Nigeria’s Access Bank must exit its Congo unit before acquiring Kenya’s National Bank, delaying a $100M deal with KCB Group over regulatory hurdles.
🛑 Deal Delayed by Congo Operations
Access Bank Plc’s planned $100 million acquisition of Kenya’s National Bank of Kenya (NBK) has hit a regulatory snag. Nigeria’s central bank has directed Access Bank to exit its operations in the Democratic Republic of Congo (DRC) before the deal can proceed.
The acquisition was announced in March 2024 by KCB Group Plc, the listed parent company of NBK. The agreement priced NBK at 1.25 times its book value, with the goal of streamlining KCB’s portfolio and helping Access expand its East African presence.
But more than seven months later, the transaction remains incomplete.
“It’s frustrating,” said KCB CEO Paul Russo, speaking to Business Daily. “Have you ever been so close yet so far in your life? It has been that way.”
⚖️ Regulatory Concerns from Nigeria
The Central Bank of Nigeria (CBN) has reportedly raised concerns about Access Bank Congo, which Access acquired in 2009 through a takeover of Banque Privée du Congo. CBN has also requested a review of Access Bank’s London branch operations before clearing the Kenyan deal.
Despite being profitable—Access Bank Congo posted $4.2 million in 2023 net income—the regulator is cautious. The move reflects a broader effort to limit Nigerian banks’ foreign exposure, particularly in volatile markets like the DRC.
🗞️ Learn more from CBN’s official website
🔄 KCB’s Effort to Offload NBK
For KCB, the delay is a setback in its long-term plan to divest from NBK, which it absorbed in 2019 after a government-backed rescue.
“The delay is a curveball we didn’t expect,” a KCB source told reporters, speaking on condition of anonymity.
The hold-up also prolongs KCB’s commitment to a bank that has struggled to generate strong returns under its ownership.
🌍 Access Bank’s Pan-African Strategy
The NBK acquisition is part of Access Bank’s broader plan to grow across Africa. The Nigerian lender is already present in South Africa, Zambia, Rwanda, and francophone West Africa.
In 2021, Access acquired a 78.15% stake in Kenya’s Transnational Bank, which it rebranded as Access Bank Kenya.
The NBK deal was supposed to give Access a larger platform in East Africa. But the CBN’s condition to exit Congo first now threatens to delay—or derail—the move.
“If they don’t move on DRC, we’re stuck,” said a KCB executive familiar with the matter.
📉 No Timeline for Completion
As of April 2025, there is no confirmed date for when the deal will be finalized. Both Access and KCB remain committed to the acquisition, but regulatory clearance remains the biggest hurdle.
🔗 Internal Links
- Why NBK Matters to Kenya’s Banking Sector
- How KCB Group Is Restructuring Its Portfolio
- The Role of CBN in African Cross-Border Deals
- Access Bank’s African Growth Strategy
