South African billionaire Patrice Motsepe has acquired 90 percent of South Africa’s technology-focused bank, TymeDigital Bank from Commonwealth Bank of Australia, through his investment holding company African Rainbow Capital (ARC).
Motsepe’s ARC, which acquired 10 percent of TymeDigital Bank last year, increased its stake in the company by 90 percent for an undisclosed amount.
ARC which offers financial services, industry and healthcare and insurance businesses stated that buying the newly registered TymeDigital is subject to approval from the Reserve Bank and competition authorities.
In July, Commonwealth Bank of Australia (CBA) disclosed plans to pull in its investments in other markets to focus on Australia and New Zealand. This led it to sell off low earning fintech business TymeDigital, which was issued an operating licence by the South African Reserve Bank (SARB) last year. The plan is to launch a full service digital bank and disrupt banking in South Africa.