TrustBond Mortgage Bank Plc and First Mortgages Bank (FBN Mortgages) emerged a consortium of large mortgage institution that will help close the housing deficit in the country.
Their emergence was sequel to the holding of their court ordered meeting.
The Chairman, First Mortgages Bank formerly a subsidiary of First Bank Plc, Adesina Augustine Buramoh-Adenuyewo said the objective of the merger was to create a stronger mortgage institution capable of competing more vibrantly within the nation’s mortgage sector.
He said the goals of the merger will be achieved through the consortium having specific strategic skill, service excellence and redefined support to the primary mortgage sub-sector.
He said these shared strategic focuses will present enhanced value for the customers of both institutions, eliminate excess capacity and offer effective management of risk assets.
He added that the new bank will be repositioned through continuous improvement in advanced cutting edge technology that will improve access to innovative mortgage products.
He said: “We believe the new bank would run more efficiently than each bank operating on its own. Specifically, we expect the bank to have higher operating synergies which will result in increased gross income and interest income, decreased interest expense, enhanced credit management, and other benefits made possible by combining complementary operations. The synergy in the proposed merger is to create enhanced stakeholders and shareholders’ value.”
Executive Director, Business Development, FBN Mortgages, Ngozi Ogunwa said the consortium is to make mortgages available to a greater number of people. The Nation