20th Dec 2006 07:01
Barclays Bank PLC20 December 2006 20th December 2006 BARCLAYS PLC BARCLAYS STRENGTHENS ITS POSITION IN AFRICA WITH ACQUISITION OF NILE BANK INUGANDA Barclays Bank PLC ("Barclays") and the shareholders of Nile Bank are pleased toannounce that they have reached agreement in principle for Barclays to acquire100% of the share capital of Nile Bank. The acquisition will lead to Barclaysand Nile Bank combining their distribution network, customer base and know-howto establish a leading position in the market and to drive further businessgrowth. Barclays expects the transaction to complete during the first quarter of2007, subject to finalisation of confirmatory due diligence and documentationand to receipt of regulatory approval. Nile Bank is the seventh largest commercial bank in Uganda with 18 branches, 228employees and a strong retail customer base. It was the first Ugandan bank toextend its branch network beyond Kampala, the capital city, and the firstindigenous bank to offer cash machines to its customers. At the end of 2005 NileBank had assets of UGX 134bn (£38.4m) and revenues of UGX 18bn (£5.3m). The enlarged operations will comprise 25 branches and around 400 employees,signifying Barclays ongoing commitment to the Ugandan economy. Commenting on the transaction, Nick Mbuvi, Managing Director of Barclays Bank ofUganda said: "Nile Bank's domestic banking expertise in Uganda and strongexpertise in the small and medium-sized business sector will enable ussignificantly to strengthen and expand our presence in Uganda. We look forwardto welcoming the Nile Bank staff into Barclays. Their local industry experiencewill be crucial to developing this business. This acquisition signals Barclayscommitment to developing its African businesses and to being a leadingcontributor to Africa's future." Richard Byarugaba, Managing Director of Nile Bank, Uganda, said: "We areconfident that Barclays is well positioned to build upon the strength of thisbusiness to the benefit of our Ugandan customers. Barclays global reach, scaleand widely recognised brand makes it the ideal choice for Nile Bank. Ourcombined teams will create exciting growth opportunities for our customers andour employees. "We are pleased that our management, staff and customers will benefit from theopportunity to participate in such a dynamic and international business." - ENDS - For further information please contact: Barclays Investor Relations Media Relations (London)James S Johnson/Neil Temple-Gough Alistair Smith+44 (0) 20 7116 2927/2928 +44 (0) 20 7116 6132 Media Relations (Kampala) Joseph Walusimbi +256 752 777 083 Media Relations (Johannesburg) Patty Seetharam +27 (0) 11 328 3170 Nile BankExternal CommunicationsGunira Ouko+256 712 771853 About Barclays Barclays PLC is a major global financial services provider engaged in retail andcommercial banking, credit cards, investment banking, wealth management andinvestment management services. We are one of the largest financial servicescompanies in the world by market capitalisation. With over 300 years of historyand expertise in banking, Barclays operates in over 60 countries and employsaround 120,000 people, we move, lend, invest and protect money for over 25million customers and clients worldwide. NOTES TO EDITORS About Nile Bank • Nile Bank (the seventh largest bank in Uganda) is a retail and SME focused bank with 18 branches and 31 ATMs servicing over 130,000 retail, SME and corporate customers • Nile Bank has grown rapidly and was the first indigenous bank to extend its network beyond Kampala and to offer ATM banking to its customers. Nile Bank increased its number of branches from just three in 2000 to 18 strategically located outlets and 31 ATMs today, operated by over 220 experienced staff, • Nile Bank offers its customers a range of competitive and affordable banking products including telephone and internet banking • Nile Bank is also an official partner for Western Union Money Transfer with 43 outlets (including sub agencies) throughout the country Disclaimer This document contains certain forward-looking statements within the meaning ofSection 21E of the US Securities Exchange Act of 1934, as amended, and Section27A of the US Securities Act of 1933, as amended, with respect to certain of theGroup's plans and its current goals and expectations relating to its futurefinancial condition and performance. These forward-looking statements can beidentified by the fact that they do not relate only to historical or currentfacts. Forward-looking statements sometimes use words such as 'aim','anticipate', 'target', 'expect', 'estimate', 'intend', 'plan', 'goal','believe', or other words of similar meaning. Examples of forward-lookingstatements include, among others, statements regarding the Group's futurefinancial position, income growth, impairment charges, business strategy,projected levels of growth in the banking and financial markets, projectedcosts, estimates of capital expenditures, and plans and objectives for futureoperations. By their nature, forward-looking statements involve risk and uncertainty becausethey relate to future events and circumstances, including, but not limited to,domestic and global economic and business conditions, market related risks suchas changes in interest rates and exchange rates, the policies and actions ofgovernmental and regulatory authorities, changes in legislation, the outcome ofpending and future litigation, and the impact of competition - a number of whichfactors are beyond the Group's control. As a result, the Group's actual futureresults may differ materially from the plans, goals, and expectations set forthin the Group's forward-looking statements. Any forward-looking statements madeby or on behalf of Barclays speak only as of the date they are made. Barclaysdoes not undertake to update forward-looking statements to reflect any changesin Barclays expectations with regard thereto or any changes in events,conditions or circumstances on which any such statement is based. The readershould, however, consult any additional disclosures that Barclays has made ormay make in documents it has filed or may file with the SEC. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Barclays