Access Bank Deal Collapses + M-Pesa Boss Joins Absa

When your acquisition falls through because you couldn't meet "contractual and regulatory conditions," that's corporate speak for … "we couldn't close the deal." Nigerian lender Access Bank just learned this after its R2.8 billion Bidvest Bank purchase imploded. Meanwhile, Absa’s poaching spree continues as they hire the M-Pesa boss to lead digital banking and Pick n Pay is warning of wider losses. Let’s get into today’s edition.

THE WIRE

M-Pesa boss joins Absa - Sitoyo Lopokoiyit, M-Pesa CEO who built Africa's $1B-a-day payments platform, takes Absa's personal and private banking helm in April.

Access-Bidvest deal collapses - Nigerian bank fails to meet R2.8B acquisition deadline. Bidvest relaunches disposal process after Access couldn't fulfil contractual and regulatory conditions by due date.

Pick n Pay losses widen 20%+ - Retailer warns headline loss per share will increase over 20% vs FY25. Weak November during Black Friday period dragged down H2 performance. Shares fell 9.87% to R20.82.

MTN eyes IHS Towers buyout - Africa's largest telco in advanced talks for $2.7B acquisition of towers it previously sold. Strategic reversal after years of asset-light strategy.

LEAD TRANSACTIONS

BANKING

Absa hires M-Pesa boss to lead digital banking push

Absa appointed Sitoyo Lopokoiyit, CEO of M-Pesa, to lead its personal and private banking division starting April 2026. Lopokoiyit built M-Pesa into Africa's dominant fintech platform with 60 million customers processing $1 billion daily in transactions. He drove launches of the M-Pesa Super App, Fuliza credit, and strategic partnerships with PayPal and AliPay while serving in senior roles at Safaricom since 2011.

Zoom in: The appointment signals Absa CEO Kenny Fihla's commitment to digital transformation and operational excellence. Fihla has emphasised capturing money Absa leaves "on the table" for rivals since taking over in June 2025. Absa's stock is up 44% since Fihla's appointment, seriously outperforming the sector. Lopokoiyit brings deep expertise in fintech, telecoms, customer experience, and large-scale business transformation -precisely what Absa needs to compete in increasingly digitalised markets.

Background info: So M-Pesa operates as a joint venture between Safaricom and Vodacom, growing into one of Africa's biggest fintech success stories. Lopokoiyit's fintech credentials position him to overhaul Absa's PBB unit, which has struggled to match the digital sophistication of competitors. Absa also appointed Prabashni Naidoo as group chief governance officer and Rushdi Solomons as chief internal audit executive, signalling broader leadership restructuring.

So what does this mean: Hiring external fintech talent shows Absa recognises it can't transform through traditional banking playbooks alone. M-Pesa's success came from treating payments as infrastructure for broader financial services - we’re talking credit, savings, merchant services - not just money transfer. If Lopokoiyit can replicate even a fraction of that model within Absa's existing customer base, the bank gains serious competitive advantage against digital-first challengers. This is a checkmate if there ever was one.

BANKING

Access Bank's Bidvest acquisition implodes after missing deadline

Access Bank's R2.8 billion bid to acquire Bidvest Bank collapsed after the Nigerian lender failed to meet contractual and regulatory conditions by the agreed longstop date. Bidvest Group resumed talks over the banking unit's sale, stating the rationale behind divesting from financial services "remains a strategic imperative." The conglomerate is refocusing on core, more profitable businesses after falling short in building banking scale.

Why it matters: The collapse deals a blow to Access Bank's South African expansion ambitions where it remains subscale since acquiring Grobank in 2021. Moody's downgraded Bidvest Bank in January, citing uncertainty over the sale and potential reduction in parental support once ownership changes. Access Bank SA has experienced executive turmoil with CEO Sandile Shabalala stepping down in March, chief compliance officer Mariska van der Veen departing, and head of credit Subhash Maharaj suspended since December.

State of play: Bidvest is divesting from financial services where it failed to achieve scale, selling both Bidvest Bank and Bidvest Life (to a private equity consortium). The group said Bidvest Bank "remains adequately capitalised" and will continue receiving support during the transition period. Bidvest aims to "accelerate transaction timeframes" in relaunching the disposal process.

What’s the takeway here: When a bank can't close an acquisition it announced months ago, it signals either regulatory pushback, capital constraints, or internal dysfunction. Access Bank's recent executive exodus suggests the latter. Nigerian banks expanding into South Africa face extremely tough competition from entrenched players and demanding regulators. Without scale and stable leadership, Access remains a subscale player in Africa's most sophisticated banking market.

TRADING FLOOR

MTN is having second thoughts about that whole "asset-light" strategy. The telco is in advanced talks for a $2.7 billion buyout of IHS Towers - the same towers it sold off in 2022 for 5,700 sites in South Africa alone. Apparently, giving up control of infrastructure also meant giving up a little too much strategic power. When diesel generators and power cuts determine whether your network stays online, owning the metal actually matters.

South Africa just signed a framework deal with China for duty-free access to Chinese markets, with the full agreement expected by end-March. Trade Minister Parks Tau flew to Beijing to ink the China-Africa Economic Partnership Agreement after Trump slapped 30% tariffs on South African exports - the highest rate in sub-Saharan Africa. China gets enhanced investment opportunities, particularly in autos where Chinese car sales are already surging. Who hasn’t seen a GWM/ BYD/ JAECO/ OMODA on the road? The message: when Washington closes doors, Beijing opens them. Naturally, South Africa is still negotiating with the US for a better deal, but hedging bets by diversifying trade partners.

Pick n Pay's turnaround just hit a wall. The retailer warned that losses will widen by over 20% after a particularly brutal November during the Black Friday period. Like-for-like sales crept up just 2.9%, but overall sales fell 1.4% as the group closed underperforming stores. Shares dropped 9.87% to R20.82. Meanwhile, Boxer - the discount unit everyone said wouldn't work - grew turnover 11.9%. Turns out when consumers are under strain, they trade down. Who knew?

Moody's called it in January when they downgraded Bidvest Bank, citing "uncertainty over the sale." Access Bank's failure to close the R2.8 billion acquisition validates those concerns about ownership transition risks. When your CEO, chief compliance officer, and head of credit all exit within months, closing complex acquisitions becomes difficult.

Nigerian startup Ziidi launched a B2B commerce platform connecting informal traders to suppliers, securing inventory financing for Nigeria's millions of neighbourhood shops. The model: bulk purchasing power plus credit access for traders who typically operate on razor-thin margins with zero working capital.

STARTUP SPOTLIGHT

Talk360 raises R22M ($1.4M) - SA cross-border calling app secures secondary funding from Havaic and Universum Wealth.

The platform enables affordable international calls without internet to mobile and landlines in 180+ countries - serving African diaspora in Europe/US calling home and users without smartphones. Talk360 has 6 million customers and is now profitable, marking its transition from early-stage scale-up to a real sustainable business.

The company raised $10M total since 2022 at a $30M valuation. Funds will support Shop360, a new feature enabling instant mobile airtime, data bundles and top-ups across 180+ countries. Talk360 also spun off its payments arm into NjiaPay to serve travellers and business users after Skype discontinued its calling service.

+THIS

On this day in 1990, Nelson Mandela walked free from Victor Verster Prison after 27 years, fundamentally altering South Africa's economic trajectory. Within four years, the country rejoined global capital markets, lifted sanctions, and began rebuilding institutions. The more you know.