Nedbank officially completes R13.9 billion acquisition
Nedbank has completed its acquisition of a 66% stake in NCBA, a Kenyan commercial bank, in a deal worth approximately R13.9 billion.
The deal has been in the works for months, as the South African banking stalwart looks to expand to an international market.
In an announcement published on the Stock Exchange News Service (SENS), the group confirmed that all conditions for the acquisition had been met.
To complete the acquisition, Nedbank approached NCBA investors directly and offered to purchase their shares.
NCBA shareholders were able to tender up to 66% of their stake in the company to Nedbank, while excess applications could be made subject to scaling and allocation mechanics.
Ultimately, Nedbank purchased over 1.3 billion shares in the Kenyan bank, representing 79.88% of NCBA shares in issue.
While Nedbank acquired over 66% of the company’s issued shares, its total ownership is reduced after scaling and allocation are taken into account.
“Following the application of the scaling and allocation mechanics, Nedbank Group acquired 66% of the issued NCBA Shares,” Nedbank said.
The cash portion of the transaction totalled R2.9 billion, while Nedbank issued roughly 43.6 million new shares to NCBA shareholders.
At Nedbank’s closing share price of R286.82 on 4 November 2026, these new shares would be worth roughly R12.5 billion.
When the deal was still subject to regulatory approvals, it was reportedly valued at approximately R13.9 billion.
Nedbank previously said the Kenyan Central Bank had welcomed the transaction, as it would enhance the country’s banking industry.
“The Central Bank of Kenya welcomed the transaction, saying it would ensure continued stability, enhance the resilience of the Kenyan banking sector and promote competition,” Nedbank said in a statement.
For Nedbank, the deal represents a key step in increasing exposure to overseas markets and reducing its reliance on South Africa.
Kenya is one of the largest economies in East Africa, giving Nedbank a strong footing in the area for further expansion.
The stake in NCBA also gives Nedbank exposure to its operations in other countries, including Tanzania, Uganda, and Rwanda.
In October, Nedbank CEO Jason Quinn said the deal was a major step in the bank’s plan to expand into the East African market.
“This landmark transaction establishes a significant presence for Nedbank in East Africa and marks a decisive step forward in our African growth strategy,” he said.
“By connecting two strong banking platforms across Southern and East Africa, we are creating new opportunities for our clients and shareholders, while supporting greater trade, investment and growth across the continent.”
In its announcement, Nedbank also reaffirmed that NCBA would continue to trade on the Nairobi Securities Exchange.
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