Dipo Olowookere
By Dipo Olowookere
The management of Access Bank Plc has confirmed the acquisition of African Banking Corporation (BancABC) Mozambique.
The acquired financial institution is a subsidiary of Atlas Mara Limited, a company listed on the London Stock Exchange (LSE), which also controls a substantial stake in Union Bank of Nigeria Plc, which has been a subject of a proposed acquisition.
In a statement issued on Tuesday, Access Bank said it was in the process of merging its operations with the BancABC Mozambique, which was bought by Access Bank Mozambique, a subsidiary of Access Bank.
Access Bank, in the notice signed by its secretary, Mr Sunday Ekwochi, disclosed that when the operations of the two lenders are finally merged, the new entity would become the seventh-largest bank in the Mozambique banking market.
“Further to its announcement on September 29, 2021, Access Bank is pleased to announce that its wholly-owned banking subsidiary, Access Bank Mozambique SA has completed the acquisition of BancABC Mozambique, a subsidiary of London Stock Exchange (LSE) listed group, Atlas Mara Limited.
“With the completion of the acquisition, Access Mozambique will now move towards integrating and merging BancABC Mozambique into its operations, which is expected to create the seventh-largest bank in the Mozambique banking market,” a part of the disclosure said.
The GMD/CEO of Access Bank, Mr Herbert Wigwe, while commenting on the transaction, stated that, “We are pleased with the completion of this acquisition which significantly strengthens our banking franchise in Mozambique and represents a transformational step in our growth plans in the country and the broader Southern Africa region.”
He further said, “We are building the scale necessary to compete effectively and efficiently in key African markets outside Nigeria and ensure we sustainably deliver a strong return on invested capital in our African expansion.”
“Scale is an important contributor to returns and this transaction is consistent with our rigorous efforts to create a strong presence with scale across Africa and in line with our vision to be the world’s most respected African bank,” he concluded.
