JSE-listed companies Bidvest and Grindrod have entered into a memorandum of understanding which sets out the key terms under which Bidvest and GFS Holdings company Bidvest Bank will acquire Grindrod Financial Holdings, also known as Grindrod Bank.
The acquisition of Grindrod Bank will add scale to Bidvest’s financial services offering and enable the combined business better strategic positioning as a pre-eminent niche financial services provider, the companies said in a joint statement.
“The businesses are complementary and the expanded product and service offering will benefit clients and provide employees with enhanced career development opportunities,” the parties said.
Grindrod noted that it had considered a number of strategic alternatives for the further development of Grindrod Bank and believed the proposed transaction was in the best interests of all stakeholders.