The Bidvest Group has listed Bidvest Bank as a discontinued operation in its latest financial results ahead of the completion of the bank’s sale to Access Bank.
According to the group in its unaudited financial results for the six months ended December 2024, the group said that its Financial Services segment has been discontinued, and a formal process was started to dispose of Bidvest Bank and FinGlobal, which is also under the segment.
In December 2024, Access Holdings Plc, the parent company of Access Bank, announced that the bank had entered into a binding agreement with South African-based Bidvest Group Limited for the acquisition of a 100 per cent equity stake in Bidvest Bank Limited. Access Bank said the move would strengthen its position as the continent’s gateway to global markets.
In a message to its shareholders signed by the chairman of the group, BF Mohale, and Chief Executive, NT Madisa, the group said, “Bidvest Bank, FinGlobal, and Bidvest Life are reported as discontinued operations.
As announced in December 2024, we are pleased with the respective signed offers that make both financial and strategic sense whilst also providing continued employment for employees.”
The conditions precedent is mainly regulatory in nature.”
The duo added, “The majority of Bidvest businesses generated substantial and consistent profits, with four of the six divisions reporting trading profit growth. This performance was driven by continued demand for everyday essential products and services supplied by the group across most sectors of the economy. New business growth, additional tank capacity, and bolt-on acquisitions helped to mitigate the impact of price sensitive customers and weaker than anticipated discretionary consumer spend.”
This is the group’s first result with the financial services operations excised from the finances, showing the beneficial impact of the discontinuation and sale.
The acquisition is expected to close in the second half of 2025, subject to regulatory approvals. Upon conclusion of this acquisition, Bidvest Bank will be merged with the bank’s existing South African subsidiary to create an enlarged platform to anchor the regional growth strategy for the SADC region.
Commenting on the deal, the Managing Director/Chief Executive Officer of Access Bank Plc, Roosevelt Ogbonna, said, “This acquisition supports our ambition to expand across Africa and solidify our presence in key markets, with South Africa being a top priority. It underscores our commitment to establishing a more resilient, diversified, and sustainable business model that leverages technology to meet evolving customer needs. Bidvest Bank provides a unique opportunity to blend its strong local expertise with Access Bank’s robust trade and retail banking capabilities, creating a platform for long-term growth and value creation.”
The CEO of the Bidvest Group, Madisa, said, “As a well-respected, experienced, and prominent financial services entity, I am pleased that Access Bank meets our objectives and provides reassurance for the continued sustainability and prosperity of the bank. It will enable the bank to advance, scale, and sustainably grow in today’s fast-changing, technology-driven, and highly competitive sector.”
Founded in 2000, Bidvest Bank is a niche and profitable South African financial institution providing a diverse range of services, including corporate and business banking solutions and diverse retail banking products. As of its financial year ended June 2024, Bidvest Bank reported total assets equivalent to $665.0m and an audited profit before tax of $20.0m.
