Access Bank Plc (Access) and Standard Chartered Bank have entered into agreements for the acquisition of Standard Chartered’s shareholding in its subsidiaries in Angola, Cameroon, The Gambia, and Sierra Leone; and its Consumer, Private & Business Banking business in Tanzania. Each transaction remains subject to approval from the respective local regulators and the banking regulator in Nigeria.
The announcement was made yesterday at Standard Chartered’s London headquarters, in the presence of senior representatives from both banks. Signed by Sunil Kaushal, Regional CEO-Africa & Middle East, Standard Chartered, and Roosevelt Ogbonna, Group Managing Director-Access Bank Plc., the sale agreement with Access for its business in sub-Saharan Africa is in line with Standard Chartered’s global strategy aimed at achieving operational efficiencies, reducing complexity and driving scale.
Access Bank will provide a full range of banking services and continuity for key stakeholders, including employees and clients, in Standard Chartered businesses across the five aforementioned countries. Access and Standard Chartered Bank will work closely together in the coming months to ensure a seamless transition, with the transaction expected to be completed over the next 12 months.
Commenting on the agreement, Sunil Kaushal, Regional CEO-Africa & Middle East, Standard Chartered said: “Following on the announcement we made in April last year, the project is now substantially completed with announcement of the 5 markets’ sale and the furtherance of a partnership with Access Bank.
“This strategic decision allows us to redirect resources within the AME region to other areas with significant growth potential, ultimately enabling us to better support our clients. We look forward to working closely with Access Bank’s team over the coming months to achieve a successful conclusion to this transaction, while safeguarding the interests of our valued clients and prioritising our employees.”
Commenting on the agreement, Roosevelt Ogbonna, Group Managing Director, Access Bank Plc. stated: “We are pleased to sign this agreement today, and express our appreciation for being selected as the preferred partner to Standard Chartered Bank through this transaction in which it is exiting four African markets and refocusing in another. As a distinguished regional and international bank with a rich heritage spanning over 150 years, Standard Chartered Bank has built a solid presence in these markets for over 100 years”.
For Access, this strategic transaction represents a key step in its journey to build a strong global franchise focused on serving as a gateway for payments, investment and trade within Africa and between Africa and the rest of the world, anchored by a robust capital base; a relentless focus on execution; and best-in-class customer service & governance structures.
“At Access Bank, we are committed to reshaping the global perception of Africa and African businesses, even as we continue building toward our vision of being the World’s Most Respected African Bank. Our 5-year growth plan will see us build a world-class payments gateway leveraging the power of technology and supported by a dynamic ecosystem of local and international partnerships, enabling us to serve global payments and remittances efficiently.
“With our recent European expansion and deepened presence in key trading corridors across Africa, we will bridge the gap between cross-border and domestic transfers across all business segments. More importantly, we are committed to impacting our host communities positively,” Ogbonna added.
Sharing his thoughts on the strategic move, Managing Director-Access Bank Ghana, Olumide Olatunji said: “This move solidifies the bank’s expansion-drive in Africa and is a demonstration that Access Bank is truly Africa’s gateway to the world”.
In April 2022, Standard Chartered strategically decided to divest from a number of markets: namely Lebanon, Angola, Cameroon, Gambia, Sierra Leone, Zimbabwe and Jordan, and to exit the CPBB (Consumer Private and Business Banking) business in Côte d’Ivoire and Tanzania.
The bank announced its sale of the Zimbabwe business earlier in June, and Jordan business in March this year. With this announcement, Standard Chartered has substantially completed its divestment process from the markets announced in April 2022 – except Côte d’Ivoire, where it remains actively engaged in discussions with potential buyers for the sale of its CPBB business in the country.
