BBS seen leading race for StanChart unit sale
Mbongeni Mguni | Monday November 24, 2025 09:07
Both BBS Bank and SCBB have dismissed the reports, describing them as “market speculation” and “rumours”. However, BusinessWeek is informed that BBS Bank has approached the Botswana Public Officers Pension Fund (BPOPF) for funding to support a bid for the SCBB unit. “The race for the deal has reached a critical point and BBS is in the lead,” an authoritative market insider told BusinessWeek. “The pension fund is apparently considering the request to fund BBS’ bid, but no decisions have been made.” The BPOPF was not available for comment this week on the matter.
For BBS Bank, snapping up SCBB’s unit would be a successful manoeuvre, catapulting the young bank into the ranks of the country’s Big Four in banking. The Big Four, comprising First National Bank Botswana, Absa Bank Botswana, SCBB, and Stanbic Bank, have a considerable hold on the local market. As at December 2024, the Big Four accounted for 74.1%, 73.9% and 71.3% of total assets, deposits, and loans and advances, respectively, with the figures largely remaining the same over prior years. BBS Bank had total assets of P5.5 billion as at June 30, 2025, a growth of 3.3 percent from the previous corresponding period. By comparison, the country’s biggest bank, FNBB, had assets of P34.8 billion as at June 2025, down by about five percent from June 2024.
SCBB’s Wealth and Retail Banking unit had assets of P7.4 billion as at June 2025. Securing a deal would also be a major revenue boost for BBS, as the StanChart unit posted pretax profits of P101.9 million for the half year to June 2025. Over the same period, BBS Bank recorded a pretax loss of P18.7 million.
Recently, SCBB indicated it was evaluating proposals from potential buyers. “The board wishes to inform the shareholders and the market that the company has shortlisted bidders for the sale of its WRB business and is currently in the process of evaluating their proposals,' read a statement published on the Botswana Stock Exchange. Bank officials told BusinessWeek that SCBB was aware of speculation around BBS Bank, but was unable to comment.
“We have recently been made aware of speculation concerning Standard Chartered’s plan of action for the exploration of the Wealth & Retail Bank Segment,” SCBB’s Head of Corporate Affairs and Brand and Marketing Bame Moremong-Tshweneyagae told BusinessWeek in a written response. “As a listed entity, we are unable to comment on market speculation and will provide an update as soon as we are able to do so.” At BBS Bank, Sipho Showa, Head of Business Relations and Marketing, said: “The bank does not comment on market speculation or rumours, as a general rule.” StanChart, the country’s third largest bank, is disposing of its Wealth and Retail Banking unit, which covers individual accounts, businesses and includes personal transactional accounts, loans and other services for different classifications of account holders. It will only retain its Corporate and Investment Banking unit, which covers banks and non-bank financial institutions, government and government-related enterprises, multinational corporates and development organisations.
The exit is part of a wider restructuring plan by parent company, Standard Chartered PLC, which is reshaping its global footprint by exiting mass retail markets that no longer provide a strong strategic rationale. Standard Chartered has stressed that the divestiture aligns with a long-term global strategy rather than local performance concerns. The bank believes that sharpening its focus on Corporate and Investment Banking will allow it to channel resources into higher-growth opportunities, particularly in financing, advisory, and trade services for corporate clients. The bank has assured shareholders and customers that operations will continue as normal throughout the transition process.