By Ayomide Otitoju
Access Bank’s bid to acquire South Africa’s Bidvest Bank has collapsed, stalling the Nigerian lender’s expansion plans in the region. The transaction fell through after Access Bank failed to meet certain conditions by the contractually agreed deadline, Bidvest Group confirmed on Monday.
In a statement, Bidvest said: “The parties have been actively working together to secure approvals. It is, however, unfortunate that certain conditions were not fulfilled by Access Bank by the contractually agreed longstop date, resulting in the termination of the transaction.”
Bidvest added that its banking unit remains well-capitalised and operationally stable, and it will continue to support the business while reopening discussions with other potential buyers. The conglomerate reiterated that its decision to exit financial services is unchanged, describing the sale of Bidvest Bank as a strategic move to refocus on core, more profitable operations.
The proposed R2.8 billion acquisition, initially agreed in December 2024, had faced scrutiny from ratings agencies. Moody’s downgraded Bidvest Bank’s credit ratings last month, citing uncertainty over the sale and concerns about reduced parental support following a change in ownership.
Access Bank, which entered the South African market in 2021 through its acquisition of Grobank, remains a relatively small player in the country’s banking sector. The collapse of the deal coincides with internal changes at Access Bank South Africa, including the planned exit of its chief executive and other senior executives, according to local reports.
Bidvest also confirmed it is proceeding with the sale of its life insurance arm, Bidvest Life, to a private equity-led consortium, subject to regulatory approvals. The group said it remains confident of completing the disposal of its financial services assets while accelerating timelines to focus on its core operations.
