By: Sheila WILLIAMS
Barclays Africa Group Limited, one of the largest banking groups in Africa, will rebrand to ABSA Group Limited by 2020, subject to regulatory approval in all ten countries that it operates in.
This follows the successful sale of Barclays PLC’s stake in the bank’s Africa operations.
Barclays PLC has since December 2017, reduced its stake in the Africa Operations from 62 to 15 percent.
Addressing a telephone conference with the media at the Head office of Barclays Bank in Accra, The CEO of Barclays Africa, Maria Ramos said the rebranding will strictly conform to prevailing regulations guiding its operations.
“The sell-down gave us the opportunity to roll out a brand that reflects our identity in Africa and to unite our operations with an identity fit for the new forward looking business we are creating.”
The Deputy CEO of Barclays Africa Group Limited, Mr. Peter Matlare, told the press: “The implementation of this decision necessitates that we take into account practical considerations and dynamics in each market so that it is as seamless as possible. The change will be rolled out in time, bearing in mind the mid-2020 rebranding deadline. This transaction will be undertaken with the utmost care.”
2017 Annual Financial Results
Barclays Africa Group reported a 4% increase in headline earnings in 2017 as impairments declined substantially from a high base in 2016.
Return on equity remained strong 16.4%.
Headline earnings, a measure analysts use to gauge profitability, grew despite the continued slow economic expansion in some of the Group’s largest markets, including South Africa, where the Group generates approximately 80% of its income.
Barclays Africa Group continues to have solid balance sheet assets of R1.2 trillion and strong capital and liquidity levels – these are measures of the strength of buffers banks have in place to protect customer deposits.
New brand ABSA would be on its way to becoming a very different business enterprise, with new identity, new direction and purpose, new clarity on the outcomes to achieve, and the priorities to be addressed, the freedom to pursue business with passion and vigour with 42,000 colleagues leading the change. Barclays Africa Group Limited would be building a banking group that Africa would be proud of.
According to the bank, its Africa Group’s separation from Barclays PLC is progressing well and the parties continue to work together to ensure a seamless separation.
