Zambia: Atlas Mara to acquire 100% of Finance Bank Zambia

Nov 02, 2015

The investment firm wants to create a leading bank in Zambia.

Atlas Mara is to acquire the entire share capital of the sixth bank in Zambia - through a transaction that includes
$60 million in cash and 2.6 million shares of Atlas Mara - in a bid to create a leading financial institution in the country.

The investment firm announced on October 29th it is in advanced negotiations for the acquisition of Finance Bank Zambia with an agreement expected in the first quarter of 2016.

It then plans to merge Finance Bank Zambia and BancABC Zambia, already controlled by Atlas Mara, to create " the first bank in the country in terms of branch network and the fifth in terms of assets."

The investment firm has made a series of acquisitions in Africa in recent years. It announced on April 27th that it is in exclusive negotiations for the acquisition of a 45 per cent stake in Banque Populaire du Rwanda (BPR) for an amount of $22.5 million.

It aims to merge this establishment with the Rwanda Development Bank (BRD) - that it controls through a 75 per cent stake - to give birth to the largest bank in Rwanda in terms of agencies and the second in terms of assets.

In December 2014, it increased its stake in Union Bank of Nigeria Plc to 29.9 per cent. It has also injected $210 million in ABC Holdings in Zimbabwe in October.

In a recent press release, the company said that its strategy "is to build a leading Pan-African banking platform by partnering with and investing in strong African Banks and African entrepreneurs".

In December 2013, the company announced it had raised $325 million through an introduction to the London Stock Exchange to invest in the African banking sector.ADNFCR-2976-ID-801804706-ADNFCR