* Absa to issue $2.1 bln in new shares to Barclays
* To gain control of eight Africa businesses
JOHANNESBURG Feb 25 Minority shareholders of
South Africa's Absa Group on Monday overwhelmingly
backed a plan to buy the African operations of parent Barclays
Plc for $2.1 billion in new shares.
The deal, although dilutive to minority shareholders, is
expected to give Absa greater exposure to fast-growing African
The two banks will merge the bulk of their African
businesses outside of South Africa, with Barclays relinquishing
direct control of eight of its operations on the continent in
exchange for 129.5 million new shares in Absa.
The 18.3 billion rand deal ($2.1 billion) will increase
Barclays' stake in Absa, South Africa's third-largest bank by
market value, to 62.3 percent from 55.5 percent.
Barclays had previously blocked ambitions by its subsidiary
to spread further north, citing conflict of interests.
Shares of Absa were up 1.1 percent at 163.90 rand at 0840