Montepio Holding SGPS S.A has completed the sale of its stake in Finibanco Angola S.A to Access Bank, the subsidiary of Access Holdings.
Access Bank acquired 51 per cent, which is a majority stake in Finibanco Angola, giving the Nigerian lender access to influence key business decisions of the Angolan firm.
Access Holdings announced the completion of the deal on Thursday in a statement sent to the stock market authority, Nigerian Exchange Limited (NGX), and shareholders.
Both companies have received approval from their respective regulators, Banco Nacional de Angola, the Central Bank of Nigeria (CBN) and the Angolan Competition Authority.
“Further to our announcement on May 2, 2023 on the above subject, Access Holdings Plc (‘Access Holdings’) is pleased to announce the completion of acquisition of majority equity stake in Finibanco Angola S.A, by its flagship subsidiary, Access Bank Plc (‘the Bank’),” the statement reads.
Aside from having influence over Finibanco Angola’s business decisions, the majority stake acquisition also gives the Nigerian financial institution access to the former’s $300 million asset and over 20 branches.
Access Holdings’ Group Chief Executive, Herbert Wigwe, said the company has been planning the integration of Finibanco.
Wigwe stated that Access Bank intends to take advantage of its expansive distribution network in Southern Africa: “In anticipation of the completion of the transaction the bank has made excellent progress in integration planning.
“Our plan is to leverage our expansive distribution network, best-in-class technology, risk and governance practices to serve high-growth businesses and the rising consumer sector in Angola.
“We will act as a positive catalyst to foster greater innovation and promote the deepening of the financial sector in Angola in line with our strategic growth objectives in the broader South Africa Development Community while delivering value to our stakeholders.”
Meanwhile, Finibanco is one of several financial institutions Access Bank has acquired in other African countries, as the Nigerian creditor expands its operations beyond West Africa through acquisitions.
Access Bank has acquired African Banking Corporation of Botswana Limited, and African Banking Corporation Zambia Limited, as well as Cavmont Bank.
Although the lender also attempted to acquire Kenyan lender, Sidian Bank Ltd, however, the deal was not successful, as both parties pulled out after the “Long Stop date” was reached without both banks agreeing on some terms of the transaction.
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