(Ecofin Agency) - The Nigerian Access Bank Group is targeting a new acquisition in the banking sector in Zambia, according to a press release issued to investors. Its subsidiary in this country has entered into discussions with Cavmont Capital Holdings to buy its bank, Cavmont Bank.
This information is in line with the ambitions announced by the Nigerian group on 3 June to focus on expanding on the African market to build its network of banks in the region.
On 17 January 2020, Acess Bank finalized the acquisition of Transnational Bank in Kenya, which gave it access to a network of 28 additional bank branches. Over the last two years, Acess Bank’s most important acquisition was the takeover of its rival in the Nigerian market, Diamond Bank.
The institution can afford to expand. The Nigerian market, while offering opportunities, is saturated in terms of the number of customers available. The group also has the means to support this strategy. Its turnover is twice its stock market value and its return on equity is 16.5%, a sign that it can still attract investors. Its cash position is also at a comfortable level.