ADVERTISEMENT

Nigeria's largest bank buys another Kenyan Bank for Sh4.3 billion

Access Bank, Nigeria's largest bank by assets has aquired 2 Kenyan banks in 2 years

Centum CEO, James Mworia with the late Chris Kirubi

Access Bank which is Nigeria’s largest lender by assets, has acquired another Kenyan bank; Sidian Bank.

ADVERTISEMENT

According to a report by Business Daily, Access Bank will get a majority stake in Sidian Bank after buying 83.4 % shares from Centum Investments.

Centum will sell its shares to the Nigerian lender in a deal valued at Sh4.3 billion. Access Bank currently has assets worth more than Sh3.3 trillion.

Centum Investment Company Plc (‘Centum’) announces today that it has entered into a binding agreement with Access Bank Plc (‘Access Bank’) regarding a proposed purchase by Access Bank of Centum’s entire equity stake in Sidian Bank Limited,” Centum’s CEO, James Mworia announced on Tuesday.

It is expected that in due course, Sidian will be merged with Access Bank’s subsidiary in Kenya to create a stronger banking institution positioned to serve the Kenyan market," he added.

Centum bought majority shares in Sidian Bank in 2014 and invested about Sh4.7 billion. At the time the lender was known as K-Rep Bank.

The late billionaire Chris Kirubi had noted that the bank had stagnated for long and Centum had plans to transform it.

The Sh4.3 billion deal entered with Access Bank now shows how Centum struggled to generate as much profits from Sidian Bank as had been expected.

The purchase of Sidian Bank comes two years after Access Bank bought Transnational bank from close associates of the late former President Daniel Moi for Sh1.56 billion.

The name was then changed to Access Bank Kenya and will now merge with Sidian Bank after regulatory approvals.

The Nigerian lender also acquired Zambia’s Cavmont Bank in 2020 and acquired Mozambique’s African Banking Corporation earlier in 2021.

JOIN OUR PULSE COMMUNITY!

ADVERTISEMENT

Eyewitness? Submit your stories now via social or:

Email: news@pulselive.co.ke

Recommended articles

Africa’s 4th largest oil producers, Algeria, could become Africa’s greenest country with its eco-friendly initiatives

Africa’s 4th largest oil producers, Algeria, could become Africa’s greenest country with its eco-friendly initiatives

Experience the thrill of 'Call of Duty' - Get ready to play!

Experience the thrill of 'Call of Duty' - Get ready to play!

Despite a shortage of new Naira notes, churches in Nigeria have barred offerings with the old currency

Despite a shortage of new Naira notes, churches in Nigeria have barred offerings with the old currency

Safaricom CEO speaks on KRA's plan to monitor Kenyans' transactions

Safaricom CEO speaks on KRA's plan to monitor Kenyans' transactions

Finding work without a skill in the the UK may now be impossible for Nigerians and other migrants

Finding work without a skill in the the UK may now be impossible for Nigerians and other migrants

5 things I wish someone had told me before joining ALX Africa

5 things I wish someone had told me before joining ALX Africa

Kenya's economy on shaky ground with majority of diaspora inflows coming from just 5 countries

Kenya's economy on shaky ground with majority of diaspora inflows coming from just 5 countries

China has advised the US to keep away from its affairs with Africa and instead focus on its own issues

China has advised the US to keep away from its affairs with Africa and instead focus on its own issues

East Africa Community continues push for unity as it considers adding Somalia to its regional bloc

East Africa Community continues push for unity as it considers adding Somalia to its regional bloc

ADVERTISEMENT