Access Bank Plc has entered into an agreement with Montepio Holding SGPS S.A to acquire 51 per cent majority shareholding in Finibanco Angola S.A., a leading Angolan bank.

In a regulatory filing yesterday at the Nigerian Exchange (NGX), Access Holdings Plc-the holding group for Access Bank, stated that the Transaction would be effected through the purchase of existing shares owned by Montepio-the holding company for Banco Montepio, one of Portugal’s well-established commercial banks. Finibanco Angola S.A. (Finibanco) is a profitable, well-capitalised full-service commercial bank with over 20 branches and around $300 million in total assets. It has operated in Angola since 2008.

The Angolan market is the 6th largest economy in Africa and the seventh largest country overall, with a vast and diversified natural resource base and a growing population.

The transaction, which is subject to regulatory approvals in Nigeria and Angola, is expected to close in the first half of next year, following fulfillment of customary conditions precedents. It will be consummated at 1.0 time tangible book value less pre-agreed adjustments to be determined by a customary completion audit.

Upon completion of the transaction, Access Bank is expected to increase its shareholding in Finibanco S.A and has reached certain conditional agreements in this regard.

SOURCE: THENATION