Access Bank Expands Presence in Kenya with Acquisition of National Bank
Nigeria’s Access Bank has announced the acquisition of the National Bank of Kenya (NBK) from the KCB Group, in order to strengthen its foothold in the Kenyan banking sector.
This marks Access Bank’s second acquisition of a Kenyan bank in under five years, following its unsuccessful attempt to acquire Sidian Bank in 2023.
The acquisition deal, approved by regulatory authorities, involves Access Bank purchasing the entire stake previously held by the KCB Group. CEO of KCB Group, Paul Russo, expressed confidence in the transaction, emphasizing its positive implications for the future of NBK.
He outlined plans to ensure a smooth transition over the next 6 to 9 months, providing stability for NBK and its employees.
Access Bank’s CEO, Roosevelt Ogbonna, hailed the acquisition as a significant milestone for the bank, aligning with its long-term strategic objectives to expand its presence in the East Africa region. The move builds upon Access Bank’s previous acquisition of Transnational Bank in 2020, further consolidating its market share in Kenya.
NBK, previously acquired by KCB Group in 2019 as part of a rescue deal facilitated by the National Treasury and the Central Bank of Kenya (CBK), has undergone significant restructuring efforts. Despite initial challenges, KCB has worked diligently to bolster NBK’s capital reserves and steer it towards profitability.
Joseph Kinyua, Chairman of KCB Group, acknowledged the hurdles faced during NBK’s integration, attributing some setbacks to legacy issues. However, the acquisition by Access Bank marks a new chapter for NBK, offering potential for growth and revitalization under new ownership.
Additional source: TechCabal
