The sale of Standard Chartered’s ownership interests in its subsidiaries in Angola, Cameroon, The Gambia, and Sierra Leone as well as its Consumer, Private & Business Banking (CPBB) business in Tanzania has been agreed upon by Standard Chartered (the Bank) and Access Bank Plc (Access).
Each transaction continues to be subject to approval by the relevant local regulators and the Nigerian banking authority.
Senior leaders from both banks attended today’s announcement at Standard Chartered’s London headquarters.
The agreement with Access for the sale of the Bank’s business in Sub-Saharan Africa, which was signed by Roosevelt Ogbonna, Group Managing Director, Access Bank Plc., and Sunil Kaushal, Regional CEO, Africa & Middle East, Standard Chartered, is in line with Standard Chartered’s global strategy, which aims to achieve operational excellence and efficiency, a decrease in complexity, and a focus on scalability.
For important stakeholders, such as staff and clients of Standard Chartered’s companies throughout the five aforementioned countries, Access Bank will offer a complete range of financial services and continuity.
Access Bank and Standard Chartered Collaboration
The deal is anticipated to be finished over the next 12 months, therefore Access Bank and Standard Chartered will collaborate closely in the coming months to guarantee a smooth transition.
Sunil Kaushal made the following statement on the agreement: “Following the announcement we made in April last year, the project is now largely finished with the announcement for the sale of the five markets and the advancement of a partnership with Access Bank.
We are able to better assist our clients as a result of this strategic choice since it allows us to shift resources from the AME region to other areas with considerable development potential.
We look forward to cooperating closely with Access Bank’s team in the upcoming months to bring this transaction to a successful completion while putting the needs of our cherished clients and staff first.
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Statement by Roosevelt Ogbonna, Group Managing Director, Access Bank
In a statement, Roosevelt Ogbonna said: “We are thrilled to sign this deal today and would want to show our gratitude for being chosen by Standard Chartered as its preferred partner in this transaction, in which the latter is quitting four African markets and focused on one.
With a long history spanning more than 150 years and a recognized regional and worldwide bank, Standard Chartered has established a strong presence in these marketplaces for more than a century.
This strategic transaction for Access Bank is an important step in the company’s effort to establish a strong global brand that will act as a hub for payments, investments, and trade within Africa and between Africa and the rest of the world.
This brand will be supported by a strong capital base, an unwavering commitment to execution, best-in-class customer service, and strong governance frameworks.
“At Access Bank, we are dedicated to changing how people across the world view Africa and African-owned companies, even as we work to realize our objective of being the most respected African bank in the world.
We will develop a top-notch payments gateway as part of our five-year growth strategy by utilizing technology and a strong network of contacts throughout the nations where we operate.
We will be able to effectively serve international payments and remittances thanks to a vibrant ecosystem of local and international connections.
We will close the gap between cross-border and domestic transfers across all business categories thanks to our recent growth into Europe and our strengthened foothold in important African commercial corridors.
More significantly, we’re dedicated to making a good difference in the host communities, said Ogbonna.
Standard Chartered Strategic Decision
In April 2022, Standard Chartered made a strategic decision to quit the CPBB business in Tanzania and Côte d’Ivoire as well as from a number of markets, including Lebanon, Angola, Cameroon, Gambia, Sierra Leone, Zimbabwe, and Jordan.
In June and March of this year, respectively, the Bank announced the sale of its operations in Jordan and Zimbabwe.
Except for Côte d’Ivoire, where it is still actively in talks with possible bidders for the sale of its CPBB business there, Standard Chartered has already effectively finished the divestiture process from the markets announced in April 2022.