Ecobank Transnational Incorporated (ETI) has agreed to divest its stake in Ecobank Mozambique S.A. to Malawi-based FDH Bank PLC, restructuring its African operations while maintaining regional connectivity.
The transaction, announced Monday, transfers ownership of the four-branch Mozambican commercial bank without disrupting operations, assets, or employees. FDH Bank, listed on the Malawi Stock Exchange, will fully finance the acquisition through retained earnings.
Ecobank Group CEO Jeremy Awori framed the move as aligning with the bank’s “Growth, Transformation, and Returns” strategy. “We continuously assess operations to drive sustainable growth while advancing Africa’s financial integration,” he stated. The Mozambican subsidiary—originally Novo Banco SARL before ETI’s 2014 acquisition—will retain access to Ecobank’s digital ecosystem for cross-border payments through new partnerships with FDH.
Regulatory approvals are secured, with completion expected within 2025. Awori emphasized ETI’s ongoing commitment to pan-African finance despite the divestment. FDH Bank, offering digital banking to corporate services, gains a strategic foothold in Mozambique’s market. The transaction was conducted at arm’s length without related-party involvement.
Ecobank maintains operations in 35 sub-Saharan countries, serving 32 million customers.
0 Comments