|GTBank Purchases Stake of Fina Bank|
Guaranty Trust Bank (GTBank) has inked an agreement to buy nearly 70% shareholding in Kenya-based Fina Bank for approximately $100m, in a bid to bolster its global footprint across Sub-Saharan Africa. Pending receipt of various regulatory approvals in Kenya, Nigeria, Rwanda and Uganda, the transaction will be completed through a mixture of capital infusion in Fina Bank, and an acquisition of shares from the current shareholders.
Following completion of the transactions, the acquirer's global presence will increase from existing seven to ten countries, as Fina Bank owns 92% stake in Fina Bank Rwanda and in Uganda through its fully owned Ugandan subsidiary.
GTBank and the remaining shareholders of Fina Bank will also sign a shareholders' agreement for hassle free transition of the governance and operations of the bank. It is also expected that GTBank may acquire further shares in due course.
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Published on our website on July 23, 2013