The planned R2.8-billion sale of Bidvest Bank to Nigeria-based Access Bank has been terminated after certain contractual conditions were not met by the agreed long stop date.
The Bidvest Group confirmed that the sale and purchase agreement between the parties incorporated customary conditions precedent, primarily related to regulatory approvals.
However, the Nigerian lender failed to fulfill certain conditions.
The parties engaged for months to secure the necessary approvals, but the deal fell through.
Bidvest disclosed that the strategic justification for reorganizing its financial services division and selling off Bidvest Bank is still the same, bringing an end to a deal that was anticipated to increase Access Bank’s presence in South Africa.
The new management of Access Bank announced plans to purchase 100% of the shares of Bidvest Bank in December 2024, the same year that co-founder Herbert Wigwe, his wife, and his son died in a horrific helicopter crash that claimed six lives.
The acquisition was expected to close in mid-2025.
60-million customers
Founded in 1989, Access Bank merged with Diamond Bank in 2019, becoming one of the largest retail banks in Africa by customer base and the largest in Nigeria by total assets.
The bank has more than 700 branches and service outlets in over 20 countries, serving more than 60-million customers.
On the other hand, the Bidvest Group was granted a banking licence as Rennies Bank, including the Rennies Foreign Exchange business, in 1989.
Following the crashed deal, Bidvest has relaunched the sale process and is confident it can successfully conclude a transaction, as it aims to accelerate timelines for a new buyer.
The group emphasised that Bidvest Bank remains financially sound and operationally stable, with capital levels above minimum regulatory requirements, while maintaining service standards and employee stability during the transition period.
Separately, Bidvest said it has concluded an agreement to dispose of Bidvest Life to a private equity-led financial services consortium.
This transaction remains subject to conditions precedent, including regulatory approvals.
The group’s financial statements will still disclose Bidvest Bank and Bidvest Life as disposal groups held for sale.
