By Alusine Fullah

Access Bank PLC and KCB Group PLC have signed a binding agreement to acquire 100% shareholding in National Bank of Kenya Limited (NBK) from KCB. According to a public Notice that released on the 25^th March, 2024, this transaction is subjected to conditions that are customary for transactions of the nature including receipt all regulatory approvals from amongst others, the Central Bank of Kenya, the Central Bank of Nigeria, the COMESA Competition Commission, and Notifications to other relevant regulations.

In his statement, the Managing Director of Access Bank, Rosevelt Ogbonna said: “The transaction represents an important milestone for the Bank as it moves us closer to the achievement of our five-year strategic plan through increased scale in the Kenya market. 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…”

According to Paul Russo, CEO of KCB Group this transaction will maximise value opportunities for their shareholders and put more economic strength for the Group. He said: “This transaction represents what we believe is a great opportunity to maximise value for our shareholders while strengthening the competitive position for the Group…During the period, we have made progressive investment in the Bank, and we believe that this is in the best interest of the Group and its sustainability…”

According to the public notice, upon conclusion of this transaction, stakeholders will benefit from an enlarged franchise, with best-in-class customer service and governance structures committed to empowering the communities wherein the Bank operates. The combined entity will leverage Access Bank’s dedication to economic development by extending financial services to the unbanked, thereby deepening financial inclusion across the region.