FNB Namibia awaiting regulatory approval to acquire Pointbreak and Ebank
Namibia’s largest commercial bank FNB Namibia is awaiting regulatory approval to acquire investment firm PointBreak and Ebank as it seeks to solidify its portfolio in the country.
“Further to the cautionary announcements dated 17 August 2016, 29 September 2016, 18 October 2016 and 2 December 2016, shareholders are advised that the current cautionary notice remains in place until regulatory approvals are received,” the company said in a cautionary notice released on the Namibian Stock Exchange.
FNB said the previous cautionary announcements noted that FNB Namibia had successfully concluded negotiations to acquire 100 per cent of Pointbreak and EBank, subject to all necessary regulatory approvals.
Pointbreak is a Namibian financial services group, providing investment management and wealth management services to the private, corporate and institutional markets, and managing in excess of N$8 billion in third party capital.
According to the bank's statement, EBank delivers innovative and inclusive banking to its clients, many of whom are in rural areas with little access to banking services.
“The acquisition of Pointbreak will enhance the investment know-how and local wealth management capability of FNB, while Pointbreak's long-standing client focused approach aligns well to FNB's vision of leading the premium banking space in Namibia,” FNB Namibia said.
The transaction would further complement the intended launch of Ashburton Investments in Namibia, the asset management business within the FirstRand group, FNB Namibia's controlling shareholder, the bank stated.
Pointbreak clients will therefore receive access to the wider range of investment products and financial services offered by FirstRand.
“EBank and FNB have a similar vision of achieving inclusive and broad-based banking in Namibia, primarily utilising technology and cellphone banking capabilities. The partnership will enable the activation of FNB's eWallet to EBank's client base, with the ultimate goal of providing banking services to all Namibians, even in areas that cannot be serviced through a branch network,” FNB said.
The transaction remains subject to various regulatory approvals, including those from the Bank of Namibia, Namfisa, the Namibian Competition Commission (Nacc) and the South African Reserve Bank (Sarb), and can only be implemented after these approvals had been received, FNB said.
Ashburton Investments is the investment management arm of the FirstRand Group, one of Africa's largest financial services companies. Its current product range includes equity, fixed income, money market and multi-asset funds.
Ashburton Investments was launched in June 2013, integrating the investment management business of FNB and RMB and using the name of its Jersey subsidiary, Ashburton International. Its assets under management exceed N$122 billion. The firm has offices in South Africa, the UK, the Channel Islands and the United Arab Emirates (UAE).