DGAP-News: ADC African Development Corporation acquires a 20% strategic shareholding in ABC Holdings Limited (BancABC) ++ Significant synergy potential ++ Attractive purchase price ++ Expansion of ADC banking network in four new countries
(firmenpresse) - DGAP-News: ADC African Development Corporation GmbH&Co. KGaA / Key
word(s): Miscellaneous
ADC African Development Corporation acquires a 20% strategic
shareholding in ABC Holdings Limited (BancABC) ++ Significant synergy
potential ++ Attractive purchase price ++ Expansion of ADC banking
network in four new countries
15.03.2011 / 16:57
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ADC African Development Corporation (ADC) ISIN DE000A1E8NW9, a rapidly
growing financial services group which focuses on Sub-Saharan Africa's
(SSA) Frontier Markets, has acquired 20 per cent of the shares of ABC
Holdings Limited ('BancABC' - www.bancabc.com). The Management welcomes the
market entry. Through the acquisition, ADC will obtain strategic influence
on the regional banking group and will expand its presence into the fast
growing markets of Botswana, Zambia, Mozambique, Tanzania and Zimbabwe.
Hereby, the countries in which ADC is already present in the financial
services sector (Kenya, Zimbabwe, Rwanda, Equatorial Guinea and South
Africa) will be supplemented by four new exciting markets which are in the
exact focus of ADC. They are stable, rich in natural resources and show
significantly over-proportional growth rates. With this transaction, ADC's
regional expansion plans are being accelerated considerably.
The purchase price is equivalent to EUR 9.7 million. The shares from the
stock exchange listed institute were acquired at market prices. The
valuation of the bank is notably below other banks in the region.
BancABC is a dynamically growing and profitable banking group, active in
the areas of both commercial and private banking. Through the entry into
BancABC, ADC sees significant synergies to the already existing activities
in the banking and insurance sector. Potential synergies give rise, for
example, from the possible expansion of BancABC into markets in which ADC
is already active and from the possible implementation of ADC's Banking-IT
solutions (SIMTEL and iVeri) in the new shareholding. Furthermore, possible
personnel support and know-how transfer and economies of scale as well as
the regional diversification respectively complementarities will also give
rise to potential synergies.
Dirk Harbecke, CEO of ADC comments. 'BancABC is highly interesting as an
investment because through its strong growth and wide regional presence in
Southern Africa it is the ideal building block within a strong banking
group in Sub-Saharan Africa. With the second investment this current year,
ADC will continue to grow. We are looking forward to working with BancABC's
management team'.
++ About ADC
ADC African Development Corporation, ISIN DE000A1E8NW9 (ticker symbol:
AZC.GR), was established in September 2007 and quickly positioned itself as
one of the leading investors for banks and insurance companies in the
above-average growth markets of sub-Saharan Africa. The company's success
is primarily due to its local management team which follows international
best practice principles to further develop banks and implements
conventional international processes to increase their profitability. As
the second international emerging market investor in the world, ADC was
integrated into the insurance solution offered by the Multilateral
Investment Guarantee Agency ('MIGA'), a member of the World Bank Group,
primarily due to its strong operational approach and adherence to the
highest ethical standards. This insurance offers protection against a
variety of political risks, in particular the risk of radical political
change.
++ About BancABC
ABC Holdings Limited is the parent company of a number of sub-Saharan
Africa banks operating under the BancABC brand that offer a diverse range
of financial services including personal, business and corporate banking as
well as asset management, stock broking and treasury services. Guided by
its core values of professionalism, people, innovation, passion and
integrity, BancABC is pursuing its vision be the preferred banking partner
in Africa by offering world class financial solutions - to the benefit of
all its stakeholders. BancABC is realising this vision by building
profitable, lifelong customer relationships through the provision of a wide
range of innovative financial products and services.
BancABC has a proud heritage dating back to 1956. The Group, which has its
head office in Botswana, was formed as a result of a series of mergers and
acquisitions of financial institutions operating in Southern Africa. This
has given the Group a strong geographical footprint as well as a sound
understanding of the diverse financial markets within the region. As a
result, BancABC has operations in Botswana, Mozambique, Tanzania, Zambia
and Zimbabwe and a group services office in South Africa.
BancABC has its primary listing on the Botswana Stock Exchange and a
secondary listing on the Zimbabwe Stock Exchange. The Group's shareholders
include, Old Mutual, Botswana Insurance Fund and the International Finance
Corporation. The Management of BancABC, most of whom have a longstanding
history with the bank also holds significant shareholding within the Group
thereby offering much needed stability to all stakeholders.
Contact:
Olaf Meier
Managing Director
investor-relations(at)african-development.com
T +49 69. 719 12 80 123
End of Corporate News
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15.03.2011 Dissemination of a Corporate News, transmitted by DGAP - a
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Language: English
Company: ADC African Development Corporation GmbH&Co. KGaA
Grüneburgweg 18
60322 Frankfurt/Main
Deutschland
Phone: +49 69 719 12 80 00
Fax: +49 69 719 12 80 011
E-mail: info(at)african-development.com
Internet: www.african-development.com
ISIN: DE000A1E8NW9
WKN: A1E8NW
Listed: Freiverkehr in Berlin; Open Market (Entry Standard) in
Frankfurt
End of News DGAP News-Service
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115632 15.03.2011
Datum: 15.03.2011 - 16:57 Uhr
Sprache: Deutsch
News-ID 33471
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Kategorie:
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