Access Bank Reaches Agreement To Buy Another Bank, Herbert Wigwe Speaks on New Achievement
- The management of Access Bank is making another bold move to acquire another bank in Uganda founded in 1984
- The acquisition, which is almost done, will help continue Access Holdings' push to expand its footprint in more African countries
- Already, Access Bank is one of Nigerian biggest banks in Nigeria and has its operations in at least 20 African countries
Legit.ng journalist Dave Ibemere has over a decade of experience covering tech, energy, stocks, investments, and the economy.
Access Holdings has announced that its subsidiary, Access Bank, has agreed to acquire a majority stake in Finance Trust Bank Limited (FTB) in Uganda.
In a statement filed on the Nigerian Exchange Limited (NGX) on Wednesday, January 17, 2024, and signed by Sunday Ekwochi, Access Holdings Secretary revealed that definitive agreement has been reached.
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This is the second major deal in recent weeks for Access Bank after completing the takeover of Atlas Mara in Zambia.
Access Bank acquires another Uganda Bank
According to the statement, the acquisition is still subject to regulatory approvals of the Central Bank of Nigeria (CBN) and Bank of Uganda.
The deal will see Access Bank take up 80% of Finance Trust Bank when approved.
The statement from Access Bank reads:
“The transaction involves Access Bank’s acquisition of a majority stake from existing shareholders and a capital injection by Access Bank to increase FTB’s capital base.
“Following the conclusion of customary conditions precedent and the anticipated closing of the transaction targeted for the first half of 2024, Access Bank would own an estimated 80% shareholding in FTB.”
Access Holdings said FTB was founded in 1984 as Uganda Women's Finance Trust Limited to provide financial services to low-income people in Uganda, especially women, Punch reports.
Herbert Wigwe reacts to Uganda deal
Commenting on the acquisition, Herbert Wigwe, group chief executive officer of Access Holdings, said the transaction marks an important milestone for the bank.
Wigwe said the development moves the financial institution closer to achieving its five-year strategic plan through continued expansion into key markets.
“We are building a strong and sustainable franchise to support economic prosperity, encourage Africa trade, advance financial inclusion thereby empowering many to achieve their financial dreams.
“The expansion to Uganda will support the realization of our aspiration to become Africa’s payment gateway to the world.”
Access Bank completes acquisition of insurance company
In a similar development, Legit.ng revealed that Access Holdings Plc acquired Megatech Insurance Brokers Ltd, an insurance brokerage company licensed by NAICOM
It stated that the development aligns with its vision of building a globally connected community of ecosystems inspired by Africa for the world.
The group chief executive officer of the bank commended the move, adding that it is a natural step in its evolution as a globally connected community.
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Source: Legit.ng
