The Group Managing Director/ chief executive officer of Access Bank Plc Herbert Wigwe has disclosed that expanding out of its comfort zone in Nigeria, as the biggest bank by assets has become necessary as the Deposit Money Bank, DMB inches toward becoming World’s Most Respected African Bank.
Wigwe, according to a statement by the bank was reacting to the completion of the paperwork with the former owners of Mozambique’s African Banking Corporation, a Southern African Bank, which effectively brought the bank under Access Bank Plc full control.
“We are pleased with the completion of this acquisition which significantly strengthens our banking franchise in Mozambique and represents a transformational step in our growth plans in the country and the broader Southern Africa region, we are building the scale necessary to compete effectively and efficiently in key African markets outside Nigeria and ensure we sustainably deliver a strong return on invested capital in our Africa expansion.
“Scale is an important contributor to returns, and this transaction is consistent with our rigorous efforts to create a strong presence with scale across Africa, and in line with our vision to be World’s Most Respected African Bank.”
The chief executive of the deposit money bank, DMB cannot be more right, sector analysts say, considering that the bank has moved out from its comfort zone as the largest bank in Nigeria by asset, to acquiring more banks across the continent, particularly in Southern Africa where the lender has effectively taken over three banks within eight months.
The strategic plan, the bank said is “to create the seventh largest bank in the Mozambican banking market.”
Apart from the Mozambique bank, Grobank Limited, a South African and Zambia-based Cavmont Bank are already under the full control of the ‘biggest Nigerian Bank by Assets’.
A source had earlier informed the magazine that the Wigwe-led bank is targeting acquisitions/ take-over in eight other markets in Egypt, Ivory Coast, Senegal, Morocco Angola, Namibia, Algeria and Ethiopia, with the strategic plan “to bring Access Bank to 20 countries within a few years.”
