Barclays, Absa in talks on single African face
BUSINESS| Aug. 21, 2012, 1:47 p.m.
In line with their strategy to operate as One Bank in Africa, Barclays and its subsidiary Absa Group Limited are engaged in discussions about combining the majority of the Barclays Africa operations with Absa.
This is expected to involve the combination of Barclays interests in Botswana, Ghana, Kenya, Tanzania, Uganda, Zambia and the Indian Ocean with Absa, with Barclays Bank PLC remaining as the majority shareholder of the combined African operations.
The listings of Barclays subsidiaries in Kenya, on the Nairobi Securities Exchange, and in Botswana, on the Botswana Stock Exchange, would be maintained. Only Barclays holdings in these listed subsidiaries would be included in the proposed combination.
The proposed combination would be subject to, among other things, the approval of the Boards of Barclays and Absa (the latter on the recommendation of the independent members of the Absa Board), as well as Absa shareholder approval and regulatory approvals in the relevant jurisdictions.
Barclays notes in an advisory to shareholders “There can be no certainty that these discussions will lead to a combination. The proposed combination would not be expected to be completed until 2013.”
Commenting on the rationale for the proposed combination, Maria Ramos, Chief Executive of Absa Group and Barclays Africa, said: “This proposed combination of the majority of the Barclays Africa businesses with Absa is the next logical step in delivering our “One Africa” strategy, which Barclays PLC announced last year. We have already consolidated the regional offices for Absa Africa and Barclays Africa, as well as introduced a global product strategy for banking across the continent. This proposed combination of the businesses will mirror the managerial and operational structure we have already put in place.
“We are tremendously excited by the opportunities for growth in Africa. We are wholeheartedly committed to our businesses across Africa and this proposed combination will help us to leverage the significant potential of these businesses. It will provide a platform for further growth that we firmly believe will be to the benefit of our colleagues, our customers and clients, our shareholders and the communities in which we operate.”
MORE BUSINESS NEWS
Angela Kyerematen-Jimoh heads IBM Ghana as Country General ManagerIBM Ghana says it has appointed Angela Kyerematen-Jimoh as its Country General Manager. Read More
MTN SA CEO resignsMTN Group today announced the resignation of Ahmad Farroukh, CEO of MTN South Africa, which is effective 31 July 2015. Read More
Diamond Bank CEO wins Best Digital Banker of the YearDiamond Bank Plc’s CEO, Uzoma Dozie, has won the Best Digital Banker of the Year award of the American Banker, Bank Technology News. Read More
DHL to invest millions of Euros across SSA in 2015DHL plans to invest millions in upgrading its shipment handling systems and facilities in SSA this year. Read More
Ebenezer Asante to assume CEO role of MTN GhanaEbenezer Twum Asante will officially assume the position of Chief Executive Officer for MTN Ghana, effective 1st July, 2015. Read More
Nomanini scales West African footprint with Transaction Solutions partnershipSouth African-based portable Point of Sale (PoS) service provider Nomanini has signed an exclusive agreement with Transactions Solutions Ghana Limited to substantially scale numbers of its cloud-based PoS terminals in Ghana. Read More
Online procurement system for East Africa goes liveKenyan IT start-up M-Tenders Systems has created East Africa’s first live online procurement system, www.m-tenders.com. Read More
Customer experience starts with staff experienceCompanies seeking to improve customer experience to boost business may be overlooking a critical component in the mix: staff, says new Interactive Intelligence research. Read More
MasterCard, Ecobank Group to accelerate e-payment in SSAEcobank, Africa’s largest bank by geographical reach, will roll out MasterCard payment solutions to millions of its customers in Africa. Read More
FEATURED STORYIHS plans to inject fresh $500m to grow capacity
Mohammed Darwish, managing director of IHS Towers, says the firm will soon inject another $500million into the business after raising some $2.5billion to finance expansion drives. Darwish spoke with biztecafrica.com in Lagos.
BEST READ NEWS
IN DEPTHAs curtain falls on MDGs, what next?
Dr. Bjorn Lomborg, president of the Copenhagen Consensus Centre, speaks to Biztechafrica about setting smart targets.