Access Bank Kenya


Access Bank Kenya, whose complete name is Access Bank PLC, formerly Transnational Bank Kenya PLC, is a commercial bank in Kenya. It is licensed and regulated by the Central Bank of Kenya, the national banking regulator.

History

TNB was established as a non-bank financial institution in 1984, under the name Transnational Finance Company . TNFC provided loans, including lease-purchase arrangements to depositors and non-depositors. In 1985, following the issuance of a commercial banking license by the Central Bank of Kenya, the national banking regulator, the company began banking operations under its current name in Nairobi and Mombasa. At first other locations in the country continued to operate as TNFC offices. Between 1985 and 1996, all TNFC activities were merged with TNB and the TNFC brand was closed. The bank has one subsidiary; TNB Forex Bureau, located at Moi International Airport in Mombasa. The bank is also affiliated with Western Union, the American International money-transfer service. In 2009, TNB introduced Internet banking and mobile banking through mobile telephones.

Overview

The bank is a medium-sized commercial bank in Kenya, East Africa's largest economy., its assets were valued at about US$105.84 million, with shareholders' equity of about US$20.43 million.

Branch network

The bank maintained 17 networked branches in Kenya, as of December 2013.

Ownership

The shares of stock of Transnational Bank were privately held by Kenyan institutions and individuals., the major shareholders in the bank were as depicted in the table below:
RankName of OwnerPercentage Ownership
1Archers and Wilcock Limited23.75
2Sovereign Trust Limited23.03
3Duggan Limited15.53
4Pyramid Trustee Limited15.12
5November Nominees Limited07.28
6Simbi Investors04.11
7Losupuk Limited02.79
8Kenyerere Limited02.15
9Lohan Investments Limited01.42
10Others04.80
Total100.00

Acquisition

On 31 October 2019 the Business Daily Africa newspaper reported that Access Bank Nigeria, had received regulatory approval from the Competition Authority of Kenya to acquire 93.57 percent in Transnational Bank of Kenya. The transaction had yet to receive the approval of the Central Bank of Kenya, as of October 2019.
In January 2020, the Central Bank of Kenya gave approval for Access Bank Group to acquire up to 100 percent shareholding in Transnational Bank. In August 2020, the take-over was consummated after the new owners paid KES:1.4 billion to buy-out the previous shareholders. The bank re-branded to Access Bank PLC.

Aborted merger

When the deal by Access Bank Group to acquire Sidian Bank is concluded, it is expected that the new acquisition will be merged into Access Bank Kenya. When that happens, the combined bank is expected to have assets valued at over KSh57.1 billion, with loans totaling KSh26.6 billion. The deal required regulatory approval in Kenya and Nigeria. In January 2023, Centum Investment Company Plc. called off the planned sale of the 83.4 percent shareholding that it owns in Sidian Bank to Access Bank Group. The time allocated to negotiations lapsed before agreement could be reached.