Access Holdings Plc has notified its shareholders, Nigerian Exchange Limited (NGX), capital market stakeholders and the investing public that it will no longer continue in its plan to acquire the entire 83.4% shareholding held by Centum in Kenya’s Sidian Bank Ltd.
A statement on the latest position of the Nigerian top lender signed by its Company Secretary, Barr. Sunday Ekwochi, however, indicated that Access Bank remained committed to growing its franchise safely in Kenya.
Based on the transaction agreement, the completion of the proposed transaction was subject to fulfilment or waiver of certain conditions before the finalization of the deal.
Ekwochi stated that some of these conditions were not met because both parties were unable to reach an agreement on the set conditions, despite the efforts of Kenyan regulators who provided support through engagements during the period of the transaction negotiations.
He stated: “Consequently, we hereby notify the Nigerian Exchange Ltd and the investing public that the Sidian acquisition will no longer be completed by the bank.
“The bank however remains committed to growing its franchise in a safe and sound manner in Kenya and the broader East African community and will continue to explore a variety of organic and inorganic opportunities to grow its market share therein”, the Company Secretary added.
It would be recalled that Access Holdings Plc had earlier entered into a share purchase agreement (SPA) with the investment firm, Centum Investment Plc, to acquire a 83.4% stake in Sidian Bank in a deal that would have made it possible for it to own a majority stake in the lender
The group’s board and management had planned to merge Sidian Bank with Access Bank’s subsidiary in Kenya to create a stronger lender to deliver improved services the Kenyan market.
