Western Cape police have confirmed that the gunman inside Capitec Bank in Voortrekker Street, Bellville, has been taken into custody.
Provincial police spokesperson, Lieutenant Colonel Andrè Traut said that all roads around the building had also been re-opened.
On Wednesday afternoon the bank was evacuated as police tried to talk down the gunman, who apparently locked himself in.
Traut told News24 earlier that the man was alone inside the administration section of the bank.
"This is not a hostage situation. We are negotiating with him to surrender," Traut said at the time.
He said the man had a demand for the bank but could not reveal further details for operational reasons.
Capitec communications head Charl Nel told News24 on Wednesday that it was aware of the situation at its BSC building in Bellville where an armed person threatened staff.
"This is an administrative office and call centre where no cash is held on the premises. Capitec Bank employees have been evacuated and no employees or clients are in danger," Nel said via mail.
SAPS had cornered off the area and were in full control, he added.
Tygerburger reporter Nielen de Klerk, who is tweeting from the scene, reported that the whole building had been evacuated and curious bystanders had gathered to see what was happening.
*Note: This story has been updated to include supplementary comment from Capitec Bank.