I&M acquires Giro Commercial Bank, takes over employee, client and creditor operations

I&M acquires Giro Commercial Bank, takes over employee, client and creditor operations
  • I&M  Bank  Ltd.  has acquired 100%  of  Giro Commercial  Bank Ltd (GCBL)
  • GCBL  has  ceased to  be a  lender licensed by  the Central Bank of Kenya (CBK)
  • All GCBL stakeholders, including depositors, employees,  and  creditors will continue their relationship  with I&M

Effective February 13, 2017, GCBL’s rights  and obligations have been taken up  by  I&M. The  acquisition  follows a CBK  approval  on October  27, 2016,  for  IMHL  to acquire 100%  shareholding of  GCBL  under  Section 13 (4)  of  the Banking Act,  and approval  by  the Cabinet Secretary  National  Treasury  on  January  27,  2017 under  Section 9 of  the Banking  Act.  

As of December 2013, Giro Commercial Bank’s total assets were valued at approximately US$157.7 million (Ksh13.6 billion), with shareholders’ equity of approximately US$24.2 million (Ksh2.1 billion). At the time, the bank held US$132.6 million (Ksh11.5 billion), in customer deposits. The bank was ranked number 29 out of 43 licensed banks in Kenya, then. In terms of market share, Giro Commercial Bank was ranked 27 out of 44 banks with a share of 0.49 per cent as at December 2014.

I&M  Bank  is  a wholly  owned banking  subsidiary  of  I&M  Holdings  Ltd. (IMHL) a non-operating holding company,  authorized by  CBK under  Section 13(4) of  the Banking Act.

The lender was licensed in 1996,  was ranked  9th  in terms  of  market share as at December 31, 2016,  with 35 branches.  GCBL  was licensed in 1992,  and  was ranked  26th  in terms  of  market share  as at December  31,  2016, with 7  branches. Taken together, they  had a  combined  market share of  about 5% as at December 31, 2016. IMHL has  a banking  presence in Kenya, Mauritius, Rwanda,  and  Tanzania, and is listed at the  Nairobi  Securities Exchange.

Previous Irked Paul Kobia now plotting to rally Meru Community out of Jubilee
Next Kenya Airways Marketing Director resigns one week after KLM boss stepped down from KQ Board

You might also like

Latest 0 Comments

Kenyans borrowed Sh2 trillion in 2015

Kenyans borrowed Sh2.17 trillion in 2015, as customer deposits increased to Sh 2.49 trillion, thereby safeguarding the stability of the country’s banking sector. The latest research from the Central Bank

Business 0 Comments

Accounting body calls for increased transparency to curb corporate malpractice

The Association of Chartered Certified Accountants (ACCA) has called for increased transparency within the business sector in a bid to curb corporate malpractice. A new report by the association has

Latest 0 Comments

Kenya to benefit from Sh363 million AfDB infrastructure master plan grant

Kenya is among the 8 nations that would benefit from Sh362.9 million infrastructure grant from AfDB The kitty would be used to develop regional infrastructure, create employment and spur economic

0 Comments

No Comments Yet!

You can be first to comment this post!

Leave a Reply