer Benefits and Market Impact

For customers, the merger translates into seamless banking experiences. Account details remain unchanged, meaning customers face no disruption in services. Instead, they stand to gain from a wider range of products and services, stronger digital offerings, and access to an expanded branch and ATM network.

The combined institution now boasts over 293 service centers and 937 ATMs nationwide, significantly strengthening Union Bank’s reach across Nigeria. Enhanced digital platforms will also allow the bank to serve customers more efficiently, especially in underserved regions where financial inclusion remains a national priority.

This merger also promises operational synergies, reducing duplication of efforts while unlocking efficiencies that will translate into improved customer service and product innovation. The unified institution has committed to serving diverse segments, including retail banking, small and medium enterprises (SMEs), and corporate banking customers.

Overcoming Challenges Along the Way

The merger comes against the backdrop of challenges faced by Union Bank in recent years. In January 2024, the Central Bank of Nigeria (CBN) intervened in the bank’s governance, citing concerns regarding regulatory compliance and corporate governance. This intervention, while unsettling at the time, paved the way for a reset that helped stabilize the institution and allowed the merger process to proceed.

Union Bank also faced external pressures, including Nigeria’s inflationary environment, exchange rate volatility, and rising operating costs. Despite these challenges, the bank demonstrated resilience, reporting a 20% growth in profit before tax (PBT) to N79.8 billion in H1 2024, compared to N66.5 billion in the same period in 2023. Gross earnings surged by 58%, reflecting strong performance despite market headwinds.

This financial performance, coupled with Union Bank’s recapitalization plan in line with CBN’s Banking Sector Recapitalization Program, positioned the bank to withstand shocks and emerge from the merger in a stronger financial state.

Regulatory Oversight and Fitch Downgrade

While Fitch Ratings downgraded Union Bank’s credit rating to CCC in August 2024, citing breaches in capital adequacy requirements and high loan concentration risks, the merger is expected to restore confidence in the bank’s capital structure. With Titan Trust’s backing and the ongoing recapitalization, analysts believe the merged entity is better equipped to address regulatory concerns and rebuild market trust.

The merger also underscores the CBN’s broader agenda of strengthening the Nigerian banking sector by encouraging consolidation, governance reforms, and recapitalization.

A Vision for the Future

The leadership of the new Union Bank is positioning the institution as a driver of sustainable growth, financial inclusion, and digital innovation. With expanded resources and strengthened capacity, the bank is expected to compete more effectively with tier-one institutions while carving out a distinct niche in retail and SME banking.

Board Chairman, Mr. Bayo Adeleke, emphasized the forward-looking nature of the merger:

“By bringing together the strengths of both institutions, we are committed to creating lasting value for our customers, shareholders, and communities while advancing Nigeria’s financial inclusion agenda’’

The bank has also reiterated its commitment to investing in technology, expanding its digital lending platforms such as UnionKash, and building strategic partnerships that support innovation in payments, lending, and customer engagement.

The successful merger of Union Bank of Nigeria and Titan Trust Bank is more than just a corporate transaction; it is a reimagining of what the future of banking in Nigeria can look like. By combining heritage with innovation, scale with agility, and tradition with forward-looking strategies, Union Bank has positioned itself for long-term growth and relevance.

As customers begin to experience the benefits of a stronger, more innovative Union Bank, the merger will be remembered as a pivotal moment that reshaped the financial landscape and reaffirmed Union Bank’s place as one of Nigeria’s most trusted financial partners.

With its roots deep in history and its eyes firmly set on the future, Union Bank is not just surviving the storms of change; it is reimagining to shape tomorrow.