The Central Bank of Kenya (CBK) has made an official announcement regarding the acquisition of a 20 percent shareholding in Credit Bank PLC (CBP) by Shorecap III, LP (Shorecap). This acquisition is set to take effect from June 15, 2023. The approval for this transaction was granted by CBK on April 24, 2023, under Section 13(4) of the Banking Act, and subsequently by the Cabinet Secretary for the National Treasury and Planning on April 28, 2023, in accordance with Section 9(1) of the Banking Act.
Credit Kenya Limited, received its license from CBK as a non-banking financial institution in 1986. In 1995, it transitioned into a fully-fledged commercial bank. With a presence across the country, CBP operates seventeen branches. The bank specializes in offering banking services tailored to the needs of small corporates and Micro, Small and Medium-sized Enterprises (MSMEs). As of March 31, 2023, CBP holds a market share of 0.5 percent, classifying it as a small bank.
Shorecap is a private equity fund registered under the laws of Mauritius, with Equator Capital Partners LLC serving as its fund managers. Shorecap operates as a Limited Partnership Agreement and its shares are owned by ShoreCap III GP Limited, African Development Bank Group, CDC Holdings Guernsey Limited, European Investment Bank, KfW Development Bank, and Oesterreichische Entwicklungsbank AG (OeEB).
An earlier version of this story indicated Sidian Bank instead of Credit Bank, we apologize and we have since made the correction.
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