Dr. Herbert Wigwe, Group Chief Executive
Officer, Access Holdings
BY NKECHI NAECHE-ESEZOBOR–Access Holdings Plc (“Access Holdings”) on Wednesday announced that its flagship subsidiary, Access Bank Plc (“the Bank”‘), has signed agreement with minority shareholders of Finibanco Angola S.A.
The bank’s Company Secretary, Sunday Ekwochi, explained that the shareholders have expressed an interest to sell their shares concurrently and targets to attain a total shareholding above 80% in Finibanco Angola S.A. at the completion of the transaction.
He added t0hat last year, the bank received regulatory approval from both the Central Bank of Angola: Banco Nacional de Angola and Central Bank of Nigeria, (CBN), for the acquisition of majority equity stake in Finibanco Angola S.A. (“the Transaction”).
Access Bank expects to receive the approval of the Angolan Competition Authority in the coming days, which would complete the requirements for regulatory approvals for the transaction.
Commenting on the recent development, Dr. Herbert Wigwe, Group Chief Executive
Officer, Access Holdings said: “We are pleased to be well-positioned to join the select league of banks providing high value financial services to high-growth businesses and the rising consumer sector in Angola.
The Bank brings a lot of value-add and expertise that will act a positive catalyst to foster greater innovation and promote the deepening of the financial sector in Angola, while complementing our strategic growth objectives in the broader SADC region”.
Finibanco Angola S.A. (“Finibanco”) is a profitable, well-capitalized full-service commercial bank with over 20 branches and around US$300 million in total assets that has operated in Angola since 2008. The Transaction will be effected via the purchase of existing shares owned by Montepio-the holding company for Banco Montepio, one of Portugal’s well-established commercial banks. The Angolan market as the 6th largest economy in Africa and the 7th largest country overall, with a vast and diversified natural resource base and a growing population represents a strong potential for the Bank’s growth aspiration. The Transaction furthers the Bank’s strategy to be Africa’s payment gateway to the world whilst working with other Africa-focused multilaterals to provide robust and efficient payment platforms and ecosystems to serve the continent. The prospective operation is expected to contribute strongly to the Bank’s overall growth path and financial results over the long-term. The Transaction, which is subject to regulatory approvals in Nigeria and Angola is expected to close in the first half of 2023 following fulfillment of customary conditions precedents. It will be consummated at 1.0x tangible book value less pre-agreed adjustments to be determined by a customary completion audit. Upon completion of the Transaction, the Bank is expected to increase its shareholding in Finibanco S.A and has reached certain conditional agreements in this regard.Commenting on the transaction,