The management of Keystone Bank has alerted customers and other stakeholders that the financial institution is now fully owned by the Federal Government.

The bank management, in a statement published on X handle on Tuesday evening said the transition in ownership of the bank was due to recent ruling by a Lagos State High Court, Ikeja, against the former owners on Tuesday, 11, February.

Keystone Bank also noted that the Central Bank of Nigeria (CBN) had previously dissolved the Board and Management of the Bank for corporate governance breaches.

It added that The CBN followed this action with the appointment of a new Board and Management for the Bank with the suit filed at the Lagos High Court challenging the ownership of the Bank.

The judgement in the suit has now ceded ownership of Keystone Bank to the Federal Government, according to the management.

The statement read, “Keystone Bank Limited wishes to clarify media report of a judgement by the Lagos State Special Offences Court, sitting in Ikeja, Lagos, on Tuesday, February 11, 2025, regarding the status of the former shareholders of the bank: Sigma Golf Nigeria Limited and Alhaji Umaru H. Modibbo.

“Recall that on January 10, 2024, the Central Bank of Nigeria (CBN) announced the dissolution of the previous Board and Management of the Bank for corporate governance breaches. The CBN followed this action with the appointment of a new Board and Management for the Bank.

“Subsequently the Federal Government through the EFCC filed a court action at the Lagos State High Court, Ikeja, against the former owners challenging the acquisition of the bank. At the sitting of the court today, February 11, 2025, the court ordered the forfeiture of the shares of the Bank previously held by the shareholders in favour of the Federal Government of Nigeria. The implication of this judgment is that Keystone Bank Limited is now fully owned by the Federal Government of Nigeria.”

Keystone Bank is entering a new era of stability and growth. Our foundation is solid, our future is bright, and our commitment to you remains stronger than ever. We move forward—together.

The management of the Bank described the development as a “significant milestone in our journey,” “paving the way for a seamless recapitalization process”.

“With this clarity, we are well-positioned for sustained growth, stronger partnerships, and enhanced profitability. Keystone Bank continues to strengthen its balance sheet while delivering exceptional value to its teeming stakeholders,” the statement read.

“The bank maintains a strong financial position, consistently fulfilling all its obligations and adhering to all regulatory requirements. We assure our customers that the bank remains safe, healthy, strong, and resilient.”