Nigeria’s Access Bank is in the final stages of completing its acquisition of the National Bank of Kenya from KCB Group, Kenya’s largest bank, five months after the deal was initially expected to close.
The acquisition marks a significant step in Access Bank’s strategy to expand its footprint across Africa, boosting its presence in Kenya — East Africa’s largest economy.
KCB Group’s CEO, Paul Russo, confirmed on Wednesday that the deal remains on track, revealing that NBK’s financial performance has already been factored into KCB’s 2024 full-year results. Russo added that the transaction is now in the advanced stages of securing final regulatory approvals.
The process gained momentum in October 2024 when Kenya’s Competition Authority approved the deal, with conditions. Access Bank must retain at least 80% of NBK’s 1,384 employees for a year post-acquisition, alongside all 316 employees of its Kenyan subsidiary.
KCB Group’s Chief Financial Officer, Lawrence Kimathi, explained that the timeline was extended to February 2025 due to pending regulatory clearances.
He confirmed that Nigeria’s Central Bank has already approved the deal, leaving the Central Bank of Kenya as the final hurdle.
Despite the delay, the pending sale has already influenced KCB’s financials. The bank reported a KES 2.0 trillion ($15.4 billion) balance sheet — the largest in the region — though its total assets dropped by 10%, partly due to the Kenyan shilling’s recent appreciation against regional currencies.
While the exact value of the deal remains undisclosed, KCB had previously agreed to sell NBK at 1.25 times its book value. With NBK’s 2023 book value standing at $79.77 million, the deal is estimated to be worth around $100 million.
