Nigerian top lender Access Bank (NGSE:ACCESS, GSE:ABG) has completed the acquisition of majority stake Transnational Bank in a Sh1.4 billion deal that had received regulatory nod mid-January.
The board of Access Bank announced yesterday that it had acquired 99.98 per cent in the small bank, promising to bring competitive products and new customer experience.
Access Bank group managing director Herbert Wigwe said the entry into the Kenyan market will serve as a key gateway for East African market.
“We are excited to make an entry into the vibrant Kenyan market.
“We pledge to put our customers at the forefront of everything we do. We will walk in their shoes, understand their lifestyles, and help them fulfil their dreams,” said Mr Wigwe.
Top owners of the 36-year-old Kenyan bank with 28 branches were companies owned by close associates of the late President Daniel arap Moi, including Joshua Kulei, Simeon Nyachae and the late vice president George Saitoti.
The Competition Authority of Kenya and Central Bank of Kenya early January endorsed the deal, which has deepened the presence of Nigerian banks in Kenya with United Bank of Africa and Guaranty Trust Bank already in the market.
Access Bank is listed on Nigerian Stock Exchange since 1998 and is the largest lender in West African country with assets worth Sh1.17 trillion.
Transnational, with assets worth Sh9.7 billion made a loss of Sh83.9 million in the financial year ended December 2019, worse from a loss of Sh71.8 million in the previous year.
Mr Wigwe in January said Access Bank will inject in fresh capital into Transnational as it seeks to strengthen the ratios of lower-tier bank and return it into profit territory.
