Jim Ovia To Exit As Zenith Bank’s Chairman After CBN’s Approval Of Holding Company

Jim Ovia, Founder and Chairman Zenith Bank Plc

Zenith Bank Plc said it has obtained regulatory approval from the Central Bank of Nigeria to operate as a holding company.

Consequently, the lender said the non-operating Financial Holding Company structure approved by the apex bank will be ‘Zenith Holdco Plc.’

Zenith Bank made the disclosure on Friday in a filing on the Nigerian Stock Exchange obtained by THE WHISTLER.

The first tier bank said in the document titled, ‘Central Bank Of Nigeria (CBN) Grants Approval-In-Principle (AIP) For Zenith Holdco Plc (In-Formation)’, that Jim Ovia will also double as the new Chairman of the holding company.

But Ovia will exit as Chairman of Zenith Bank after the commencement of Zenith Holdco Plc.

The bank said, “This is to inform the Nigerian Exchange Limited (NGX), shareholders and the general public that the CBN has granted Approval-In-Principle for Zenith Bank Plc to operate a non-operating Financial Holding Company structure.

“Furthermore, the CBN approved Mr. Jim Ovia as the Chairman of Zenith Holdco Plc (in-formation) and for Mr. Jim Ovia to also continue as the Chairman of Zenith Bank Plc until the commencement of Zenith Holdco Plc.”

The CBN had in 2010 introduced a banking model that requires banking groups with non-core banking activities to incorporate a holding company structure.

The model allows banks/banking groups to retain non-core banking business by evolving into a non-operating Holding Company structure.

Under the structure, the Holdco is expected to hold equity investment in banks and non-core banking businesses in a subsidiary arrangement.

Source: TheWhistler | Read More