The Assets Management Corporation of Nigeria (AMCON) has said that it will commence the process for the sale of Polaris Bank, after the incoming general elections.
Spokesman for AMCON, Jude Nwazor, said that the corporation will advertise for investors to express their interest which will help the process of the sales after the election.
According to the spokesman, the corporation is seeking to recover non-performing debts owed to Polaris Bank and has asked for proposals on repayment.
Polaris bank was set up in 2018 to take over the assets of Skye Bank Plc, which collapsed and had its operating licence revoked by the Central Bank of Nigeria (CBN).
N786 billion had been injected into the bank through the Asset Management Corporation of Nigeria (AMCON) to ensure the bank is sound and profitable.
The Central Bank of Nigeria’s governor, Godwin Emefiele, had in September 21, 2018 announced the take over of Skye Bank.
Emefiele said the decision was reached following the inability of the owners of the bank to shore up the capital of the distressed bank which had earlier received a N350 billion intervention in July 2016.
“Skye Bank requires urgent recapitalisation as it can no longer continue to live on borrowed times with indefinite liquidity support from the CBN.
“We have decided to establish a bridge bank, Polaris Bank, to assume the assets and liabilities of Skye Bank.
“The strategy is for AMCON to capitalise the bridge bank and begin the process of sourcing investors to buy out AMCON.
“By this decision the licence of Skye Bank is hereby revoked,” he said.
Also the management of the distressed Skye Bank would be retained to continue to manage the newly licensed Polaris Bank.
According to the CBN governor, given the good performance of the board and management, the CBN shall retain them.