Zambia’s central bank approves Access Bank acquisition plan after setback in Kenya
Access Holdings Plc, the parent company of Access Bank, has announced that the lender received regulatory approval to acquire African Banking Corporation Zambia Limited (Atlas Mara Zambia).
The Nigerian lender has been making series of acquisition across Africa to boost its bottomline and increase access to more liquidity and assets outside the shores of Nigeria.
Part of the acquisitions include African Banking Corporation, also owned by Atlas Mara, in Mozambique. It is also in talks to acquire other African Banking Corporation subsidiary in Botswana.
Access Bank has also acquired Grobank Limited in South Africa, Cavmont Bank Limited in Zambia, and also revealed plans to acquire Finibanco Angola S.A.
The Herbert Wigwe-led bank had also moved to acquire Sidian Bank in Kenya, but the deal failed due to disagreement on the fulfillment or waiver of certain conditions before the “Long Stop date” for the completion of the transaction.
In its latest update on the negotiation with African Banking Corporation Zambia Limited in a corporate document sent to shareholders on Friday but dated March 23, 2023, which was obtained by Ripples Nigeria, Access Bank said its Zambian subsidiary has obtained approval from Central Bank of Zambia to proceed with the acquisition.
Godwin Emefiele-led Central Bank of Nigeria (CBN) and Common Market for Eastern and Southern Africa Competition Commission had previously granted their “no objection” to the Transaction in 2022.
With the necessary approvals received, Access Bank said the deal is expected to be completed in the third quarter (Q3) of 2023.
Read also:Access, Ecobank, 3 others adjust operating hours for 2023 elections
“Further to its announcement on October 25, 2021, Access Holdings Plc (Access Holdings) is pleased to announce that Access Bank Zambia Limited (“Access Zambia”), a subsidiary of its flagship subsidiary, Access Bank Plc , has received final regulatory approval from the Central Bank of Zambia for the acquisition and merger of African Banking Corporation Zambia Limited (“Atlas Mara Zambia”) into its existing operations (‘the Transaction’).
“The Central Bank of Nigeria and Common Market for Eastern and Southern Africa Competition Commission had earlier granted their “no objection” to the Transaction in 2022.
“Access Zambia will now move towards integrating and merging Atlas Mara Zambia into its operations, which is expected to create one of the top five banks in Zambia,” the statement reads.
Addressing the acquisition, the Group Chief Executive Access Holdings, Herbert Wigwe, said: “The transaction builds on our earlier acquisition and merger of Cavmont Bank Plc into Access Bank Zambia and underscores our resolve to strengthen our presence in Zambia, a key African market.
“The combination of the two banks will create significant synergies between Access Zambia’s world class wholesale and transaction banking capabilities and Atlas Mara Zambia’s market leading retail and public sector capabilities to form a market leading universal banking platform that will greatly impact the Zambia market.”
Join the conversation
Support Ripples Nigeria, hold up solutions journalism
Balanced, fearless journalism driven by data comes at huge financial costs.
As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.
If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.
Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.
A tale of Kwara public school where pupils learn under the tree without chalkboards
“You cannot make people learn. You can only provide the right conditions for learning to happen.” – Vince Gowmon But...
SPECIAL REPORT: Indiscriminate waste dumps, open defecation pose threat of epidemic in Kwara as govt slow to act
Forty three-year-old Bilikis Abdulrahman covered her pineapple fruit she is selling inside a white bucket container. This, she does to...
SPECIAL REPORT: Women displaced by conflict in North-Central Nigeria become farm helps to survive
Displaced women finding refuge in Abagena camp for Internally Displaced Persons (IDP) camp in Makurdi, Benue State have resorted to...
FEATURE: Kwara residents cry out for help as rainstorm devastates their homes
Phillip Moffitt, an American author, said: “the house is a home when it shelters the body and comforts the soul”,...
SPECIAL REPORT: Small businesses suffer, as govts fail to end sit-at-home in Nigeria’s South-East
It is a Thursday afternoon in December 2022 and the sun is scorching inside the popular Ogbete Market in Enugu...