CAPE TOWN – The SA Reserve Bank on Thursday said that the authorisation to conduct the business of a bank/mutual bank (banking licence) was not transferable, putting a damper on investment holding company Africapacity’s ambitions to acquire VBS Mutual Bank.
Africapacity Investment Holding, a private company was incorporated in South Africa in 2009, expressed interest to acquire VBS, which was placed under liquidation in November 2018, for R2 billion, according to reports.
In a statement on Thursday, the Reserve Bank said it was aware of the assertions made by Africapacity of its intention to buy VBS Mutual Bank or part thereof. “The authorisation to conduct the business of a bank/mutual bank (banking licence) is not transferable and requires a formal new application for such authority to be submitted to the regulatory authorities.
“All or part of a bank/mutual bank’s assets (which do not include the banking licence) may be acquired with the prior approval of the regulatory authorities.”