Nedbank completes acquisition of 66% of NCBA
By the AFREEQUE newsroom, based on Business Day (South Africa)
South African bank Nedbank has completed its acquisition of 66% of Kenyan bank NCBA, after issuing 43.6 million shares and paying 2.9 billion rand. The deal expands its presence in Kenya, Tanzania, Uganda, Rwanda, Ghana and Ivory Coast, according to Business Day.
South African bank Nedbank issued 43.6 million new shares and paid 2.9 billion rand to NCBA shareholders, formalising its takeover of about 66% of the Kenyan banking group. The deal increased the total number of Nedbank shares in circulation to 520.9 million, the bank announced, as quoted by Business Day.
The acquisition gives Nedbank a presence in NCBA’s operations in Kenya, Tanzania, Uganda and Rwanda, as well as in its digital services in Ghana and Ivory Coast. NCBA will remain listed on the Nairobi Stock Exchange, while Kenya is expected to serve as the base for Nedbank’s expansion in East Africa, according to Business Day.
The completion follows the announcement on 20 October of the acquisition of 66% of NCBA in Kenya, which had made the deal unconditional. Nedbank is thus seeking to reduce its dependence on revenue generated in South Africa.
