Key Points:
- Access Holdings acquires African Banking Corporation of Tanzania, reinforcing its strategy to expand its footprint across the continent.
- Following the acquisition, Access Bank will merge ABCT with Standard Chartered’s segments, positioning itself as a top-tier player in Tanzania.
- Access Holdings reports a 121.85% year-on-year profit increase to $113.09 million in Q1 2024, driven by significant revenue growth.
Access Holdings Plc, a leading African financial services group led by Nigerian banker and investor Aigboje Aig-Imoukhuede, has acquired African Banking Corporation of Tanzania (ABCT) Limited. This acquisition reinforces Access Holdings’ strategy to expand its footprint across the continent.
Following the completion of the acquisition, Access Bank will merge ABCT with the consumer, private, and business banking segments of Standard Chartered, another recent acquisition. This will position Access Bank Tanzania as a top-tier player, offering a broad range of innovative banking solutions. The move supports Access Holdings’ vision of becoming Africa’s Most Respected Bank under Aig-Imoukhuede’s leadership.
“This strategic move represents a notable step towards setting a railroad in Tanzania for intra-African trade within the East African region, Africa, and the rest of the world,” said Roosevelt Ogbonna, Managing Director of Access Bank. “It underscores our commitment to creating a robust East African banking network, driving positive change and innovation. We are excited about the opportunities this acquisition presents for our operations in Tanzania.”
Continental and international expansion
Access Holdings has continued its strategic expansion across Africa’s financial landscape, now boasting a presence in 12 African nations and ventures into European markets. The conglomerate operates as a holding company for a diverse range of financial entities, including banking, asset management, payments, pensions, and insurance.
The return of Aig-Imoukhuede to the helm following the passing of banking titan Herbert Wigwe has reinvigorated the group’s diversified structure. With the recent entry into Tanzania, Access Holdings targets local, regional, and international revenue opportunities across trade, payments, and specialized commerce for business and retail customers within the East African region.
Impressive financial performance
After an impressive financial performance in 2023, Access Holdings continues its strong momentum into the first quarter of 2024, recording a 121.85-percent year-on-year surge in profit to N159.29 billion ($113.09 million).
This remarkable growth was driven by substantial increases in both interest and non-interest incomes and a significant rise in gross earnings from N424.92 billion ($305.28 million) to N974.24 billion ($699.94 million).
