{"id":836468,"date":"2025-09-01T08:30:00","date_gmt":"2025-09-01T06:30:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=836468"},"modified":"2025-09-01T08:27:16","modified_gmt":"2025-09-01T06:27:16","slug":"international-giant-buying-south-african-bank-for-r2-8-billion","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/banking\/836468\/international-giant-buying-south-african-bank-for-r2-8-billion\/","title":{"rendered":"International giant buying South African bank for R2.8 billion"},"content":{"rendered":"\n

Bidvest Bank is being sold for R2.8 billion, with the sale to Nigeria-based Access Bank expected to be finalised within the next three months.\u00a0<\/p>\n\n\n\n

During the financial year that ended 30 June 2025, Bidvest said that its Financial Services segment was dismantled and that a formal process was initiated to dispose of Bidvest Bank. <\/p>\n\n\n\n

Bidvest Bank is a full-service bank that offers foreign exchange, fleet, business and personal financial products. <\/p>\n\n\n\n

In December 2024, Nigeria\u2019s largest lender, Access Bank, agreed to acquire 100% of the share capital of Bidvest Bank Holdings Limited for R2.8 billion, subject to regulatory approvals.<\/p>\n\n\n\n

Access Bank has over 60 million customers globally, with a network of\u00a0700 branches in 23 countries across three continents.\u00a0<\/p>\n\n\n\n

Bidvest said that the bank’s sale is expected within the next three months. The bank is now held-for-sale on the group\u2019s financials. <\/p>\n\n\n\n

In addition to the sale of Bidvest Bank, FinGlobal, a cross-border services company offering financial emigration services, is also being sold.\u00a0<\/p>\n\n\n\n

From 30 April 2025, the group sold 100% of its share capital of FinGlobal Migration to Momentum Strategic Investments Pty Ltd for R201 million. <\/p>\n\n\n\n

The group also disposed of the share capital of Bidvest Asset Management for R2 million.<\/p>\n\n\n\n

Post year-end, the group also received a binding offer of R130 million for 100% of the share capital of Bidvest Life. <\/p>\n\n\n\n

The remaining financial services short-term insurance businesses were transferred to the automotive segment, focusing primarily on vehicle insurance coverage and related value-added products (VAPS). <\/p>\n\n\n\n

Financial results <\/h2>\n\n\n
\n
\"\"<\/a><\/figure><\/div>\n\n\n

The sales come amidst a mixed performance for the group, with some segments under extreme strain. <\/p>\n\n\n\n

Earnings contractions were seen in the Freight (-10.0%) and Commercial Products (-28.4%), which continued into the year\u2019s second half.<\/p>\n\n\n\n

This was offset by stronger performances in Services SA (+13.6%), Services International (+12.1%), Branded Products (+7.8%) and Automotive (+2.5%) <\/p>\n\n\n\n

The group also holds a significant share in JSE-listed Adcock Ingram, which delivered a commendable improved second-half performance.<\/p>\n\n\n\n

\u201cWhen earnings are under pressure, cash is the ultimate indicator of quality. A key highlight of the results is therefore the outstanding cash conversion of 95.3%,\u201d said the group. <\/p>\n\n\n\n

The group acquired hygiene company Citron, providing a strategic platform for multi-year hygiene services growth in North America. <\/p>\n\n\n\n

The group added that a new 25-year concession award in Richards Bay enables further domestic investment in long-dated terminal assets.<\/p>\n\n\n\n

    \n
  • R126.6 billion revenue, +5%<\/li>\n\n\n\n
  • R12.0 billion trading profit, +1%<\/li>\n\n\n\n
  • Trading profit margin of 9.5%, down 40bps<\/li>\n\n\n\n
  • R14.7 billion cash generated by operations, +6%<\/li>\n\n\n\n
  • ROFE 36.9%<\/li>\n\n\n\n
  • Group basic earnings per share of 1,873.8 cents, -5%<\/li>\n\n\n\n
  • Continuing operations Normalised HEPS of 1,886.4 cents, +1%<\/li>\n\n\n\n
  • Group Normalised HEPS of 1,952.7 cents, -1%<\/li>\n\n\n\n
  • Continuing operations HEPS of 1,759.5 cents, -3%<\/li>\n\n\n\n
  • Group HEPS of 1,870.8 cents, -2%<\/li>\n\n\n\n
  • Final dividend of 453 cents, +1%<\/li>\n<\/ul>\n\n\n\n

    Overall, the group\u2019s revenue increased by 5% to R126.6 billion, with trading profit up 1% to R12 billion. <\/p>\n\n\n\n

    Group earnings per share decreased by 4.7% to 1785.5 cents. This was the result of a 4.2% contraction in continuing operations EPS and a major drop in profit after tax from discontinued operations oeprations. <\/p>\n\n\n\n

    The group declared a final dividend of 453 cents per share, a 1% year-on-year increase. <\/p>\n","protected":false},"excerpt":{"rendered":"

    Nigeria’s Access Bank is close to acquiring Bidvest Bank, with regulatory approvals expected before the end of the year. <\/p>\n","protected":false},"author":95,"featured_media":812779,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[961],"tags":[21353,7190],"class_list":["post-836468","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banking","tag-access-bank","tag-bidvest-bank"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/836468","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=836468"}],"version-history":[{"count":2,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/836468\/revisions"}],"predecessor-version":[{"id":836471,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/836468\/revisions\/836471"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/812779"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=836468"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=836468"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=836468"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}