On Monday, February 9, Bidvest Group announced the termination of the agreement between the financial institution and Access Bank, as well as the reopening of talks with other potential buyers for its banking business.
Recall that Access Bank attempted to purchase Bidvest Bank, but the transaction failed due to unmet conditions by the agreed-upon deadline.
Bidvest stated in a statement that both parties have been actively working together to acquire approvals, however it is regrettable that Access Bank did not meet certain conditions by the contractually agreed-upon longstop date, resulting in the transaction’s termination.
The group further stated that Bidvest Bank remains adequately capitalized and operationally stable, noting that it will continue to support the lender while the renewed disposal process is underway.
What is Bidvest Bank?
It’s a South African banking institution. It was established in 1998 by Bidvest Group, a South African conglomerate with holdings in a variety of businesses. It has around 140 retail banking locations in South Africa.
The bank was founded as a subsidiary of Bidvest Group to provide financial services and support the company’s commercial operations. The bank provides a variety of services, including finance, automobile, and hospitality. It also provides corporate and business banking solutions, retail banking products, and foreign exchange, among others.
What do you probably not know about Bidvest Bank?
It has a strong financial capacity, with total assets of R11.98 billion as of 2024
It has a total equity of R2.38 billion.It has an operating income of R1.22 billion
It has a net income of R223.52 million
It has a revenue growth of 4.89%
It has an annual revenue of R126.61 billion
It has a net asset value of $2.33 billion
It provides competitive foreign exchange rates and services, including spot contracts and forward exchange contracts (FECs)
It provides corporate and business banking solutions, including cash management and trade finance
The bank’s mobile app allows customers to perform transactions, view account balances, and manage their accounts
It has partnered with Mastercard to provide a cross-border payment solution, BidSend, which allows users to send money to 103 countries
Bidvest Group has agreed to sell its banking division to Nigeria’s Access Bank for R2.8 billion in December 2024.
However, the sale of Bidvest Bank to Access Bank failed due to various requirements, such as regulatory permissions, which were not satisfied by the stipulated deadline of January 26, 2026, and non-approval or delayed approval from the CBN.
Access Bank blamed complexity and extended timescales associated with multi-jurisdictional regulatory processes as the cause of the bankruptcy.
After the failed deal, Bidvest Group has relaunched the sale process, intending to speed up transaction deadlines and decrease debt.