This archive report was first published on 21 August 2020.
On August 21, 2020, Co-op Bank announced the acquisition of 90% of Jamii Bora Bank, renaming it Kingdom Bank in a deal worth billions.
The takeover, which was finalized earlier this month, aims to diversify the business model of the two institutions, benefiting Co-op Bank's shareholders and enhancing the resilience of the Kenyan banking sector.
According to Co-op Bank, the transaction will allow the bank to tap into Jamii Bora Bank's customer base and expand its services, while also providing an opportunity for Jamii Bora Bank's existing shareholders to share in future profits.
As part of the deal, Jamii Bora Bank's existing issued shares will be re-designated and re-classified as Class B ordinary shares, giving owners room to share in future profits as opposed to cashing out at once.
Co-op Bank's decision to rename Jamii Bora Bank Kingdom Bank is not new, as the bank has referred to itself as the 'Kingdom Bank' since 2013, as evident in a June 2013 advert in the Standard Newspaper.
Co-op Bank's securities trading arm is also called Kingdom Securities, and the bank's Board of Directors declared in an August 2008 Declaration that Co-op Bank shall be the Kingdom Bank through which God will bless His people of Kenya.
Co-op Bank's Twitter handle, @Coopbankenya, also refers to the bank as the Kingdom Bank, as seen in a November 16, 2017 tweet.
