AFG Holding SA has acquired a controlling stake in Access Microfinance Holding AG (AccessHolding) and indirectly its African subsidiaries. The combined assets exceed EUR 150 million with a loan portfolio of EUR 135 million as of December 2023.
Following the acquisition, AFG Holding SA was able to obtain all banking approvals and all regulatory authorizations for this large-scale operation from the competent central banks, and the green light from the competition authority (antitrust), COMESA.
The former investor group behind AccessHolding included BII, EIB, IFC, KfW, two responsAbility-managed funds, Omidyar-Tufts Active Citizen Trust, and Triodos Investment Management, through Triodos Fair Share Fund and Triodos Microfinance Fund, and the founding partner, LFS Advisory GmbH, which will remain involved in AccessHolding for a transition period. The management teams of AccessHolding and its subsidiaries will remain unchanged during this transition.
Firms advising AFG on this transaction were Groupe FINACTU as exclusive financial advisor, French firm Mazars as audit firm and Willkie Farr & Gallagher from France as the law firm. Firms advising the selling shareholders on this transaction were Norton Rose Fulbright from Germany and Dentons Europe also from Germany, as law firms.
The scope of the operation involves five African subsidiaries; Access Bank Liberia, AccèsBanque Madagascar, AB Microfinance Bank Nigeria, AB Rwanda, and AB Bank Zambia.
“This acquisition is a major step in our ambition to build a pan-African banking group offering cutting-edge, fully digital services. With our expertise in telecommunications, IT, and financial services, AFG is ideally positioned to develop innovative digital financial solutions. On the other hand, Access Microfinance Holding has acquired solid expertise in risk management and the establishment of digital channels tailored to the needs of microfinance clients,” said Mr. Léon Konan KOFFI, Chairman of the Board, AFG Holding SA.
Commenting on the acquisition, Dr. Bernd Zattler, partner of LFS, said, “Our involvement will help to ensure smooth transition of ownership and continued support to micro and small enterprises.”
On behalf of the management team, Thomas Engelhardt, CEO of AccessHolding, commented, “Since its foundation in 2006, the Access Group has disbursed more than 9 million loans totalling EUR 16 billion and has set a shining example for how responsible finance, financial inclusion and financial innovation can positively impact the lives of micro and small entrepreneurs and their local economies. By handing over the baton to AFG Holding, a private African investor, the founding investors have accomplished their mission of initiating sustainable development.”