Theanalyst Logo
Market Date: 27-03-2014   |    Index: 38186.93 0.97%   |    Home | Sign in | Register Now  
Agriculture All One Min News Archives Bonds Cap Mkt Sentiments Capital Market CASHLESS NIGERIA Commodities Corporate Earnings Daily & Weekly Market Updates Enterpreneurship ETFs Forex Frauds & Scandals General Global Market Insurance Investors NewsBeat Islamic Finance Mergers & Aquisitions Money Market Mortgage Mutual Funds Nigeria Economy Oil Sector Opinions and Analysis Pensions People Politics Power Products & Services Professionals Property Public Offers Private Placements Regulators REITs STOCKPICKS Taxation Telcos Travel & Tours Unlisted Stocks World of Business

FBN, a subsidiary of FBN Holdings Plc, announces its acquisition of the W/African ops of ICB

Category: Money Market

  Read (1086)  
FBN, a subsidiary of FBN Holdings Plc, announces its acquisition of the W/African ops of ICB

 Monday, November 11, 2013 17:19 PM / Press Release



FIRSTBANK LTD (“First Bank Commercial Banking Group” or the “Bank”), a subsidiary of FBN Holdings Plc announces today that it has completed the acquisition of a 100% equity interest in ICB GHANA, ICB SIERRA LEONE, ICB GUINEA and ICB GAMBIA from INTERNATIONAL COMMERCIAL BANK FINANCIAL GROUP HOLDINGS AG (ICBFGH) (the “transaction”).

The transaction has been effected through the completion of a Conditional Sale and Purchase Agreement with ICBFGH.

As a result of the acquisition, FirstBank will consolidate its position as one of the largest corporate and retail banking financial institutions in sub-Saharan Africa (excluding South Africa). The transaction delivers against FirstBank's stated ambition to win significant market share, expand its pan-African footprint and diversify earnings while delivering value to shareholders.

The transaction has considerable strategic benefits directly aligned with FirstBank's growth plans and provides a very strong platform for regional growth as the Bank expands its operations to take advantage of opportunities across the wider continent. Expansion offers a range of benefits, including new growth options, a diversified and broader geographic earnings profile, reduced country specific risk and enhanced customer benefits. By establishing a footprint in carefully selected African countries, the Bank expects to improve its ability to effectively serve an increasingly international profile of corporate and institutional customers.

Across ICB's West Africa operations First Bank has acquired existing banking operations in four new markets, with 28 branches of which 17 are in Ghana, 5 in Guinea, 4 in Gambia and 2 in Sierra Leone. ICB's West African operations employ over 600 people and their assets will enhance the Bank's balance sheet by 1.32%.  With over 120,000 customer accounts and a focus on the mid-corporate, SME and retail segments ICB provides clear alignment with the Bank's existing strategic focus.

The transaction has the support of the Boards of Directors of each of the banks involved and the relevant regulatory approvals have been obtained. The combined entity will be incorporated into the international banking operations of FirstBank, which are headquartered in Lagos, Nigeria.

FirstBank remains the leading bank in the Nigerian banking sector with a Total Asset base of N3.3trillion (US$21.3 billion) as at 30 June 2013.

The transaction expands the Bank's geographic footprint to cover 10 markets internationally, with existing operations outside Nigeria in the United Kingdom and France through its subsidiary, FBN Bank (UK) Limited. It also has representative offices in Johannesburg, Beijing and Abu Dhabi. As a first step towards establishing a broader pan-African footprint, in October 2011, the Bank acquired a new subsidiary, Banque International de Crédit (BIC), one of the leading banks in the Democratic Republic of Congo.

Commenting on the transaction, Bisi Onasanya, Chief Executive Officer of FirstBank said:“The acquisition of ICBGFH assets in Ghana, Guinea, Gambia and Sierra Leone fulfils the first stage of our ambitions to steadily build a broader and more diverse footprint across Africa. We are committed to developing a multi-local business model that broadens our geographic revenue base while providing enhanced service delivery to our new customers.

By leveraging the transfer of FirstBank's, expertise and execution capabilities, supported by the Bank's robust risk management and corporate governance policies, there is a strong opportunity for an appreciable rise in the combined entity's asset turnover over time while  net revenue synergies are set to improve profit margins.” 

Comment With Your Facebook or Yahoo! ID

Join The Investors' Forum

Take A Poll

What should be the TOP priority of the new CBN Board?

Rebrand the CBN image
Focus on economy expansion policies
Defending the Naira
Devaluation of the Naira

Current Results


About us
T & C of Use
Our Policies
Advertise with Us
Subscribe / Unsubscribe
Site Map
News Feed - RSS
Contact Us
Discussion Forum
Market News & Reports

Daily Market Reports
Stock Picks
Sentiments Analysis
Investors Newsbeat
Corporate Actions
Capital Market Updates
Offers & Rights
Analysis & Opinion
Bonds Update & Outlook
The Economy
The Regulator
CBN Governor 2014
Market Data

NSE Live
Global Markets
Afrcan Markets
Investor Relations

Investor Relations Central
Share Support Services
Online Reputation Audit
Management Information
Financials & Analysis
Fundamental Analysis / Equity Reports
Research & Reports
Technical Analysis/ Charts
Corporate Earnings
Our Services

Research & Market Intelligence
Analyst Services
Offers & Rights Support Services
IR Service Support
Alert & Subscription Service
Market Recommendations
Capital Market Training
Events Coverage
File a Complaint

Investor Tools

Todays Market Action
Online Trading & Execution
Explore Technicals
Valuation Statistics
Peer Comparison
Performance Comparison
Stock Recommendation Tracker
Results Screener
Market Directory
Discussion Forum

The Analyst is a market service provided by Proshare Nigeria Limited.
Registered Office: The Upper Room, Plot 1, Lekan Asuni Close, Off Toyin Omotosho Street, Omole Phase II, Isheri LGA, P.O. Box 18782, Ikeja, Lagos, Nigeria. Telephone +234 1 762 4131 Registered in Nigeria.