Access Holdings has announced that its subsidiary, Access Bank, will be acquiring a majority stake in Uganda’s Finance Trust Bank, subject to approval from the Central Bank of Nigeria (CBN) and the Bank of Uganda. In the new deal, Access Bank will hold 80% of shares in the East African financial institution.
The definite agreement was disclosed by Sunday Ekwochi, Access Holdings’ Secretary, in a statement submitted to the Nigerian Exchange Limited (NGX) for the investment public and involves the institutional shareholders of Finance Trust Bank.
This deal comes amidst struggles by Ugandan commercial banks to meet new minimum capital requirements, providing Finance Trust Bank and its stakeholders a chance for substantial capital infusion.
As part of the deal terms, both banks will merge their technological resources, allowing Finance Trust Bank to leverage Access Bank’s significant presence in over 20 countries for expanding its operations.
This collaboration will clearly facilitate financial inclusion, product innovation, and enhanced customer service..