|KCB Group CEO Joshua Oigara.|
KCB Group has signed a deal with London-listed financial services firm Atlas Mara Limited to buy stakes in it’s banking units in Rwanda and Tanzania, its chief executive Joshua Oigara announced on Thursday.
The proposed transaction will see Kenya’s biggest lender by assets acquire Banque Populaire du Rwanda Plc (BPR) and the African Banking Corporation Tanzania (BancABC), strengthening its business in the two countries.
Under the proposed deal KCB will the acquire a 62.06 per cent stake in Banque Populaire du Rwanda Plc and a 100 per cent stake in African Banking Corporation Tanzania.
The transaction is subject to obtaining shareholder and regulatory approvals in Rwanda and Tanzania.
In a statement, Mr Oigara said the transaction is part of KCB’s “ongoing strategy to explore opportunities for new growth while investing in and maximising returns from the Group’s existing businesses.”
The acquisition, he added, will buttress the Group’s leadership position and give it a stronger edge to play a bigger role in driving the financial inclusion agenda in the East African region while building a robust and financially sustainable organization.