In a bold move to increase its influence across Africa, Access Bank UK—a subsidiary of Access Holdings with a market valuation of ₦1.28 trillion—has announced plans to acquire a controlling stake in Afrasia Bank, Mauritius’ fourth-largest bank by total assets. Afrasia Bank reported assets exceeding $5.7 billion as of June 2024, a figure that underscores its solid presence in Mauritius’ financial sector, which accounts for 13.1% of the country’s GDP.
Expansion as a Strategy
With this acquisition, the goal is for Access Bank to establish Mauritius as a major trade finance hub, boost its reach in cross-border transactions and provide more seamless financial services across the African continent and beyond. The acquisition of Afrasia Bank follows a string of expansions for Access Bank in 2024.
The bank obtained approval from the Competition Authority of Kenya (CAK) in October to acquire the National Bank of Kenya (NBK) from KCB Group, a deal reportedly valued at $100 million. Additional acquisitions include the African Banking Corporation of Tanzania (ABCT) Limited in June, along with ARM Pensions and Megatech Insurance Brokers earlier in the year.
An Opportunity for Regional Connectivity
Mauritius is positioned as an international financial centre, making it a strategic choice for Access Bank to facilitate trade and financial connectivity throughout Africa. Access Bank CEO Roosevelt Ogbonna expressed optimism, stating, “We’re thrilled to leverage Mauritius’ potential to advance our mission as the Most Respected African Bank. This acquisition will unlock opportunities to bolster trade, empower businesses, and drive financial inclusion.”
Setting the Stage for Growth
Access Bank hopes that as it continues its extension of its footprint across Africa by the acquisition of Afrasia Bank, it is not only investing in a new market, but also bringing robust personal and corporate banking to Mauritius. It seems to be a busy period for Nigerian-founded banks as FBN Holdings also launched its right issue to meet the regulator’s new capital requirements.
