Another one: Access Bank cleared to take over major Kenyan Bank

• The COMESA Competition Commission has given its approval for Nigeria's Access Bank to acquire the National Bank of Kenya
• COMESA determined that the merger would not negatively impact competition or public interest within the Common Market
• The commission emphasized that the Competition Authority of Kenya will also render its own decision

Legit.ng journalist Victor Enengedi has over a decade's experience covering Energy, MSMEs, Technology and the Stock Market.

The Common Market for Eastern and Southern Africa (COMESA) Competition Commission has given Access Bank, a Nigerian financial institution, the green light to acquire the National Bank of Kenya (NBK).

This transaction will see Access Bank taking full ownership of NBK’s issued share capital, which its parent company, KCB Group, currently holds.

Earlier this year, Access Bank acquired banks in some East African countries, including Tanzania, Uganda and Zambia. Photo credit - Access Bank, Wirestock
Source: UGC

As part of the acquisition, Access Bank will also assume control of NBK’s subsidiaries, including NBK Bancassurance Intermediary Limited and KCB Asset Management Limited.

In early August, Legit.ng reported that Access Bank was close to finalizing the deal, bolstering its presence in East Africa.

Earlier this year, Access Bank acquired banks in some East African countries, including Tanzania, Uganda and Zambia.

COMESA gives greenlight to Access Bank

In a decision document issued on August 22, the commission concluded that the acquisition of the National Bank would not adversely affect public interest, thereby granting approval for the transaction.

The commission said:

"The CID determined that the merger is not likely to substantially prevent or lessen competition in the Common Market or a substantial part of it, nor will it be contrary to public interest. The CID further determined that the transaction is unlikely to negatively affect trade between Member States."

The commission clarified, however, that its decision does not apply to the Kenyan market, as the Competition Authority of Kenya will make its determination based on the country's regulations.

Access Bank, which operates in various African nations, including Nigeria, Zambia, Rwanda, and the Democratic Republic of Congo, views Kenya as a key market in its overall strategy for expanding locally and regionally.

Access Bank has finalized 11 acquisitions, with an average deal size of $95 million. The bank's busiest year was 2024, during which it completed three acquisitions.

Over the past three years, the bank has averaged two acquisitions per year, including the three it completed in 2024.

These transactions span across eight countries, with the majority concentrated in Kenya and Nigeria.

Access Bank completes acquisition of insurance company

In a similar development, Legit.ng revealed that Access Holdings Plc acquired Megatech Insurance Brokers Ltd, an insurance brokerage company licensed by NAICOM

It stated that the development aligns with its vision of building a globally connected community of ecosystems inspired by Africa for the world.

The bank's group chief executive officer commended the move, adding that it is a natural step in its evolution as a globally connected community.

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Source: Legit.ng