After receiving all the regulatory approvals, KCB Group Plc has completed the multi-billion dollar acquisition of Trust Merchant Bank SA (TMB).
The acquisition will give KCB Group access to DRC’s largest banks, with an asset base of KSh209 billion and a strong offering in retail, SME, corporate, and digital banking channels.
On August 2, 2022, KCB Group PLC announced that it had entered into a final agreement with shareholders of Trust Merchant Bank (TMB) to acquire an 85.0% stake in the Democratic Republic of Congo (DRC)-based lender, with an option to acquire the remaining stake after two years.
KCB Group CEO Paul Russo said the transaction will positively contribute to KCB’s increased scale of operations by establishing its presence in new markets and providing income diversification from a geographical perspective.
“The acquisition extends our reach by providing customers access to a larger banking network and an expanded array of services. Our shared banking philosophies will provide significant long-term value for our shareholders, employees, and customers,” said Mr. Russo.
KCB Group’s recent acquisitions
| Bank Acquired | Book Value at Acquisition (Kshs bn) | Transaction Stake | Transaction Value (Kshs bn) | P/Bv Multiple | Date |
| Trust Merchant Bank | 12.4 | 85.00% | 15.7 | 1.5x | Aug-22 |
| Banque Populaire du Rwanda | 5.3 | 100.00% | 5.6 | 1.1x | Aug-21 |
| National Bank of Kenya | 7 | 100.00% | 6.6 | 0.9x | Sep-19 |
| Imperial Bank | Unknown | Undisclosed | Undisclosed | N/A | Dec-18 |
KCB operates in Rwanda, Burundi, Tanzania, Uganda, and South Sudan.
