Kenyan based CBA buys the Jamii Bora Bank for 1.4 billion shillings (US$14m)

The Kenyan based Commercial Bank of Africa has decided to buy Jamii Bora Bank for 1.4 billion shillings (US$14m). The Jamii Bora Bank is a fast growing financial institution based in Kenya with a customer base of 360,000 clients and 17 branches. The bank was founded in 1999 and is fully licensed by the Central Bank of Kenya. The Commercial Bank of Africa is part of the Kenyatta family business empire which has diversified investments in several sectors in Kenya. The former CEO (Samuel Kimani) and the current CEO of Jamii Bora Bank will be bought out of their 17% stake with a payout of 238 million shillings (US$2.4m) which is currently held in Asterisk Holdings. Jamii Bora Bank had been raising capital to expand its SME exposure so the acquisition by the Commercial Bank of Africa will provide the required traction given the support capabilities from a larger player in the banking sector.

 

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