Access Bank PLC and Finance Trust Bank (FTB) have entered a definitive agreement, signaling Access Bank’s equity investment in FTB and the acquisition of shares from FTB’s Institutional Shareholders seeking to exit, ultimately resulting in Access Bank holding an estimated 80% share in FTB. The transaction is pending regulatory approvals from the Central Bank of Nigeria and Bank of Uganda, expected to conclude in the first half of 2024.
This move unfolds amid a broader trend of Ugandan commercial banks seeking increased capital. The acquisition offers Access Bank a unique opportunity to collaborate with FTB, fostering financial inclusion, product diversification, and customer-centricity. Access Bank’s global presence across 20 countries positions FTB to tap into trade opportunities worldwide, enhancing Uganda’s economic ties.
Roosevelt Ogbonna, Managing Director of Access Bank PLC, emphasized the significance of the acquisition, framing it as a milestone in strengthening Access Bank’s regional presence in the East African Community trade region. Beyond expansion goals, Ogbonna highlighted the potential to deepen community and women impact initiatives. With about 40% of FTB’s current deposit and loan portfolio attributed to women, the deal aligns with Access Bank’s experience in gender initiatives and empowerment.
FTB’s Managing Director, Annet Nakawunde Mulindwa, expressed enthusiasm about the transformative partnership, anticipating a positive impact on customers and stakeholders. Leveraging Access Bank’s global presence and expertise, Mulindwa emphasized the potential for FTB to offer a broader array of innovative products and services, consolidating its position in the financial landscape.
The technological synergy resulting from the acquisition will provide FTB customers access to secure and diversified digital platforms, enhancing seamless transactions. Furthermore, FTB stands to benefit from Access Bank’s expertise in various industries, tapping into revenue opportunities across new customer segments in both business and retail banking.
Table: Snapshot of Finance Trust Bank and Access Bank PLC
| Aspect | Finance Trust Bank (FTB) | Access Bank PLC |
|---|---|---|
| Type | Commercial Bank | Full-Service Commercial Bank |
| Network | 35 branches | 700+ branches |
| Customer Base | 500,000 savers, 42,000 borrowers | 65 million customers |
| Gender Focus | 40% women in deposit and loans | Strong experience in gender initiatives |
| Headquarters | TWED Plaza Lumumba Avenue | – |
| Financial Solutions | Loans, deposits, money transfer, insurance, trade and finance, treasury services | Corporate and Investment Banking, Commercial Banking, Business Banking, Personal & Private Banking |
About Finance Trust Bank
Founded in 1984 as Uganda Women’s Finance Trust, FTB has evolved into a tier 1 financial institution, serving low-income segments with a comprehensive range of financial solutions.
About Access Bank PLC
A leading full-service commercial bank with a global footprint, Access Bank operates in over 20 countries, catering to over 65 million customers. The acquisition aligns with its commitment to sustainable growth and creating value for stakeholders.
