Access Bank’s Bidvest Bank Deal Collapses Over Unmet Conditions

Access Bank’s planned acquisition of South Africa’s Bidvest Bank has collapsed after the Nigerian lender failed to meet key contractual conditions by the agreed deadline, halting its expansion push in the South African market.

Bidvest Group confirmed on Monday that it had terminated the R2.8 billion transaction after the conditions precedent were not fulfilled by the longstop date. The group said it has reopened talks with other potential buyers for its banking subsidiary.

“The parties have been actively working together to secure approvals. It is, however, unfortunate that certain conditions were not fulfilled by Access Bank by the contractually agreed longstop date,” Bidvest said.

Despite the deal’s collapse, Bidvest assured that Bidvest Bank remains adequately capitalised and operationally stable and will continue to receive support while a new disposal process is pursued.
Bidvest reiterated that its exit from financial services remains a strategic priority as it refocuses on its core, more profitable businesses. The sale of Bidvest Bank was first agreed in December 2024.

The failed acquisition had drawn concerns from ratings agencies, with Moody’s downgrading Bidvest Bank’s credit ratings last month over uncertainty surrounding the transaction and potential loss of parental support.

Access Bank entered South Africa’s banking market in 2021 through its acquisition of Grobank but remains a relatively small player in the sector. The collapse of the Bidvest deal also coincides with leadership changes at Access Bank South Africa, including the planned exit of its chief executive and other senior executives.

Meanwhile, Bidvest said it is proceeding with the sale of its life insurance subsidiary, Bidvest Life, to a private equity-led consortium, subject to regulatory approvals.

The group expressed confidence that it will complete the disposal of its financial services assets as it sharpens focus on its core operations.