By Emmanuel Aziken With Agency Reports
Access Bank says it has taken a significant step towards becoming Africa’s gateway to the world with final approval given it to acquire a Kenyan bank, Transnational Bank, TNB.
The move according to industry sources is to align the bank’s operations with the evolving franchise operations in Central and Southern Africa.
Access Bank presently has franchises in Congo DRC, Rwanda and Zambia. The new operation in Kenya, arguably the economic hub of the region is expected to complement the realization of the vision.
Access Bank in a statement to the Nigerian Stock Exchange on Friday said that it had secured final approvals of all relevant regulatory authorities in Kenya for the acquisition of TNB.
The bank said this in a statement to the Nigerian Stock Exchange (NSE) signed by its Company Secretary, Mr. Sunday Ekwochi.
The bank had on Oct. 28, 2019 informed the NSE that the Central Bank of Nigeria (CBN) had granted its ‘no objection’ to the bank’s proposed acquisition of majority equity stake in TNB.
“We are pleased to announce that the bank has now secured the final approvals of all relevant regulatory authorities in Kenya in respect of the acquisition.
“The acquisition is in line with the bank’s strategic objective of becoming Africa’s gateway to the world and ties into its strategy to establish footprints in key African markets.’’
The bank added that the acquisition would further complement its franchise in Rwanda, Congo DRC and Zambia.
It noted that “TNB is a medium-sized commercial bank with great focus on the agricultural sector and significant retail footprints.’’
Mr. Hebert Wigwe, the bank’s Group Managing Director, was quoted by the statement as saying the “acquisition aligns with its strategy of becoming Africa’s gateway to the world.
“This acquisition aligns with our strategy to become Africa’s gateway to the world and we are excited about the potential that reside in the East African market.
“We will leverage our presence in key payment corridors, strong partnerships in non-presence countries, robust technology platform as well as world-class risk management to provide cutting edge financial solutions to our clients.
“We will build on TNB’s existing expertise in agricultural financing and deploy our resources to optimise other business segments.
“We are committed to supporting the growth and development of our host community in line with our sustainability ethos and are certain that this acquisition will deliver great value to our stakeholders.
“Following the receipt of regulatory approvals, we are very confident that the transaction will be completed shortly,’’ Wigwe said.