- TSAONE SEGAETSHO
The Executive Botswana is reliably informed that Stanchart’s assets, which are currently on sale, are set to be acquired by Nigerian banking giant and Botswana Stock Exchange-listed Access Bank.
Stanchart Botswana is a subsidiary of Standard Chartered Bank UK. Access Bank, which has been pursuing an aggressive expansion strategy, began locally with the acquisition of Banc ABC Botswana in October 2021. The bank is also expected to acquire Stanchart assets on sale in neighbouring Zambia and Uganda.
A fortnight ago, the Bank of Botswana announced that Stanchart is divesting its personal banking services, including wealth and retail banking. It was further stated that the bank will continue to serve its corporate and investment banking clients, focusing on cross-border business.
A source in Nigeria revealed that Access Bank Plc has been monitoring the sale of Stanchart assets with keen interest for several years. This was evident when the West African banking giant acquired shares sold by the UK bank in Angola. Access Bank aims to expand its footprint in Southern Africa as part of its strategy to dominate the continent and solidify its position among Africa’s top five banking giants.
Access Bank established a presence in Southern Africa in 2021 with the acquisition of Banc ABC (African Banking Corporation) assets in Botswana and Zambia. Sources indicated that these acquisitions had been part of Access Bank’s pipeline since it took over African Banking Corporation assets in the two countries three years ago.
Access Bank is reportedly pursuing an ambitious and relentless expansion plan across the African continent. The bank is prepared to acquire struggling banking entities or seize opportunities to purchase financial institutions that come up for sale, aiming to capitalise on a continent-wide free trade agreement. It is now seeking to extend its reach in Botswana, Zambia, and Uganda by acquiring Stanchart assets that are already on sale.
In October 2024, Access Bank also received approval for a banking license in Namibia.
In July last year, Access Bank reached an agreement, reportedly similar to the speculated deal in Botswana, in which Stanchart sold its shareholding in subsidiaries based in Angola and West Africa. Stanchart’s consumer, private, and business banking operations in Tanzania are also among Access Bank’s immediate acquisition prospects.
A fortnight ago, Stanchart stated that the sale of its personal banking assets in Botswana “aligns with the refreshed strategic priorities shared in the Group’s third quarter 2024 results, aimed at accelerating income growth and returns.”
Access Bank Botswana’s country managing director, Sheperd Aisam, declined to comment on whether Access Bank is acquiring Stanchart Botswana.
