Barclays reveals massive 2 2bn africa unit stake sale
Barclays has announced the sale of a significant stake in its African operations to a consortium of investors, valuing the unit at approximately £2.2 billion (around $2.9 billion).
According to reports, the consortium, led by South Africa's Absa Group, will acquire a 62.3% stake in Barclays Africa Group, which operates in 12 countries across the continent. The deal is expected to be completed by the end of 2021.
The sale is part of Barclays' strategy to focus on its core businesses in the UK and Europe, while also reducing its exposure to the African market. The bank has been gradually divesting its stake in Barclays Africa Group over the past few years, having previously sold a 14.9% stake to Absa Group in 2017.
The sale is seen as a significant development in the African banking sector, with Absa Group gaining a major foothold in the region. The consortium has committed to maintaining the operations and employees of Barclays Africa Group, ensuring continuity for customers and stakeholders.
The deal is also expected to have implications for the broader African banking landscape, with potential opportunities for consolidation and growth in the region.
Here are some key details of the deal:
- Consortium led by Absa Group acquires 62.3% stake in Barclays Africa Group
- Valuation of £2.2 billion (around $2.9 billion)
- Deal expected to be completed by end of 2021
- Barclays retains a 37.7% stake in Barclays Africa Group
- Absa Group commits to maintaining operations and employees of Barclays Africa Group
What do you think about this development? Do you have any questions or would you like to know more about the implications of this deal?