The South African Registrar of Banks granted a banking license to NewDisc Ltd., a unit of local insurer Discovery Ltd.
Discovery founder and CEO Adrian Gore revealed in 2015 that the company planned to set up a retail bank and was in the process of applying for a banking license. In October 2016, the company received authorization from the registrar to establish a banking presence in South Africa and was given 12 months to fulfill relevant conditions and obtain final approval.
The insurer said the granting of the banking license is still subject to specific regulatory conditions, including approval by the South African Competition Commission.
NewDisc will be renamed Discovery Bank Ltd.