Access Bank PLC and KCB Group PLC (“KCB”) have today signed a binding agreement to
acquire 100 percent shareholding in National Bank of Kenya Limited (“NBK”) from KCB.
The successful completion of the transaction is subject to conditions that are customary for
transactions of this nature including receipt all regulatory approvals from, amongst others, the
Central Bank of Kenya, the Central Bank of Nigeria, the COMESA Competition Commission, and
notifications to other relevant regulators.
For Access Bank, this move underscores its commitment to bolstering its presence in Kenya and
the broader East African region. Furthermore, the acquisition builds on the Bank’s growing
operations in the Democratic Republic of Congo, Rwanda, as well as its impending acquisitions of
a majority stake in Uganda’s Finance Trust Bank Limited, the acquisition of majority equity stake in
African Banking Corporation (Tanzania) Limited (“BancABC Tanzania”), and Standard Chartered
Bank’s Consumer, Private & Business Banking business in Tanzania.
Commenting on the transaction, Roosevelt Ogbonna, Managing Director/Chief Executive of
Access Bank Plc said:
“The transaction represents an important milestone for the Bank as it moves us closer to the
achievement of our five-year strategic plan through increased scale in the Kenyan market. We are
building a strong and sustainable franchise to support economic prosperity, encourage Africa
trade, advance financial inclusion thereby empowering many to achieve their financial dreams.
“Trade flows in East Africa revolve around key trade corridors, with Kenya being a key player in the
region. With the African Continental Free Trade Agreement, these corridors will continue to expand
and by deploying our best-in-class financial solutions, we are strategically positioned to deliver
sustainable value for our stakeholders. The consolidation in Kenya will support the realisation of
our aspiration to be Africa’s Payment Gateway to the World. Subsequent to the completion of the
transaction, NBK would be combined with Access Bank Kenya Plc to create an enlarged franchise
in the pursuit of our strategic objective for the Kenyan and East African markets.”
KCB Group CEO Paul Russo said: “This transaction represents what we believe is a great
opportunity to maximise value for our shareholders while strengthening the competitive position for
the Group. The past four years have been defining for NBK as a KCB Group subsidiary and this
step marks the opening of new opportunities.”
“During the period, we have made progressive investments in the Bank, and we believe that this is
in the best interest of the Group and its sustainability. Our growth strategy is premised on both
organic and inorganic plans, and we shall continue to seek opportunities that increase our
shareholder’s value,” said Mr Russo.
All parties will be working together in the coming months to fulfil the conditions precedent relating
to the proposed acquisition, which include the regulatory approvals of the Central Bank of Nigeria
and the Central Bank of Kenya. Access Bank will continue to provide a full range of banking
services and continuity for its stakeholders including employees and customers in Kenya.
In the meantime, NBK customers will continue to access seamless services across various
touchpoints including through the branch network and mobile banking platforms.
Upon conclusion, stakeholders will benefit from the from an enlarged franchise, with best-in-class
customer service and governance structures committed to empowering the communities wherein
the Bank operates. The combined entity will leverage Access Bank's dedication to economic
development by extending financial services to the unbanked, thereby deepening financial
inclusion across the region.
In recent months, Access Bank has embarked on a strategic expansion drive, marked by
significant acquisitions. In January, the Bank completed its acquisition of Atlas Mara Zambia,
thereby becoming one of Zambia’s top five banks by revenue with prospects to be in the top three
by 2027.
No Comment