New Discovery bank on its way

Discovery is on track to bring its retail bank to South Africa, according to Discovery CEO Adrian Gore.

Speaking to Bloomberg, Gore said his company has hired a team of bankers to finish setting up its new bank.

“We’re flat out with the infrastructure and the regulatory process for banking,” said Gore.

“We’ve got the capital, we’ve hired bankers, we’re building substantial systems. We want to make an offering that’s relevant and can win market share.”

Discovery announced its plan to establish a retail bank in 2015, which will compete against ABSA, FNB, Nedbank, and Standard Bank.

Speaking to CNBC Africa at the time, Gore said they had tremendous success with their joint venture with FNB on the Discovery Card – Discovery’s credit card.

Modern bank for South Africa

Gore said the company’s banking venture will be a good way to boost earnings for Discovery.

This comes after Discovery bought control of its credit-card unit from FirstRand.

It then hired former bank executive Barry Hore to lead their application to the central bank for a banking licence.

“We’re looking at the modern and traditional structures that people need,” said Gore.

“We’ve got a good embedded base with Discovery Card. We’re comfortable that we’re heading in the right direction. It will take a year or two to get it into the market.”

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New Discovery bank on its way