Lesaka announced it plans to acquire Bank Zero for R1.1 billion.
Fintech group Lesaka Technologies has pushed out the deadline for its planned acquisition of Bank Zero to 31 January 2027, underscoring continued delays in securing the remaining regulatory approvals needed to finalise the transaction.
In a note to shareholders on Thursday, Lesaka said the parties involved in the transaction have agreed to move the deadline from August 2026, signalling that the deal remains on track in principle, but completion now hinges on the pace of regulatory clearance.
Lesaka announced its plans to acquire Bank Zero for R1.1 billion on 27 June 2025.
Background
Bank Zero was founded in 2018 by Michael Jordaan, a former CEO of FNB. In the first announcement made, Lesaka said the acquisition will be settled through a combination of newly issued shares, such that the shareholders of Bank Zero will own approximately 12% of Lesaka’s fully diluted shares at the time of completion of the proposed transaction and up to R91 million ($5.1 million) in cash.
“The proposed transaction is subject to the satisfaction of customary closing conditions as well as regulatory approvals ordinarily required of a transaction of this nature, including approval from the Prudential Authority, a division of the South African Reserve Bank, Competition Commission approval and Exchange Control approval,” it said.
Lesaka expects the transaction to support a more optimised balance sheet in the future, allowing the group to finance existing and continued growth in lending books through customer deposits, driving stronger lending unit economics.
Regulatory approvals pending
In the latest update, the fintech company said the parties agreed to push back the deadline on 11 June due to pending regulatory approvals.
“The Transaction Implementation Agreement will lapse if the outstanding conditions precedent are not fulfilled or, if permitted, waived by 6 August 2026,” reads the note.
“On 11 June 2026, Lesaka SA and the Sellers’ representative agreed to extend this date from 6 August 2026 to 31 January 2027 while the remaining outstanding regulatory consents are being procured.”
Milestone
Lesaka operates a South African fintech company driven by a purpose to provide financial services, software and other business services.
The company said this acquisition will mark another key milestone in its journey to build a vertically integrated fintech platform. Lesaka Technologies is listed on the Johannesburg Stock Exchange (JSE) and on Nasdaq.
“The combination of Bank Zero’s digital banking infrastructure and its operational banking licence, together with Lesaka’s fintech and distribution platform, is intended to transform the way Lesaka is able to conduct business in the future, offering key financial, strategic and regulatory benefits,” said the company.