Nedbank gets approval to acquire up to 66% stake in NCBA Group

The Central Bank of Kenya (CBK) has approved Nedbank Group Limited to acquire up to 66% of the issued share capital of NCBA Group PLC, a prominent financial services provider in East Africa. This approval, granted on August 28, 2026, falls under Section 13(4) of Kenya’s Banking Act. The acquisition will take effect once the two entities finalise all transaction terms.

NCBA Group was established in 2019 through the merger of NIC Group and the Commercial Bank of Africa (CBA). Based in Nairobi, NCBA is listed on the Nairobi Securities Exchange and has a significant banking presence in Kenya, Uganda, Tanzania, and Rwanda, alongside a joint venture in Côte d’Ivoire.

In addition to its banking services, NCBA operates in various sectors, including stock brokerage, insurance, investment banking, and leasing.

For Nedbank, this acquisition presents a strategic opportunity to enhance its footprint in East Africa by integrating NCBA’s established regional banking network with its existing operations located in Southern Africa.

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Headquartered in South Africa and listed on the Johannesburg Stock Exchange, Nedbank operates in multiple African markets, including Lesotho, Mozambique, Namibia, Eswatini, and Zimbabwe. Its diverse portfolio encompasses banking, financial services, investment, insurance, and stockbroking.

CBK says the Nedbank-NCBA deal will strengthen competition

The Central Bank of Kenya has expressed its support for the proposed deal between Nedbank and NCBA, stating that it will help stabilise the country’s banking sector and encourage competition. However, the deal must be finalised according to the agreed terms.

This transaction is part of a growing trend of cross-border activity in Africa’s financial sector, where major banking groups are expanding into new markets through acquisitions.

If Nedbank acquires up to 66% of NCBA, it will gain control over a financial group operating in key East African markets, while NCBA will benefit from being part of a larger regional financial services organisation. The Central Bank believes this move will enhance the stability and competitiveness of Kenya’s banking industry.

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