After being excluded from the FirstRand deal announced on Friday to acquire parts of Saambou, Internet bank 20Twenty is still looking for a banking partner to rescue its operations.
FirstRand announced on Friday that its First National Bank (FNB) division would acquire a substantial amount of Saambou for a nominal fee of R1.
However, the FNB deal excludes Saambou`s micro-lending book, Internet banking portal 20Twenty, and Saambou`s IT infrastructure and staff.
In terms of the deal, these remaining assets will fall into receivership until a buyer can be found for them.
Saambou has a 65% interest in 20Twenty, and the infrastructure and risk, as well as the banking licence for the venture, rest with Saambou.
The branding and administration rests with the minority shareholder (35%), 20Twenty Financial Services, headed up by Christo Davel.
This means 20Twenty banking clients now belong to FNB as part of the acquisition.
An article outlining the deal on ITWeb`s financial portal, ZAFinance, quotes FirstRand chief executive, Laurie Peet as saying: "20Twenty`s customers are in effect Saambou clients and will be treated as such. The brand also clashes with our e-Bucks Internet banking service."
A notice on the 20Twenty Web site explains that the "funds release date for customers with deposits (positive or credit balances) will be on 23 May 2002 in line with all other Saambou depositors".
However, according to a 20Twenty call centre operator, the bank will not "roll over and play dead" and is still looking for a banking partner to rescue the operation.
In order to continue its banking business, 20Twenty will require a banking licence, infrastructure and sufficient money to cover all the risk for the Internet bank`s 40 000 clients.
20Twenty Financial Services CEO Christo Davel is unable to speak to the press until Thursday in terms of the curatorship.
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