Standard Chartered Bank and Access Bank Plc have entered into agreements for the sale of Standard Chartered’s shareholding in its subsidiaries in Angola, Cameroon, The Gambia and Sierra Leone as well as its consumer, private and business banking business in Tanzania.
Each transaction remains subject to the approval of the respective local regulators and the Central Bank of Nigeria (CBN), the announcement said. The announcement was made today at Standard Chartered’s headquarters in London in the presence of senior representatives from both banks and was signed by Regional CEO, Africa and Middle East, Standard Chartered, Sunil Kaushal and Group Managing Director, Access Bank, Roosevelt Ogbonna.
The agreement is in line with Standard Chartered’s global strategy, aimed at achieving operational efficiencies, reducing complexity and driving scale, it stated.
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 countries.
The two banks will work closely together in the coming months to ensure a seamless transition with the transaction expected to be completed in the next 12 months.
Commenting on the agreement, Kaushal said: “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.
This strategic decision allows us to redirect resources within the AME region to other areas with significant growth potential, ultimately enabling us to better support our clients. We look 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 our valued clients and prioritising our employees.”
“We are pleased to sign this agreement today and express our appreciation for being selected as the preferred partner to Standard Chartered through this transaction, in which it is exiting four African markets and refocusing on one. As a distinguished regional and international bank with a rich heritage spanning over 150 years, Standard Chartered Bank has built a solid presence in these markets for over 100 years,” Ogbonna said.
In April 2022, Standard Chartered strategically decided to divest from several markets, namely Lebanon, Angola, Cameroon, Gambia, Sierra Leone, Zimbabwe and Jordan and to exit the consumer private and business banking (CPBB) business in Côte d’Ivoire and Tanzania.
The Bank announced the sale of its business in Zimbabwe earlier in June and in Jordan in March this year.
With this announcement, Standard Chartered has substantially completed the divestment process from the markets announced in April 2022, except Côte d’Ivoire where it remains actively engaged in discussions with potential buyers for the sale of its CPBB business in the country.
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