Equity Bank turns to vertical strategy after collapse of Atlas Mara acquisition

Equity Bank’s plans for regional expansion suffered a setback when its deal to acquire four subsidiaries of Atlas Mara collapsed in June.

It began talks to acquire Atlas Mara’s subsidiaries in Rwanda, Zambia, Mozambique and Tanzania in April 2018, but was unable to reach an agreement by January this year when the deal’s terms expired.

Although another verbal commitment was made, Equity formally announced that it was abandoning the deal in June.

Management took the decision to drop talks when the Covid-19 crisis hit, the banks says, and to shift its strategy to better preserve capital and liquidity.