Union Homes Acquisition :
ASO Savings Shareholders give Bank Management clean bill of health

say the transaction was transparent and complies with rule book

Shareholders of ASO Savings and Loans Plc have given the Management of the Mortgage Bank a clean bill of health on the way it handles the acquisition of Union Homes Savings & Loans Plc, insisting that contrary to the claims in certain quarters, the transaction followed all due processes to the satisfaction of all stakeholders.

Following the Central Bank of Nigeria, CBN's directive to Banks to divest their ownership of Subsidiaries in the non-core banking sector, Union Bank Plc had put out Union Homes for acquisition.

ASO Savings emerged as the successful bidder, acquiring 92 per cent ownership stake in Union Homes, through its Investment Vehicle, UH Investment Nig Ltd, with the payment of N5 Billion capital deposit to the CBN.

Following the successful acquisition of Union Homes, the Management of ASO Savings immediately commenced the integration process which is aimed at merging the acquired Union Homes with ASO Savings to form one corporate entity.

This integration process, which requires ASO Savings to take over the actual management of the affairs of Union Homes by ASO Savings' representatives drawn from its Board and Management, received the regulators' and CBN's approval.

To ensure a seamless integration process, the Executives of ASO Savings took charge of the day to day management of the newly acquired entity.

In an Advertorial, ASO Savings' Shareholders noted that the integration process was widely accepted by Union Homes staff, enabling ASO to commence the task of resuscitating the ailing firm and ultimately bringing it to profitability.

The ASO Shareholders are however disappointed by the activities of some staff who have continued to throw spanner in the works.

Said the Shareholders in the Advertorial: "A few members of Staff, masquerading as Staff Union members, had, for their selfish motives, sought to frustrate the integration process, using threats, extortion and blackmail."

The Shareholders noted further: "The inordinate demands of such group of Staff include, amongst others, a demand for payment of the sum of N1 Million to each member of the group, with a threat to disrupt the integration process and make damaging publications amongst other threats against ASO and its Executives if the demands are not met."

The antics of these few Staff not withstanding, the Shareholders, in the Advertorial throw their weight behind the management in its integration process, noting that they are "unmoved by the blackmails, threats and intimidation by these elements who are now sponsoring untrue and damaging publications against the Bank as well as inciting faceless persons to impersonate the Bank’s Minority Shareholders.."

"As Shareholders, we also affirm our total support for the Management of ASO in its efforts to resuscitate the ailing operations of Union Homes, settle its obligations to various counterparties,conclude the integration process, and transition the merged entities into an undisputed leader in the Mortgage Banking industry, " the Shareholders concluded.