The Central Bank of Kenya (CBK) has approved the acquisition of Transnational Bank PLC by Access Bank PLC of Nigeria marking the entry of the latter into the Kenyan market. Access Bank PLC has acquired 100 per cent of the shareholding of Transnational Bank PLC effective February 1, 2020.
CBK approved the transaction on November 24, 2019 under section 13(4) of the Banking Act. On January 6, 2020, the Cabinet Secretary of the National Treasury gave his approval of the acquisition under section 9 of the Banking Act paving the way for the completion of the deal.
Transnational Bank began operations in December 1985 and as at January 2020, was operating 28 branches across the country including its head office.
Access Bank PLC is currently the largest bank in Nigeria with a total asset base of approximately US$16.10 billion (KSh 1.61 trillion). It started operations in February 1989. It currently has a presence in The Democratic Republic of Congo (DRC), Gambia, Ghana, Rwanda, Sierra Leone, Rwanda, United Kingdom and its home market of Nigeria. The banks also operates representative offices in China, UAE, Lebanon and India.
Access Bank PLC’s business model mainly focuses on corporate and retail banking and its strong group support is expected to drive Transnational Bank PLC’s business growth for the benefit of the Kenyan economy and the banking sector.
Access Bank PLC joins United Bank of Africa (UBA) and Guarantee Trust Bank (GT Bank) from Nigeria to come into the Kenyan market.