KEY POINTS

• NDIC sells Heritage Bank assets to offset the costs of depositor compensation.
• For simplicity, let’s call these institutions ‘priority institutions’ so the rule can effectively read: The priority institutions have to maintain financial service access.
• Percent bid with 10 for competitive and open contract bidding with bid security based on 10 percent of the offer amount.

The Nigeria Deposit Insurance Corporation (NDIC) has commenced the sale of property of the closed Heritage Bank. For cash flow for liquidation dividends to ‘’uncompensated depositors ’’.

Following its statutory mandate as liquidator under the Nigeria Deposit Insurance Corporation Act NDIC Act 2023, this auction encompassing both properties and chattels.

This comes after the physical and legal sale of Heritage Bank properties all the buildings in which it occupied throughout the country.

Auction process: bidding eligibility

On the discussion on Asset Sale NBIC Nigerian new Asset Sale NDIC plan to sale 36 branch of Heritage Bank Nigeria. The purchase will be through Competitive bidding that will take place on 4th December 2024.

It is recommended that financial institutions respond to ensure that financial service is provided at these sites; corporate bodies and other individuals can also apply.

The offers must be accompanied by a bid security in the amount of 10% and bidders have access to the properties prior to the auction.

International financial assistance through transparency and financial Inclusion

Due to fairness consideration the NDIC has set standard guidelines for the auction in a bid to enhance transparency.

It specifically seeks to continue ensuring that there is public financial service accessibility in those locations to support the Nigerian’s goals towards financial inclusion.

To complement this NDIC interacts with potential buyers at offices in ABUJA, LAGOS, BAUCHI/KANO, ENUGU/ PORT HARCOURT where interested buyers are free to place their bid for the takes over assets.