Access Bank, a leading Nigerian financial institution, has reached an agreement to acquire Standard Chartered’s subsidiaries in five sub-Saharan African countries.
This strategic deal marks the success of Standard Chartered’s divestment plan announced last year, which aimed to streamline its operations and focus on faster-growing markets in the region.
The subsidiaries to be acquired by Access Bank include those in Angola, Cameroon, Gambia, and Sierra Leone, along with Standard Chartered’s consumer, private, and business banking business in Tanzania. As part of the agreement, Access Bank will assume responsibility for providing uninterrupted banking services to the employees and clients of Standard Chartered’s businesses in these countries.
Standard Chartered’s decision to divest its African subsidiaries aligns with its global strategy, which seeks to enhance operational efficiencies, reduce complexity, and drive scale. By redirecting resources within the Africa and Middle East (AME) region, Standard Chartered aims to capitalize on other areas with substantial growth potential.
The deal signifies a major step forward for Access Bank, solidifying its position as a leading player in the African banking landscape. With recent expansions in Europe and an extensive presence in key trading corridors across Africa, Access Bank is poised to build a robust global franchise.
The acquisition will enable Access Bank to serve as a gateway for payments, investment, and trade within Africa and between Africa and the rest of the world.
The value of the transaction remains undisclosed, and the completion of the deal is expected within the next year, pending regulatory approvals in the respective countries, as well as in Nigeria.
Sunil Kaushal, Standard Chartered’s regional CEO for AME, expressed confidence in the strategic decision, emphasizing the opportunity it provides to reallocate resources to high-growth areas within the region. This move allows Standard Chartered to optimize its operations and further strengthen its position in markets poised for expansion.
Roosevelt Ogbonna, Access Group Managing Director, commented on the acquisition, highlighting the bank’s commitment to bridging the gap between cross-border and domestic transfers across all business segments. With a focus on facilitating seamless transactions and enhancing connectivity, Access Bank aims to foster increased trade and investment within Africa and beyond.
