African Bank heads to JSE after Reserve Bank fails to find suitable buyer

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African Bank was placed into curatorship in 2014.

AFTER failing to secure a suitable buyer for its 50 percent stake in African Bank, the South African Reserve Bank (SARB) says the bank will be listed.

Following a debt crisis, African Bank was placed into curatorship in 2014. The Reserve Bank then bought a 50 percent stake in the bank to save it from collapse, but didn’t want to be a long-term investor given conflicts of interest.

Through its transaction advisors Rothschild & Co, BofA Securities and Moshe Capital, the Reserve Bank invited local and international investors to bid for its stake.

“After due consideration of the expressions of interest that were received, the SARB has concluded that none of the interested investors would be suitable to acquire the SARB’s shareholding at this stage,” the bank said on Tuesday. Last year, Governor Lesetja Kganyago said that there wasn’t a single bidder who expressed interest in the whole shareholding.  – news24.com

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