Stanchart to sell subsidiaries in Sub-Sahara

By BUUMBA CHIMBULU

STANDARD Chartered bank is set to sell its shareholding in some of its subsidiaries in Sub-Saharan African countries to Nigeria’s Access Bank following the agreement which has been signed by the two entities.

The shareholding to be affected are in its subsidiaries in Angola, Cameroon, The Gambia, and Sierra Leone, as well as its Consumer, Private & Business Banking business in Tanzania.

The bank, in a statement, however indicated that each transaction remained subject to the approval of the respective local regulators and the banking regulator in Nigeria.

The announcement was made on Friday at Standard Chartered’s Headquarters in London in the presence of senior representatives from both banks.

Signed by, Sunil Kaushal, Regional Chief Executive Officer, Africa & Middle East, Standard Chartered and, Roosevelt Ogbonna, Group Managing Director, Access Bank Plc.

“The agreement with Access for the sale of the bank’s business in Sub-Saharan Africa is in line with Standard Chartered’s global strategy, aimed at achieving operational efficiencies, reducing complexity, and driving scale,” according to the statement.

Commenting on the agreement, Mr Kaushal said this strategic decision allowed the bank to redirect resources within the AME region to other areas with significant growth potential, ultimately enabling it to better support its clients.

He said the bank looked forward to working closely with Access Bank’s team over the coming months to achieve a successful conclusion to this transaction while safeguarding the interests of its valued clients and prioritising employees.

“Following on the announcement we made in April last year, the project is now substantially completed with the announcement for the sale of the 5 markets and the furtherance of a partnership with Access Bank,” Mr Kaushal said.

Access Bank will provide a full range of banking services and continuity for key stakeholders including employees and clients of Standard Chartered’s businesses across the five aforementioned countries. Access Bank and Standard Chartered will work closely together in the coming months to ensure a seamless transition, with the transaction expected to be completed over the next 12 months.

Roosevelt Ogbonna, Group Managing Director, Access Bank Plc, was pleased to sign the agreement.

Mr Ogbonna expressed his bank’s appreciation for being selected as the preferred partner to Standard Chartered through the transaction, in which it was exiting four African markets and refocusing in one.

“At Access Bank, we are committed to reshaping the global perception of Africa and African businesses, even as we continue to build toward our vision to be the World’s Most Respected African Bank.

“Our 5-year growth plan will see us build a world-class class payments gateway leveraging the power of technology and a robust network of relationships across our operating countries,” he said.

He explained that this would be supported by a dynamic ecosystem of local and international partnerships, enabling us to serve global payments and remittances efficiently.