Multichoice Group's account balance of N31.6 billion held fefore Heritage bank's liquidation

Eric Patrick

Before its liquidation, Heritage Bank held an account balance of N31.6 billion for Multichoice Group, the owners of DSTV.

In the annual report for the financial year 2024, Multichoice disclosed a deposit of N33.7 billion (488 million South African Rands) with Heritage Bank as of the fiscal year ending on March 31, 2024.

The balance was later lowered to N31.6 billion (ZAR 400 million) as a result of cash transfers before Heritage Bank's liquidation on June 3, 2024.

The substantial deposit has raised worries for the group, as it surpasses the N5 million maximum payout assured by the Nigeria Deposit Insurance Commission (NDIC).

As stated in Multichoice's annual report, the group plans to work with the liquidator (NDIC) to achieve a satisfactory resolution.

On June 3, 2024, the NDIC issued a press release announcing the liquidation of Heritage Bank.

The statement outlined that depositors holding funds over N5 million would be eligible to receive a liquidation dividend, subject to the realization of the bank's assets and the recovery of its debts.

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In line with this step of selling the bank’s assets, the NDIC has announced a public bidding process for the sale of Heritage Bank assets.

In the past, Multichoice and Heritage Bank had a close relationship, with the bank sponsoring the group's initiatives, including Big Brother Naija and the Africa Magic Viewer's Choice Awards (AMVCA).