Access Bank discontinues Sidian Bank acquisition

• Published date: 17 January 2023
• Publication title: Nigeria - The Nation

Access Bank Plc has called off the proposed acquisition of Sidian Bank Limited, citing several reasons. In a statement, Access Bank said the Kenyan Bank failed to fulfill some requisite acquisition conditions agreed by both institutions.

The statement said: 'The discontinuation of the proposed acquisition ends Access Bank PLC's binding agreement with Centum to acquire the entire 83.4 per cent shareholding held by the investment company in Sidian Bank Ltd'.

The statement, issued by Access Corporation to the Nigerian Exchange Ltd, added:, 'The completion of the proposed transaction was subject to fulfillment or waiver of certain conditions before the long stop date as defined in the transaction agreement.

Although regulators have all been supportive in engagements around the transaction, certain conditions precedent including those required of Sidian Bank which were needed to prudently complete the transaction have not been met and the parties were unable to reach an agreement on the variation of these conditions in a manner to deliver the desired outcome for the parties'.

'Consequently, we hereby notify the Nigerian Exchange Ltd and the investing public that the Sidian acquisition will no longer be completed by the Bank.'

It said the development, however, will not affect Access Bank's drive to promote regional trade finance and other cross-border banking services in the East African Community (EAC) and broader COMESA region as it works towards its vision to be Africa's gateway to the world. To this end, Access Bank...