Market News

By Abdullateef Aliyu, Lagos

 Access Holdings Plc said yesterday that its banking subsidiary, The Access Bank UK Limited, has entered into a binding agreement to acquire a majority equity stake in Afrasia Bank Limited, the Republic of Mauritius’ fourth-largest bank by total assets.

 The announcement was contained in a statement published on the Nigerian Exchange (NGX) website and signed by the company’s secretary, Sunday Ekwochi.

 Afrasia Bank, at the end of its fiscal year on June 30, 2024, recorded total assets exceeding US$5.7 billion and a net profit after tax of US$152.4 million.

 According to the disclosure, the transaction represents a transformational step forward for Access UK and the overall Access Holdings’ banking franchise, leveraging the robust financial services sector of Mauritius.

 According to the statement, Mauritius, renowned for its robust financial services sector, which contributes 13.4% to its gross domestic product, provides Access UK with a solid foundation to expand its operations in the high-growth personal and corporate banking segments.

 The statement added that Access Bank will utilise Mauritius as a strategic hub for trade finance and regional connectivity, thereby enhancing its capacity to facilitate cross-border transactions across Africa and beyond.

 Roosevelt Ogbonna, Managing Director/CEO of Access Bank Plc and the CEO of the Banking Group, stated that the acquisition represents a pivotal moment in the company’s African growth strategy.

“This acquisition marks a pivotal moment in our African growth strategy, reinforcing our position as a leading Pan-African financial institution.”

 He described Mauritius as an international financial hub, stating that through Afrasia Bank, the Holdings will drive trade, support businesses, and promote economic inclusion across the region while continuing its mission to become the World’s Most Respected African Bank.

 Jamie Simmonds, Managing Director of Access Bank UK, added: “With a strong balance sheet and a well-established brand in Mauritius, Afrasia Bank provides us with a sustainable platform to scale and achieve long-term profitability.”

 Daily Trust reports that Access Holding has expanded this year through strategic acquisitions.

 This year, the holding company acquired 80% stake in Uganda’s Finance Trust Bank, embarked on the full acquisition of National Bank of Kenya, and the purchase of African Banking Corporation of Tanzania, now Access Bank Tanzania.

 The company also merged with ARM Pensions Managers to form Access ARM Pensions, one of Nigeria’s largest pension administrators.