African Bank, Led By Kennedy Bungane, Completes 28 Million Grindrod Unit Deal

African Bank finalizes a 28 million acquisition from Grindrods GFS Holdings, strengthening its asset base.

The deal aligns with African Banks expansion under CEO Kennedy Bungane, following its acquisition of Grindrod Banks assets to diversify its financial services portfolio.

Grindrods divestment supports its logistics-focused strategy, while African Bank gains exposure to property and financial markets.

African Bank Limited, led by South African business executive Kennedy Bungane, has finalized the acquisition of key property assets from GFS Holdings, a subsidiary of Grindrod. The R500 million 28 million deal is part of the banks ongoing efforts to expand its portfolio.

First announced on Oct. 22, 2024 , the deal involves acquiring loans and property investments on South Africas KwaZulu-Natal North Coast. With this move, African Bank aims to strengthen its asset base and gain a strategic foothold in the regions property and financial sectors.

The transaction, having met all suspensive conditions on March 14, 2025, is set to close on March 20, 2025 . This acquisition aligns with African Banks broader growth strategy under Bunganes leadership. Over the past year, the bank has seen a 36-percent surge in customers, growing from 3.97 million in 2023 to 5.4 million in September 2024, driven by new business initiatives and strategic partnerships.

For Grindrod, the sale supports its strategy to streamline operations and focus on its core logistics and freight services business. The proceeds will help strengthen its balance sheet and fund expansion efforts in its primary business segments.

The acquisition includes loans to the Royal Shaka Property Group, Selwa Trust, and Ushukela Milling, as well as a 19-percent stake in two property development firmsTrevally Group and Sherpa Trade. The deal also includes mortgage bonds and profit-sharing agreements tied to future developments in the region.