Nedbanks plan to buy a controlling stake in Kenyas NCBA Group moved a step closer after the countrys capital markets regulator granted the South African lender an exemption that reshapes how takeover rules will apply to the deal.
The Johannesburg listed bank said on Monday that Kenyas Capital Markets Authority granted relief from a requirement that could have forced it to make a mandatory offer for all remaining NCBA shares under local takeover regulations. The waiver is one of the conditions attached to Nedbanks proposed acquisition, which targets about 66 of NCBA, leaving the balance to continue trading on the Nairobi Securities Exchange.
The transaction, valued at about 13.9 billion rand 870 million, is structured as a mix of cash and Nedbank shares. If completed, NCBA would become a subsidiary of Nedbank while keeping its brand and local leadership, positioning the combined group to compete more aggressively across East and Southern Africa.
