This archive report was first published on 2 July 2020.
On July 2, 2020, the shareholders of Jamii Bora Bank unanimously accepted a Sh. 1 billion acquisition offer from Co-operative Bank Group, one of the largest banks in the region with an asset base of over Sh. 470 billion.
The acquisition, which awaits regulatory approval from Central Bank of Kenya, Competition Authority of Kenya, and Capital Markets Authority, will see Co-op Bank acquire 90 per cent of Jamii Bora Bank through the subscription of 224,153,154 new class of Ordinary Shares.
Co-operative Bank Group chief executive officer Dr. Gideon Muriuki said, "This acquisition will strengthen both institutions in leveraging on the Co-operative Bank’s well-established universal banking model as well as our successful business transformation agenda."
Co-op Bank had a profit of Sh. 20.7 billion as at December 31 last year and in April 2020 paid out over Sh. 5.9 billion in dividends. Jamii Bora Bank, on the other hand, is a fully-fledged Commercial Bank, licensed and regulated by the Central Bank of Kenya, with over 444,000 customers in 17 branches and employs over 190 staff.
