ACCESS BANK ACQUIRES NATIONAL BANK OF KENYA, STRENGTHENING PRESENCE IN EAST AFRICA
Access Bank has announced its acquisition of National Bank of Kenya Limited, a subsidiary of KCB Group. In a statement released today on its social media platforms, LinkedIn and Twitter, Access Bank emphasized its focus on enhancing economic growth and prosperity across borders by strengthening Nigerian-Kenyan businesses.
The bank views the acquisition as a catalyst for collaboration that will propel both economies forward and reshape the future of banking in Africa.
“Our expanded presence in Kenya creates more opportunities for trans-African trade and financial inclusion, fostering economic growth and prosperity across borders. By supporting Nigerian-Kenyan businesses, we are fostering collaboration that will propel our economies forward.”
Together, both entities aim to redefine the future of banking in Africa, empowering businesses to achieve new levels of success.
The acquisition follows a previous unsuccessful attempt to acquire Sidian Bank in 2023. NBK holds a significant presence in Kenya with total assets exceeding $1.1 billion. Pending regulatory approvals, NBK will merge with Access Bank Kenya to form a larger Kenyan franchise.
This move aligns with Access Bank’s five-year strategy to become Africa’s Gateway to the World. It positions Access Bank as a prominent player in the Kenyan market and a key participant in the East African economic community.
Both Access Bank and KCB Group are optimistic about the deal’s potential to benefit Kenyan and Nigerian businesses. The merged entity is anticipated to enhance cross-border trade and financial inclusion across Africa.
The acquisition follows Access Bank’s recent agreement to acquire a majority stake in Uganda’s Finance Trust Bank. With regulatory approvals pending, the Ugandan acquisition is projected to be finalized in the first half of 2024.
Upon completion of the acquisition, NBK will merge with Access Bank Kenya Plc, forming an expanded franchise to pursue Access Bank’s strategic goals in the Kenyan and East African markets.
Access Bank CEO Roosevelt Ogbonna views the acquisition as a significant milestone in realizing the bank’s strategic objectives and expanding its market share in Kenya.
Ms. Bolaji Agbede, Acting Group Chief Executive Officer of Access Holdings Plc, underscored the strategic significance of the acquisition in executing the group’s five-year plan. Agbede highlighted the opportunity to accelerate growth in the East African market and deliver substantial value to shareholders, customers, and stakeholders.
KCB Group CEO, Paul Russo, expressed confidence in the transaction, emphasizing its importance in securing a stable future for NBK and its employees.
Since its acquisition by KCB in 2019, NBK has undergone significant restructuring efforts to restore profitability and comply with regulatory standards.
Joan Aimuengheuwa; Source: Techeconomy
