Ecobank Group confirmed on Friday that Bosquet Investments Limited, the private investment vehicle of financier Alain Nkontchou, has agreed to purchase South Africa’s Nedbank Group’s 21.2% stake in Ecobank Transnational Incorporated (ETI) for $100 million.
Signed on Wednesday, the deal is anticipated to close in the fourth quarter of 2025, subject to regulatory approval.
Nedbank’s strategic shift to focus on Southern and East African markets
The decision was influenced by concerns about possible regulatory changes, increased capital requirements, and Nedbank’s strategic shift to focus on Southern and East African markets, where the Group owns and controls businesses.
Currency fluctuations in specific Ecobank markets in Central and West Africa have hampered the 2014 acquisition of the stake.
New insights
Jeremy Awori, CEO of Ecobank, stated that the ownership transfer will not affect the bank’s expansion goals and may even provide new insights into its approach.
Jeremy Awori, Chief Executive Officer of Ecobank Group, commented: “We are pleased to welcome Bosquet Investments Ltd. as a significant shareholder of ETI. This important milestone reflects a deep and enduring commitment to our Group’s growth and success. Their investment is a strong vote of confidence in our Growth, Transformation, and Returns strategy, performance, and people.”
“Having been part of the bank’s journey for many years, initially joining as a member of the Board of Directors, then serving as ETI Chairman, Alain has demonstrated unwavering dedication, strategic vision, and leadership that have significantly contributed to the bank’s achievements, bringing the bank to an era of profitability”, he added.
“I am grateful for his continued trust and partnership, and I look forward to working together to realise a shared vision of growth, innovation, and excellence. I also take the opportunity to extend deep appreciation to Nedbank for 17 years of constructive partnership. They remain a valued commercial partner of Ecobank”, Awori concluded.
Alain Nkontchou expressed enthusiasm
Alain Nkontchou expressed his enthusiasm regarding this development: “I am very pleased to have come thus far with the Ecobank Group, and I look forward to supporting the institution in advancing its strategic objectives of growth, transformation and returns. I am confident that together, we will seize the opportunities ahead and lead the organisation into a new era of sustained success.”
Absa Bank Limited, acting through its Corporate and Investment Banking division, was designated as the co-financial advisor for the transaction, while Enko Capital Management LLP was the lead advisor.
Nedbank’s planned acquisition of iKhokha
It was reported that Nedbank Group has agreed to pay roughly R1.65 billion in cash, subject to final adjustments, to acquire 100% of South African fintech company iKhokha Proprietary Limited.
The acquisition, announced on Tuesday, is anticipated to be completed in the upcoming months, pending customary regulatory approvals.
According to the group, the transaction is a component of Nedbank’s plan to use inclusive financial services and digital innovation to improve its standing in the small and medium-sized business (SME) market.