MyBucks Corporation Malawi Limited has acquired 100 percent of Nedbank Malawi.
Board Chairman for Mybucks Francis Pelekamoyo said this at a press briefing which was conducted at BICC on Tuesday.
Speaking with reporters, Pelekamoyo expressed gratitude over the development saying they believe the strategic move boosts the company’s market share and unlocks growth potential in corporate clients’ base.
He added that the bank has secured approval from the Reserve Bank of Malawi and is currently facilitating the completion of the transaction which is expected to be done in the first quarter of 2020.
“In essence, the merged bank will have significantly enhanced scale with a 5.8% deposit market share, up from MyBucks Malawi’s current 3.2 % (as at June 2019).
“The merger of the operations will be done in a manner that yields the greatest value to all stakeholders including our valued customers which will allow the combined business to achieve scale,” he explained.
He went on to say that their vision and strategic objectives are comprehensively consistent and the acquisition positions them in an optimal to increase profitability, improve customer experience and enhance the impact that the society has.
Pelekamoyo then said that the bank’s shareholders has notably turned around them from a loss-making position to profit after opening a branch at Dzaleka refugees camp in 2018 and corporate bond on the Malawi Stock Exchange in the same year.
He explained that they will open more braches in rural and extends its footprint on the domestic banking landscape as a way of escalating endless beginnings.
MyBucks Banking Corporation was licensed on 13th May, 2014 and commenced its operations on 24th July, 2015.
The bank has 9 branches, three Micro-finance outlets and over 130 agency banking outlets.
The deal means Nedbank Group, which is listed on the Johannesburg Stock Exchange, has disposed its operations in Malawi.