Access Bank continues to expand across Africa
14th November, 2024
Access Bank UK, a subsidiary of Access Holdings, has unveiled plans to acquire a majority equity stake in AfrAsia Bank, Mauritius’ fourth-largest bank by total assets. The announcement was detailed in a disclosure statement published on the Nigerian Exchange (NGX) platform and signed by the company’s secretary, Sunday Ekwochi, on November 14, 2024.
According to the statement, 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.
“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.”
“Furthermore, Access Bank will utilize Mauritius as a strategic hub for trade finance and regional connectivity, thereby enhancing its capacity to facilitate cross-border transactions across Africa and beyond.”
The acquisition is part of Access Bank’s broader strategy to enhance its presence across Africa through targeted acquisitions. It is also calculated to expand Access Bank UK’s personal and corporate banking services into Mauritius, a nation where the financial services sector contributes 13.1% to the Gross Domestic Product (GDP).
Roosevelt Ogbonna, Managing Director/CEO of Access Bank Plc and the CEO of the Banking Group, stated that the acquisition marks a pivotal moment in the company’s African growth strategy.
He further 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 stated that the deal supports the company’s strategy to diversify and secure future earnings while offering tailored solutions for clients to access global markets with ease.
“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.”
AfrAsia Bank was established in 2007, with it’s headquarters in Port Louis, Mauritius, and a representative office in Johannesburg, South Africa. The bank specialises in corporate banking, private banking and wealth management, global business banking, and treasury and markets services. It is authorised and regulated by the Bank of Mauritius and the Financial Services Commission. As of June 30, 2024, AfrAsia Bank reported total assets exceeding $5.7 billion.
In October, the Competition Authority of Kenya approved Access Bank’s acquisition of the National Bank of Kenya from KCB Group, a deal valued at approximately $100 million. Earlier, in June, Access Bank acquired African Banking Corporation of Tanzania Limited, and in January, it acquired ARM Pensions and Megatech Insurance Brokers Ltd.
Earlier, in June, Access Bank acquired African Banking Corporation of Tanzania Limited, and in January, it acquired ARM Pensions and Megatech Insurance Brokers Ltd.
Also in October 2024, Access Bank secured a provisional banking licence from the Bank of Namibia, marking a significant milestone in its African expansion strategy. The licence, effective from October 4, 2024, enables Access Bank to begin operations in Namibia, expanding its footprint across the continent. This move aligns with Access Bank’s broader plan to diversify its revenue streams and capitalise on opportunities created by the African Continental Free Trade Area (AfCFTA).
