StanChart completes the restructuring of its African businesses
Sale of its consumer banking assets in Ivory Coast is part of a strategy to cut costs by more than £800m
20 December 2023 - 12:00
by Kabelo Khumalo
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
British multinational bank Standard Chartered (StanChart) has disinvested from its consumer and banking business in Ivory Coast, completing the restructuring of its African and the Middle East (AME) business as part of its strategy to reduce costs by more than £802m by 2024.
The London-based lender said it has sold its consumer and banking business to Coris Bank for an undisclosed amount.
Sunil Kaushal, CEO of StanChart’s AME business, said the transaction marks the completion of the process to disinvest from various markets which the group announced in April 2022.
“This agreement marks a milestone in Standard Chartered’s journey in the AME region towards streamlining the business and providing further impetus to our delivery of best-in-class services and expertise to our clients. The successful conclusion of the bank’s strategic divestments will see us double down on growth opportunities in AME by leveraging our long track record in the region,” Kaushal said.
“Alongside Coris Bank International, we are confident that this transition will be executed seamlessly as part of our commitment to prioritise the satisfaction of retail customers, [and] the wellbeing and stability of our people.”
StanChart will maintain its corporate and institutional banking business in Ivory Coast.
The lender has withdrawn from several Sub-Saharan African markets, a move it said is part of plans to reduce costs. In July the London-based lender said it would sell its stake in subsidiaries in Angola, Cameroon, Gambia and Sierra Leone as well as its consumer, private and business bank in Tanzania to Nigerian-based Access Bank. It also exited Zimbabwe earlier and has also exited Lebanon and Jordan.
Idrissa Nassa, president of Coris, said the transaction will strengthen its market position in Ivory Coast.
The acquisition of StanChart’s retail segment in Ivory Coast “is strategic to further strengthen Coris Bank International’s positioning in this emerging country. We will continue the satisfaction of this privileged clientele through our offers reinforced with new products and innovative services,” Nassa said.
“We reassure our new clients of our institution’s ability to preserve and strengthen the quality of service.”
SA’s competition tsar, the Competition Commission, in November reached a R42m settlement with StanChart over its role in rigging the rand foreign exchange market more than a decade ago. The lender is one of the 28 banks prosecuted by the commission for manipulating the rand/dollar.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
StanChart completes the restructuring of its African businesses
Sale of its consumer banking assets in Ivory Coast is part of a strategy to cut costs by more than £800m
British multinational bank Standard Chartered (StanChart) has disinvested from its consumer and banking business in Ivory Coast, completing the restructuring of its African and the Middle East (AME) business as part of its strategy to reduce costs by more than £802m by 2024.
The London-based lender said it has sold its consumer and banking business to Coris Bank for an undisclosed amount.
Sunil Kaushal, CEO of StanChart’s AME business, said the transaction marks the completion of the process to disinvest from various markets which the group announced in April 2022.
“This agreement marks a milestone in Standard Chartered’s journey in the AME region towards streamlining the business and providing further impetus to our delivery of best-in-class services and expertise to our clients. The successful conclusion of the bank’s strategic divestments will see us double down on growth opportunities in AME by leveraging our long track record in the region,” Kaushal said.
“Alongside Coris Bank International, we are confident that this transition will be executed seamlessly as part of our commitment to prioritise the satisfaction of retail customers, [and] the wellbeing and stability of our people.”
StanChart will maintain its corporate and institutional banking business in Ivory Coast.
The lender has withdrawn from several Sub-Saharan African markets, a move it said is part of plans to reduce costs. In July the London-based lender said it would sell its stake in subsidiaries in Angola, Cameroon, Gambia and Sierra Leone as well as its consumer, private and business bank in Tanzania to Nigerian-based Access Bank. It also exited Zimbabwe earlier and has also exited Lebanon and Jordan.
Idrissa Nassa, president of Coris, said the transaction will strengthen its market position in Ivory Coast.
The acquisition of StanChart’s retail segment in Ivory Coast “is strategic to further strengthen Coris Bank International’s positioning in this emerging country. We will continue the satisfaction of this privileged clientele through our offers reinforced with new products and innovative services,” Nassa said.
“We reassure our new clients of our institution’s ability to preserve and strengthen the quality of service.”
SA’s competition tsar, the Competition Commission, in November reached a R42m settlement with StanChart over its role in rigging the rand foreign exchange market more than a decade ago. The lender is one of the 28 banks prosecuted by the commission for manipulating the rand/dollar.
khumalok@businesslive.co.za
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Most Read
Related Articles
Standard Bank grants Chinese group R600m facility to roll out solar in SA
Tribunal dismisses Sekunjalo’s request to extend interim relief against banks
JPMorgan ‘to outsource’ $500bn custody business in Hong Kong and Taiwan
Published by Arena Holdings and distributed with the Financial Mail on the last Thursday of every month except December and January.