Company Announcement - • Letshego Group has a clear strategy for financial inclusion that is underpinned by a focus on geographic diversification, customer experience, and financially inclusive products and services;
• Nigeria will be a key market for Letshego and brings its footprint to 10 countries, covering East, Southern and West Africa;
• FBN Microfinance Bank has a national licence and a micro and small enterprise customer base, which will be given access to Letshego’s broad-based financial inclusion solutions.

Letshego Holdings Limited, the financial inclusion focused group with consumer, micro lending and deposit-taking subsidiaries across Southern and East Africa, today announces it has acquired a 100% shareholding in FBN Microfinance Bank (FBN MFB) from its parent, FBN Holdings plc. FBN Holdings plc is the oldest bank in Nigeria, having been established in 1894, and is listed on the Nigeria Stock Exchange. The acquisition of FBN MFB marks Letshego’s entry into West Africa, having successfully built a footprint across East and Southern Africa with 265,000 customers across nine countries. This development brings Letshego’s footprint to ten countries, with a customer base of over 385,000; Nigeria, in particular, has been a key target market in Letshego’s diversification plans.

FBN MFB was established in 2009 and is one of only six microfinance banks in Nigeria to have been awarded a national microfinance banking licence. Currently, FBN MFB has 28 branches and over 300 team members. Its core business is lending, savings and transactional financial services to micro and small enterprises.

With over 80,000 depositors and over 10,000 MSE borrowing customers, the bank’s operations are directly aligned to Letshego’s financial inclusion agenda. Letshego brings its expertise in payroll deduction lending in the public and private sector, as well as in micro and small enterprises, with a focus on agriculture, education and health sectors.  FBN MFB will rebrand to Letshego MFB. “As the leading indigenous BSE-company by market capitalisation and profitability, it is an exciting time for us at Letshego. This opportunity to enter the Nigerian market coincides with the expansion of our range of financially inclusive products and services. We believe we can harness Nigeria’s growth prospects in our target customer segments by bringing our skills to this market. We look forward to being able to further improve lives across the continent through our Nigerian entry,” said Letshego Holdings’ Group Managing Director, Chris Low. FBN MFB’s banking channels will be used to roll out Letshego’s suite of products and services. These channels include internet banking, mobile banking and cards, and will be aimed at improving inter-operability, simplicity and customer experience.