By Ogbuotobo Chuks

Mr. Bartholomew Ebong, group managing director and chief executive of Union Bank of Nigeria Plc (UBN) has said the bank is working on strategies to further increase its capital base in a bid to maintain its leadership position in the Nigerian banking industry.

UBN had in 2005 shore up its capital base to N100.5 billion, a development which made it then, one of the most capitalized in the sub-Saharan region. As part of effort to maintain its leadership position in the financial sector of the economy and the consolidation programme of the Central Bank of Nigeria (CBN), it acquired Universal Trust Bank Plc, Broad Bank Plc and Union Merchant Bank Limited, its former subsidiary.

Shortly after the consolidation, some banks have returned to the capital market to shore up their capital base to about $1 billion in line with the Central Bank of Nigeria (CBN) directive that any bank that is interested in managing a portion of the country’s foreign should raise its capital base to the level of $1 billion capitalization.

Already, Intercontinental Bank has achieved a new capital base of N170 billion, making it the first local bank to cross the $1 billion mark.

UBN is one of the leaders in the Nigerian financial sector, with more than 400 branches nationwide, a full-fledged subsidiary in London and is the first Nigerian bank to establish a representative office in South Africa.

UBN has developed into the largest financial supermarket in Nigeria with subsidiaries specializing in mortgage, insurance, trusteeship, stockbroking, property development, telecommunications and share registration.

Some of the subsidiaries include Union Homes Savings and Loans Plc, Union Assurance Company Limited, Union Trustees Limited, UBN Property Company Limited, Union Registrars Limited, Union Capital Markets Limited, Saffer-Union (West Africa) Limited, Unique Ventures Capital Management Company Limited.

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