Absa to buy Barclays Africa for R18bn
Fin24

Absa to buy Barclays Africa for R18bn

2012-12-06 08:39

Johannesburg - Absa Group [JSE:ASA] said on Thursday it will buy the African operations of its parent Barclays for R18.3bn, finalising a longstanding plan to fuse their businesses on the fast-growing continent. 

As a result of the R18.3bn deal, Barclays will raise its stake in Absa to 62.3% from 55.5% now, giving it an even tighter hold on South Africa's third-largest bank by value. 

The banks said in a joint statement the incorporation of Barclays African operations would lead to a management shake-up at Absa, which would be renamed Barclays Africa Group. 

The deal covers Barclays' operations in Botswana, Ghana, Kenya, Mauritius, Seychelles, Tanzania, Uganda and Zambia and the Barclays Africa Regional Office. 

Absa will retain its brand for its retail and card business in South Africa

The deal should be completed in the first half of next year, the banks said.

Comments
  • Bertverlinde - 2012-12-06 08:54

    ABSA should rather be focusing on their current clients, more and more people are complaining about their lack of service.

      Eterni80 - 2012-12-06 10:53

      I agree, my Mom banks with them, and from the charges she pays, she's personally responsible for most of their profits. I lodged a complaint on their (in)action line and asked them to contact her - that was over a month ago, all I got for my efforts was a reference number.

      SarelJBotha - 2012-12-06 11:00

      I am engaging with ABSA via their FB page on certain questions regarding their unlawful business practises. Please assist by also posting your questions or support. Even after more than a week, their experts have not been able to come up with answers, or are they hiding the truth from us? http://www.facebook.com/Absa.Bank/posts/10151274474603251?comment_id=24124727¬if_t=feed_comment_reply http://www.facebook.com/Absa.Bank/posts/10151274474603251?comment_id=24124727¬if_t=feed_comment_r www.facebook.com

  • jackey.moss - 2012-12-06 09:01

    So would ABSA bank also be renamed to Barclays Bank or Barclays Africa Bank ????

      rob.bancroft.94 - 2012-12-06 09:52

      To answer your question, just read the report above again.

      jackey.moss - 2012-12-06 12:42

      Before you "answer" my question, read mine again...I am not talking about the group, but merely the branches ...

      rob.bancroft.94 - 2012-12-07 11:46

      jackey, perhaps if you read it 3 or 4 times more, it might sink in.

  • SarelJBotha - 2012-12-06 10:59

    I am engaging with ABSA via their FB page on certain questions regarding their unlawful business practises. Please assist by also posting your questions or support. Even after more than a week, their experts have not been able to come up with answers, or are they hiding the truth from us? http://www.facebook.com/Absa.Bank/posts/10151274474603251?comment_id=24124727¬if_t=feed_comment_reply http://www.facebook.com/Absa.Bank/posts/10151274474603251?comment_id=24124727¬if_t=feed_comment_r www.facebook.com

  • dadasuraj - 2012-12-06 14:11

    That's a Good deal

  • themba.maseko.568 - 2012-12-06 17:16

    We keep on saying business is running away from South Africa. What about King Burgers, Wallmart, etc.

  • Rumbylove - 2012-12-07 09:35

    I think this is a good move, expansion in the long run will mean more profits and less bank charges for everyone. Changing the name to Barclays means that potential clients from overseas would easily recognize Barclays Africa Group as a reliable bank.

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