BNP Paribas acquires South Africa's RCS
BNP Paribas’ South African arm has purchased 100 percent of RCS, reported Ventures Africa. The report went on saying that the deal was valued USD250 million and was paid in cash. The move was after The Foschini Group said it plans to decrease its holdings in RCS by 50 percent, thus lessening its exposure in the lending industry.
Meanwhile, the other 50 percent in RCS is owned by Standard Bank of South Africa, the South African arm of Standard Bank Group, which is the biggest lender by assets in Africa, operating in 18 countries in the region.
On the other hand, RCS is an independent financial company driven towards giving retail credit card facilities, personal loans and insurance to the middle class in South Africa.
The deal would take effect on July 31 this year after conditions set by regulators were fulfilled. Furthermore, the deal would be completed around September 1 of this year, reported Ventures Africa.