Access Bank Finally Completes Acquisition Of Zambia’s Cavmont Bank

Access Bank Plc has said its Zambian subsidiary, Access Bank Zambia Ltd has completed the acquisition of Cavmont Bank Ltd.

The lender disclosed this in a statement on Wednesday, seen by THE WHISTLER.

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While disclosing the development, the Lagos based lender said the merger of Cavmont into Access Bank Zambia would take effect before the end of January this year.

The Bank had in July last year entered an agreement for its  Zambian subsidiary to acquire  Zambia’s Cavmont Bank.

The lender took the decision to position its Zambian subsidiary among the top ten in the country.

The bank said, “Access Bank will emerge as a stronger and well-capitalised banking franchise with improved scale and capacity to deliver sustainable and best-in-class financial service in the Zambian market.

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“Growing our presence in Zambia remains a strategic priority for Access Bank and with the conclusion of the proposed merger with Cavmont, the Bank looks forward to realise synergies from the transaction and achieving growth of the combined platform to the benefit of all stakeholders.”

Based on the terms of the agreement, Access Bank acquired the entire ordinary share capital, assets and liabilities of Cavmont Bank.

Access Bank said Capricorn Group Ltd, who are the ultimate majority shareholders in Cavmont Capital Holdings Zambia Plc, would invest at least $16.5m to acquire preference shares in the Bank.

Capricorn would only hold the preference shares for five years after which they will be acquired by Access Bank Zambia.

According to the Nigerian bank, the acquisition would complement its whole sale trade finance capabilities with Cavmont Bank’s retail and commercial banking operations.

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