The Central Bank of Kenya (CBK) has approved the acquisition of National Bank of Kenya (NBK) by Access Bank Kenya.
The deal was approved by CBK on April 4, and subsequently by the National Treasury Cabinet Secretary on April 10.
“The CBK welcomes this transaction as it will ensure continued stability and enhance the resilience of the Kenyan banking sector,” the banking regulator said in a statement on Monday.
KCB Group acquired 100 per cent stake in NBK in September 2019.
As part of the transaction, CBK said it approved the transfer of certain assets and liabilities of NBK to KCB Bank Kenya Ltd.
“The acquisition and transfer shall take effect upon completion of the transaction in accordance with the terms of the agreement between the parties,” it noted.
KCB Group said the sale of NBK marks a positive step towards the completion of the transaction that began in March 2024.
“The acquisition and transfer shall take effect upon completion of the transaction in accordance with the terms of the agreement between the parties,” the bank said in a statement.
It, however, noted that there is a pending approval by the Central Bank of Nigeria, for the transaction to be considered complete.
KCB Group chief executive Paul Russo said both Access Bank and KCB Group continue to engage to ensure a successful completion.
“In the meantime, NBK remains a subsidiary of KCB Group, and there are no changes to our current structures or day-to-day operations,” he said.
NBK was incorporated in 1968 as a wholly owned government entity to assist Kenyans to access credit and control the economy after independence. As a subsidiary of the KCB Group, NBK also has a subsidiary, namely NBK Bancassurance Intermediary Ltd.
KCB Bank is a wholly owned subsidiary of KCB Group, a holding company that owns banking subsidiaries in the East African region – Uganda, Rwanda, Tanzania, Burundi, Ethiopia (representative office), South Sudan and Democratic Republic of Congo (DRC).
