The Rise and Fall of Nigerian Banks: A History of Mergers, Acquisitions, and Liquidation

Patrick OdeyAugust 4, 2023

2 minutes read

Nigeria’s banking sector has witnessed many changes over the years, as some banks have disappeared from the scene due to various factors such as rebranding, acquisition by other banks or entities, liquidation, etc.

Some of these banks had their licenses revoked by the Central Bank of Nigeria (CBN) and were either taken over by an existing bank or took on a new name completely.

In this article, we will look at some of the Nigerian banks that no longer exist and what happened to them:

Afribank Nigeria Plc:

Afribank was one of Nigeria’s oldest banks, established in 1959 by French investors. It had over 250 branches across Nigeria until it ran into financial troubles and its license was revoked by the CBN in 2011. It was then rebranded as Mainstreet Bank Limited, which was later acquired by Skye Bank (now Polaris Bank) in 2014.

Bank PHB:

Formerly known as Platinum Habib Bank, Bank PHB was once a commercial bank in Nigeria and the fifth largest financial service provider at the time. Founded in 2005, it failed to meet the recapitalisation deadline set by the CBN in 2011 and its license was revoked. It is now known as Keystone Bank Limited.

Spring Bank:

Spring Bank was formed by the merger of six other financial institutions in 2005. It faced difficulties and had its licence revoked by the CBN in 2009. Its assets and liabilities were later acquired by the newly established Enterprise Bank Limited in 2012, which was subsequently acquired by Heritage Bank in 2014.

Intercontinental Bank:

Founded in 1989, Intercontinental Bank was one of Nigeria’s prominent commercial banks that was taken over by the CBN in 2011. Subsequently, its operations were acquired by Access Bank, and since then it ceased to exist as a separate entity.

Oceanic Bank:

Oceanic Bank was founded in 1990 by the Ibru family until it faced financial challenges and was taken over by the CBN in 2011. It was eventually acquired by Ecobank that same year and its operations were integrated into Ecobank Nigeria.

Skye Bank:

Skye Bank, now known as Polaris Bank, was taken over by the CBN and had its operating license withdrawn in 2018. The CBN then established a bridge bank called Polaris Bank to take over the assets and liabilities of Skye Bank.

Diamond bank:

Diamond bank was founded in 1990 and had its headquarters situated in Lagos State. It was one of Nigeria’s prominent banks at the time but was acquired by Access bank in 2018 and announced its full merger in 2019 to enable them build a new entity.

These are some of the Nigerian banks that no longer exist and had their names changed over time. The banking sector is constantly evolving and facing new challenges and opportunities.

As customers, we should always be aware of the status and performance of our banks and make informed decisions about our financial transactions.

The demise of these Nigerian banks has had a significant impact on the country’s banking sector. It has led to a loss of jobs, a decline in competition, and a decrease in the availability of financial services.

It is important to be aware of the history of these banks so that you can make informed decisions about your own financial future. If you have accounts with any of these banks, you should contact them to find out how your accounts will be affected.