Genghis Capital, a stock brokerage associated to the troubled Chase Bank has been acquired by Pamoja Capital, a Nairobi-based independent corporate finance advisory advisory firm which has offices in Nairobi and Johannesburg.
The value of the acquisition is however not in public domain as Pamoja awaits full approval from the markets regulator, CMA. According to the Standard, the new management led by the new chief executive Geoffrey Gangla has taken over Genghis Capital’s operations.
“We would need clearance from the CMA before sharing any details of the transaction,” Mr Gangla told the Standard newspaper only confirming conclusion of the deal subject to the necessary regulatory approvals.
READ; Genghis Capital Hits A Giant Bump, seeks strategic investor
The brokerage firm was handling billions of investors money from asset managers, trustees, agents, local/foreign investors and even other banks. When its principal banker, Chase Bank was placed under receivership, Genghis faced liquidity challenges but later assured investors that it would take steps to ensure the exposure to Chase Bank was managed in the best possible way.
In May this year, the stockbroker said it was on the look out for a strategic investor to inject new capital due to liquidity challenges as it had held most of its cash with Chase. Its estimated that the investment bank had put as much as 80 per cent of its deposits in Chase Bank.
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