Keystone Bank Sold to Nigerian Investors For N25 Billion

Keystone Bank Limited, one of the banks acquired by Central Bank of Nigeria under the leadership of Sanusi Lamido Sanusi in 2009, has been sold off.
The Asset Management Company of Nigeria, AMCON, in a statement yesterday, said the bank was sold to Sigma Golf Nigeria Limited and Riverbank Investment Resources Limited (the Sigma Golf – Riverbank consortium).
The statement signed by Jude Nwauzor, AMCON’s Head of Corporate Communications, said “it is pleased to announce Sigma Golf Nigeria Limited and Riverbank Investment Resources Limited (the Sigma Golf – Riverbank consortium) as the new investors in relation to the acquisition of the entire issued and fully paid up ordinary shares of Keystone Bank Limited.”
“This follows the receipt of the necessary regulatory approvals from the Central Bank of Nigeria (CBN) and the Securities and Exchange Commission (SEC). The completion of the Transaction is subject to the fulfilment of the conditions precedent as stated in the Share Sale and Purchase Agreement (SPA) executed between AMCON and the Sigma Golf – Riverbank consortium.”
Sigma Golf Nigeria Limited and Riverbank Investment Resources, the corporation stated, were entities set up by local investors, adding that the process for the sale of the bank started with interest shown by 18 parties cutting across local and international investors.
The emergence of the Sigma Golf-Riverbank consortium resulted from a rigorous and competitive bidding process, which was coordinated for AMCON by Citibank Nigeria Limited and its affiliates and FBN Capital (Joint Financial Advisers), and Banwo & Ighodalo and Crosswrock Law (Joint Legal Advisers),” AMCON added.
The corporation had in a publication explained that in furtherance of its strategic objectives, it had decided to divest its shareholding in Keystone Bank. Based on the audited financial statement of the bank as of June 30, 2015, Keystone Bank’s total assets stood at 317.6 billion naira, customer loans at 98.2 billion naira, customer deposits at 245 billion naira and total equity at 18.9 billion naira.
The bank, which was valued at almost 4 billion naira, was sold to the Sigma Golf-Riverbank consortium for 25 billion naira ($81.5 million), while the reserve bidder offered 13 billion naira ($42.4 million) for Keystone Bank.
Keystone Bank was incorporated by the Nigerian Deposit Insurance Corporation on August 3, 2011, following the revocation of the license of Bank PHB by the CBN.
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