Zenith Bank Plc has received preliminary authorisation from the Central Bank of Nigeria (CBN) to operate as Zenith Holdco Plc, a financial holding company.
An organization’s parent company, known as a holding company, owns the majority of the stock or membership interests in the holding companies it owns.
The lender announced plans to alter its organizational structure in a statement on Friday that was signed by the company secretary, Michael Otu.
With this modification, the organization will have a banking subsidiary in addition to other financial services-related businesses.
The CBN has given Zenith Bank approval-in-principle to run a non-operating financial holding company structure, according to a portion of the statement.
Also, the CBN gave Mr. Jim Ovia approval to serve as Chairman of Zenith Holdco Plc (in-formation) and to remain Chairman of Zenith Bank till Zenith Holdco begins operations.
This action will result in more banks in the nation acting as financial holding companies.
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