Nigerian top lender buys out Centum from Sidian
Nigerian top lender Access Bank is set to buy out the entire stake of Centum Investment in Sidian Bank for Sh4.3 billion, its second acquisition in the Kenyan market.
The deal will see Access Bank take over the 83.4 per cent that has been in the hands of Centum and its subsidiary, Bakki Holdico Ltd.
Centum Chief Executive James Mworia said the Sh4.3 billion is a 59 per cent premium to the book value, adding that the proceeds will be used to invest in other strategic sectors in East Africa.
“It advances Centum’s vision to be Africa’s foremost investment channel and bolsters our track record of attracting foreign investors into Kenya and the region to invest in extraordinary enterprises.”
Access, which in February 2020 acquired a 99.98 per cent stake in Transnational Bank for Sh1.56 billion and rebranded it into Access Bank Kenya, has already signed a binding agreement with Centum.
Completion of the transaction is subject to regulatory approvals in Nigeria and Kenya and will add to the acquisition deals in Kenya’s banking sector.
Other lenders that have been acquired in the last eight years include Fina Bank, K-Rep, Equatorial Commercial Bank, Giro Commercial Bank, Oriental Commercial Bank, Fidelity Bank, Habib Bank, Chase Bank, National Bank of Kenya, Mayfair Bank and Jamii Bora Bank.
