Access Corporation Plc yesterday announced that it’s wholly owned banking subsidiary, they entered into an agreement with investment company Plc for acquisition of the 83.4 per cent equity stake held by the letter in Sidian Bank Limited.
The Bank disclosed the acquisition in a statement sent to the Nigerian Exchange Limited, NGX on Wednesday stated that the transaction is subject to regulatory approvals in Kenya and Nigeria. Access Bank further revealed that the purchase consideration was approximately up to N15 billion or $36 million, representing a price to “Book multiple of 1.1 times” based on the audited March 31, 2022, shareholders equity of Sidian.
Commenting on the transaction, Herbert Wigwe, the Group Chief Executive, Access Corporation explained that, “This growth transaction being implemented in Kenya represents the relentless focus and execution of our strategic objectives within our banking subsidiary even as we grow the other business within Access Corporations core segments.
“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. “The significant increase in scale and customer base presents us with enormous opportunity to support growth in the various ecosystem we are building in our trade and payment business.”
Also commenting, the Chief Executive Officer of Access Bank, Mr. Roosevelt Ogbonna said, This transaction builds on our earlier acquisition of the former Transportation Bank Plc (now Access Bank Kenya) and underscores our resolve to strengthen fits into our strategic focus for geographic earnings growth and diversification.