Access Bank Gets Approval to Acquire National Bank of Kenya, Eyes November Completion
The Competition Authority of Kenya (CAK) has given Access Bank the green light to acquire National Bank of Kenya (NBK) from KCB Group.
However, the deal, estimated to be worth around $100 million, is contingent on Access Bank retaining at least 80% of NBK’s workforce for a year post-acquisition.“The transaction has been approved on condition that Access Bank Plc retains, for a period of one (1) year following completion of the transaction, at least of 80% of the target’s current workforce and all Access Bank (Kenya) Plc employees, its local subsidiary,” CAK said in a statement sent to TechCabal.
The Central Bank of Kenya (CBK) is the next regulatory hurdle for the deal, which is expected to be finalized in November.
The acquisition is set to significantly boost Access Bank’s presence in Kenya, expanding its network to 77 branches across 28 counties.
This will elevate the bank’s status from a tier 3 to a tier 2 lender, enhancing its competitive position in the market.
While the CAK has expressed confidence that the merged entity will not pose significant competition concerns, it remains to be seen how the deal will impact the Kenyan banking landscape.
Source: Techcabal
