NCBA Becomes Nedbank Subsidiary as South African Lender Completes 66% Acquisition

South Africa's Nedbank Group has completed the acquisition of a 66 per cent controlling stake in NCBA, making the Kenyan lender its subsidiary.

The deal, announced on Monday, 19 October 2026, follows receipt of all required regulatory approvals.

NCBA will remain listed on the Nairobi Securities Exchange (NSE), with the public holding the remaining 34 per cent of shares.

The transaction gives Nedbank a direct entry into one of Africa's fastest-growing regions.

NCBA operates in six markets: Kenya, Uganda, Tanzania, Rwanda, Ivory Coast and Ghana. It serves more than 60 million customers through 122 branches.

Nedbank, listed on the Johannesburg Securities Exchange and the Namibia Securities Exchange, has operations across Southern Africa, including Namibia, Zimbabwe, Mozambique, Lesotho and Eswatini.

It also has offshore centres in London, Dubai, the Isle of Man and Jersey.

Through NCBA, Nedbank plans to extend its brand into the wider East African region.

The two banks said Kenya's strong institutions, advanced capital markets and dynamic technology sector make it a strategic entry point.

They described NCBA as a compelling partner because of its market reputation, digital banking capabilities, asset finance leadership, investment banking expertise and regional network.

Together, they said, the institutions are well placed to support trade, enterprise growth and investment.

NCBA said customers and employees should expect no disruption.

The group will keep its brand, local leadership, Nairobi headquarters and customer-facing operating model. Products, services, relationship teams, branches, digital channels and day-to-day banking arrangements will not change.

The bank said the deal is meant to improve the customer experience, with broader capabilities, stronger cross-border solutions and deeper sector expertise available through Nedbank.

For staff, it said the transaction opens a new chapter of growth, with more room for skills development, knowledge sharing, innovation and career progression across a larger African network.

The offer closed on 10 July 2026. NCBA shareholders tendered 1,316,357,895 shares, equal to 79.90 per cent of the issued shares.

That was well above the 66 per cent Nedbank set out to buy, a sign of strong shareholder support.

Excess applications were scaled back on a pro-rata basis, as set out in the Offer Document, to bring Nedbank's holding to its target of about 66 per cent.

Trading in NCBA shares will be suspended from close of business on or about 21 October 2026 until close of business on Monday, 2 November 2026.

The pause will allow the share register to be reconciled.

The shares will move from NCBA shareholders to Nedbank through a block trade on the NSE's Block Trade Board on Tuesday, 3 November 2026.

Settlement of Nedbank shares and payment of cash to NCBA shareholders will also begin on 3 November 2026.

NCBA Group Managing Director and Chief Executive Officer John Gachora called the deal a proud moment for the bank.

"This is a proud moment for NCBA and a powerful endorsement of the strength of our business, our people and the markets we serve," he said.

Gachora added, "With the backing of Nedbank, we are now poised to boldly go after opportunities across the East African region, expand our footprint and bring to market a more sophisticated set of products. The name is the same, the people are the same, but the ambition and capabilities are tremendously magnified."

Nedbank Group Chief Executive Jason Quinn said the deal marks a major step in the bank's African growth plans.

"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.

Quinn further stated, "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. We are proud to welcome NCBA to the Nedbank Group."