Letshego Holdings Ltd has this week confirmed the 100% acquisition of AFB Ghana, a non-bank financial institution, taking its total holdings in sub-Saharan Africa to a staggering 11 countries.
The attainment of AFB Ghana represents the second time Letshego has acquired a West African company in two years having previously acquired FBN Microfinance Bank in Nigeria –now known as Letshego Nigeria MFB.
The vigorous West African campaign has seen Letshego’s customer base expand to nearly half a million and with AFB possessing deposit taking capabilities they hope to harness the accrued benefits to further their aid to be Africa’s leading inclusive finance group.
The Group seeks to achieve this through the use of USSD (Unstructured Supplementary Service Data) based mobile-savings solutions that will enable Letshego to diversify its funding base.
“It is a very exciting time for us at Letshego as well as the afb team as we welcome them into the Letshego family” Group CEO, Christopher Low said.
“This acquisition will see us further expand our footprint into a region where we see significant potential. AFB has a platform that will enable us to roll out our full-service inclusive finance model of loans, savings payments and micro-insurance in support of development of the economy of Ghana” he elucidated further.
AFB Ghana is a non-bank financial institution which offers credit products to over 60 000 customers across a network of 25 branches.
The company is said to be listed via an MTN programme on the Ghana Stock Exchange but it is not yet clear as to how the MTN programme works.
AFB Ghana’s Managing Director echoed Chris Low’s enthusiasm for the acquisition stating;
“We are excited to be joining the Letshego Group, which has very clear ambitions for inclusive finance-oriented growth across the continent, and I have no doubt that we will benefit from this vision and strategic focus”