This archive report was first published on 3 September 2019.
On September 3, 2019, the Central Bank of Kenya (CBK) gave its approval for the acquisition of 100 percent shareholding of National Bank of Kenya Limited (NBK) by KCB Group PLC (KCB Group).
The approval was granted in accordance with Section 13(1) (e) of the Banking Act, marking a significant milestone in the banking sector.
KCB Group is a Kenyan non-operating holding company with a presence in several countries, including Kenya, Uganda, Tanzania, Rwanda, Burundi, and South Sudan. It also has a representative office in Ethiopia.
The Group's subsidiaries include KCB Insurance Agency, KCB Capital, and KCB Foundation, which oversee the operations of KCB Bank Kenya Limited and other subsidiaries.
NBK, on the other hand, was incorporated in 1968 as a wholly-owned Government entity. Over time, the Government of Kenya has reduced its shareholding in the bank, which is listed at the Nairobi Stock Exchange.
The acquisition is expected to strengthen both institutions by leveraging their respective well-established domestic and regional corporate, public sector, and retail franchises.
