One of Nigeria’s leading banks, Access Bank, has announced the acquisition of 83.4% equity stake held by Centum Investment Company Plc in Kenya’s Sidian Bank Ltd, for a sum of N15 billion or $37 million.

Driving the news 
Access bank on Wednesday communicated the agreement with Sidian Bank to the Nigerian Exchange Limited (NGX) pending regulatory approvals by governing bodies in both Nigeria and Kenya. The deal represents a price to book multiple of 1.1x based on the audited 31 March 2022 shareholders equity of Sidian.

What they are saying 
Access bank group chief executive, Herbert Wigwe, speaking on the agreement said “the acquisition of Sidian is a significant step-up in scale and potential for Access Bank in Kenya which represents the largest market and trade corridor in East Africa.”

What you should know 

  • If the deal goes through, this would be the second acquisition by Access Bank in Kenya after Transnational Bank, now called Access Bank Kenya in 2020.
  • Also in 2020, Access Bank (Zambia) Limited acquired Cavmont Bank Limited, a subsidiary of CCHZ and the subsequent merger of Cavmont Bank’s operations into Access Bank Zambia.
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