I&M Holdings Limited Completes Acquisition of Giro Commercial Bank Limited

Press Release 

I&M Holdings Limited Completes Acquisition of Giro Commercial Bank Limited

Nairobi, Friday, 17th February 2017: I&M Holdings Ltd (IMHL) has announced the successful completion of merger of Giro Commercial Bank Limited (GCBL) into I&M Bank Limited (IMBL), which is IMHL’s banking flagship subsidiary. Following this, Giro Bank branches will henceforth be converted to I&M Bank branches and Giro Bank customers will become customers of I&M Bank.

The merger came to fruition upon receipt of necessary regulatory approvals from the Capital Markets Authority (CMA), Central Bank of Kenya, the Competition Authority of Kenya as well as IMHL shareholders. IMHL and GCBL entered into an agreement in 2015 to acquire all issued share capital in Giro Bank.

The move underscores the I&M Group’s expansion strategy, which seeks for opportunities to expand both locally and regionally by way of acquisitions.

For Giro Bank customers, this merger will provide additional advantage of accessing their bank accounts from 36 new I&M Bank branches located countrywide as well as through Alternate Channels like all Visa, Kenswitch and I&M Bank ATMs, Mobile Banking, Internet Banking and PesaLink. It will also enable them to enjoy the range of I&M Bank’s credit, debit and pre-paid Visa and MasterCard payment cards. Corporate customers of Giro Bank will be able to avail of I&M’s Cash Management Services, Trade Services as well as Corporate Internet Banking suite.

Speaking on the merger, I&M Bank’s Executive Director, Sarit S Raja Shah noted, “I&M Group’s strategy is to emerge as a one stop centre for all financial needs. Strategic acquisitions like what we have achieved with GCBL will place I&M Bank in a position to take advantage of growth in the industry ultimately increasing shareholder value.”

Through the merger, I&M Group has also acquired additional net advances of approximately KES 9.1 billion, and deposits of KES 12.6 billion besides other assets of approximately KES 6.7 billion. I&M Group has also acquired GCBL’s branch network which will supplement I&M Bank Limited’s existing network of 36 branches.

I&M Bank Limited will also benefit from the additional human resource capacity of GCBL’s employees which is expected to increase effectiveness and efficiency. Commenting on the development, Kihara Maina, CEO I&M Bank Limited noted, “I am proud to note that this merger will enhance I&M Bank’s efficiency and deliver significant additional value to our combined customers.”

“The merger will give us greater capacity to grow profitably while extending our larger network to our clients and customers. The transaction further demonstrates our continued leadership role in the industry.” he concluded.

I&M Holdings Ltd. has a regional banking presence through entities in Kenya, Rwanda, Mauritius and Tanzania. Listed on the NSE with a market capitalization of KES 32.86 billion, it is regulated by the Capital Markets Authority as well as by the Central Bank of Kenya as a non-operating holding company.


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