Business / Companies
Barclays Africa wants to take over the Zimbabwean unit
03 Mar 2015 at 15:54hrs | Views
Johannesburg - Barclays Africa has reported higher profits as it applied for a Nigerian banking licence and wants to take over the Egypt and Zimbabwe units still ran by its parent company, it said on Tuesday.
Like other companies, banks in SA are setting up operations in sub-Saharan Africa to tap growth from the robust economies there and hedge against stagnating growth at home.
Africa's No 3 lender said it was in talks with its British parent to take over the two African operations left out of a 2013 all-share deal that saw it acquire eight country subsidiaries on the continent.
Zimbabwe and Egypt were excluded from that arrangement because of political crises at the time.
"We would be keen to acquire those two countries into the portfolio, but it has to be done at a competitive price," Chief Executive Maria Ramos said.
Barclays said businesses outside SA contributed 19% of group revenue, just below the 20-25% the company is aiming for by 2016.
Growth in Africa was key to Barclays, an analyst said.
"Bedding down Africa will be the big driver in the five big markets," said Patrice Rassou, head of equities at Sanlam Investment Management, referring to South Africa, Kenya, Ghana, Zambia and Botswana where Barclays aims to be a top-three bank.
Like other companies, banks in SA are setting up operations in sub-Saharan Africa to tap growth from the robust economies there and hedge against stagnating growth at home.
Africa's No 3 lender said it was in talks with its British parent to take over the two African operations left out of a 2013 all-share deal that saw it acquire eight country subsidiaries on the continent.
Zimbabwe and Egypt were excluded from that arrangement because of political crises at the time.
"We would be keen to acquire those two countries into the portfolio, but it has to be done at a competitive price," Chief Executive Maria Ramos said.
Barclays said businesses outside SA contributed 19% of group revenue, just below the 20-25% the company is aiming for by 2016.
Growth in Africa was key to Barclays, an analyst said.
"Bedding down Africa will be the big driver in the five big markets," said Patrice Rassou, head of equities at Sanlam Investment Management, referring to South Africa, Kenya, Ghana, Zambia and Botswana where Barclays aims to be a top-three bank.
Source - Sapa
