The Social Security and National Insurance Trust (SSNIT) has increased its stake in Société Générale Ghana to 24.36%. This development follows the acquisition of an additional 5% stake, raising SSNIT's shareholding from 19.36%. Société Générale Group has agreed to sell its 60.22% stake in its Ghanaian subsidiary to pan-African banking group, Attijariwafa Bank.
Under the agreement, Attijariwafa Bank will acquire a 55.22% stake, while SSNIT will acquire the additional 5%. The new majority shareholder will take over the bank's operations, including existing client portfolios and employees. This move is expected to increase Ghanaian participation in the banking sector and strengthen domestic ownership of a major financial institution.
SSNIT stated that the transaction would enable Ghanaian workers, pensioners, and institutions to benefit more directly from the growth and performance of the country's financial sector. The increased shareholding represents a significant strengthening of SSNIT's investment portfolio on behalf of Ghanaian workers and pensioners, with the objective of securing long-term value, sustainability, and improved retirement benefits.
The Trust expressed appreciation to the government, particularly the Minister of Finance, for its support in securing the additional stake and completing the transaction. SSNIT also thanked Attijariwafa Bank for its cooperation throughout the transaction and acknowledged the Bank of Ghana and the Securities and Exchange Commission for their regulatory oversight.
Société Générale Ghana began operations in 1975 as Security Guarantee Trust Limited and has undergone several transformations, including a merger with the National Savings and Credit Bank in 1994 and rebranding as SG-SSB in 2004. The bank was listed on the Ghana Stock Exchange in 1995 following government divestiture.
In 2024, Société Générale Group announced reforms to its global business offerings, aimed at improving efficiency. Despite economic challenges, Société Générale Ghana recorded 290% growth over 2022, with GHS424.8 million profit after tax in 2023. The bank's Managing Director, Mr. Hakim Ouzzani, noted that the Domestic Debt Exchange Programme (DDEP) had a minimal direct impact on profitability in 2023.
SSNIT's increased stake in Société Générale Ghana is expected to enhance the Trust's position to safeguard and grow contributors' retirement assets while supporting the long-term development and stability of the bank. The transaction reflects the importance of ensuring that Ghanaian workers, pensioners, and institutions benefit more directly from the growth and performance of the country's financial sector.
Key points
- SSNIT increases stake in Société Générale Ghana to 24.36%
- Société Générale exits Ghanaian market, sells stake to Attijariwafa Bank
- Transaction aims to increase Ghanaian participation in banking sector
