The Nigeria Deposit Insurance Corporation has announced the start of an asset sale for properties and chattels formerly owned by Heritage Bank, marking a major step toward providing liquidation dividends to uninsured depositors of the defunct bank.
This action is part of the NDIC’s statutory responsibilities as the liquidator for failed banks, in accordance with Section 62 (1)(d) of the NDIC Act, 2023.
In addition to selling the bank’s physical assets at leased locations, NDIC said in a statement that it would conduct a competitive bidding process for the sale of Heritage Bank’s real estate properties across 36 locations in Nigeria, beginning December 4, 2024.
“Buyers who wish to participate in the auction are expected to follow laid down guidelines aimed at ensuring transparency, fair competition, equity, and accountability to enable recovery of commensurate values from the exercise,” the NDIC stated.
According to NDIC, “The goal is to ensure fair value recovery for use in liquidation dividend payments to eligible claimants.”
The agency further clarified that financial institutions interested in purchasing the properties will receive preference to encourage ongoing financial services at former Heritage Bank locations and to support financial inclusion efforts.
“Preference shall be given to financial institutions who are willing to buy any of the properties at the highest auctioned prices along with all the physical assets at wholesale value,” the statement added.
Nonetheless, corporate bodies and private individuals are equally encouraged to participate in the competitive bidding process.
Prospective bidders will have the chance to inspect properties and chattels in advance.
All participants must submit a 10 percent bid security based on their proposed bid values, and bids are to be submitted at designated NDIC offices in Abuja, Lagos, Bauchi, Kano, Enugu, and Port Harcourt.
