Access Bank Plc’s proposed acquisition of South African-based Bidvest Bank has hit a regulatory pause as the long stop date for the transaction expired without completion.
In a notification to the Nigerian Exchange Limited, signed by its company secretary, Sunday Ewochi, Access Holdings Plc disclosed that the banking subsidiary’s plan to acquire a 100 per cent equity stake in Bidvest Bank could not be concluded within the agreed timeline as some conditions precedent, including regulatory conditions, were not fully met.
The transaction, which was first announced on December 12, 2024, had a long stop date of January 26, 2026. According to the statement saying, certain conditions including regulatory conditions were not fully met before the deadline elapsed.
Access Holdings explained that the development was not a reflection of any shift in the bank’s expansion strategy or its outlook on the South African market.
“The outcome reflects the complexities and extended timelines associated with multi-jurisdictional regulatory and transactional processes, rather than any change in the Bank’s strategic intent or assessment of the South African market.” It stated in the notice.”
Commenting on the development, Managing Director of Access Bank Plc, Roosevelt Ogbonna, said the lender remains committed to the transaction and is still engaging relevant stakeholders to explore a way forward.
“We remain constructively engaged with stakeholders on this transaction towards finding a potential path to closure,” Ogbonna said.
He stressed that the expiration of the long stop date has not weakened the bank’s confidence in South Africa’s financial system, noting that the country remains a strategic market for the group’s pan-African growth ambitions.
“This initial outcome does not diminish our confidence in South Africa’s financial ecosystem. We remain focused on building Africa’s most respected financial institution, strengthening our trade finance capabilities and delivering long term value to customers, partners and communities across all our markets,” he added.
Ogbonna also expressed appreciation to Bidvest Bank’s leadership for their cooperation throughout the process, saying, “We thank the Board and Management of Bidvest for their patience and support throughout this process.”
