Nedbank Sells Malawi Unit to MyBucks After Strategic Review

Nedbank Group Ltd. agreed to sell its Malawian unit to MyBucks SA’s subsidiary in the country for an undisclosed amount after carrying out a review of operations in the southern Africa region.

A combination of the two groups will add scale and be better able to compete in the country, Nedbank Chief Operating Officer Mfundo Nkuhlu said in an emailed statement on Monday.

The Johannesburg-based lender’s business in Malawi accounted for less than 0.1% of headline earnings as of the end of June, while its market share in the country was about 1%.

Nedbank, which owns more than 21% of Togo-based Ecobank Transnational Inc., will continue to grow its larger operations in the Southern African Development Community region and consider opportunities in East Africa, Nkuhlu said.

For Frankfurt-listed fintech and African banking group MyBucks, the deal offers scope to expand its base of corporate clients, its Chief Executive Officer Tim Nuy said in the same statement. Source: Bloomberg