Shareholders May Lose Over N10 Billion To Skye Bank’s Takeover
Image: Nairaland

The shareholders of Polaris Bank  Plc may lose N10.69 million following the recent takeover of Skye Bank.

This followed the inability of the owners of the bank to shore up the capital of the distressed bank.

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Guardian Nigeria reports that the retail investors were battling with an N83 billion investment loss of investment due to the sale of the three nationalised banks- Keystone Bank Limited; Mainstreet Bank; and Enterprise Bank, they are currently faced with another dilemma arising from the sale of the Skye Bank.

The shareholders noted that the investors showed apathy to the Nigerian stock market since it suffered a meltdown in 2009.

According to a former Secretary General of the Independent Shareholders Association of Nigeria, Adebayo Adeleke as Skye Bank no longer exists, the N10.69 billion shareholders’ fund has also gone.

“The regulators have specific responsibilities giving to them by the act that establishes them, CBN protects the interest of the depositors, NDIC insures the securities of the deposit, AMCON is the midwife, to get the get the banking industry out of this toxic asset,” Adeleke said.

“We have SEC, whose statutory duty is to protect the interest of the investors.

While all these regulators have played their part, you will find out that it is only SEC that did not do anything at all.

“Unfortunately, Skye Bank had its own problem, but the management put in place by CBN in the past two years, with no annual report, no yearly general meeting, should explain at what point they really asked shareholders to recapitalise the bank and the shareholders said no.”