15 June 2008

Tanzania: KCB is Now Listed At the Dar Bourse

Nairobi — Kenya Commercial Bank-Tanzania Ltd is now listed on the Dar es Salaam Stock Exchange.

This is part of the bank's five year growth strategy that will also see the KCB Group listing its shares on all three East African securities exchanges.

Chairman of KCB Group Peter Muthoka said the bank was in the process of seeking regulatory approval to list KCB shares across East African securities exchanges to make the bank's shares available to a wider market.

The group's outgoing chairperson, Susan Mudhune, said the move would help KCB Tanzania increase returns on shareholders' investment.

Ms Mudhune said KCB Tanzania had been enjoying increasing business opportunities over the past few years, which in turn had put pressure on the bank's capital ratios, hence the need for more capital.

In 2007, a total of $5 million was injected into KCB Tanzania to boost its capital base and capacity to meet the growing needs of the business.

The group requires an estimated $74.1 million in additional capital for its expansion into the East African region, which it plans to raise through a rights issue.

Mr Muthoka said the bank would also review its products and services in the light of changing customer needs while putting in place a mechanism to offer similar products across its entire network, subject to statutory provisions.

The bank is in the process of implementing a new state-of-the-art information technology system.

KCB Group is East Africa's largest locally-owned commercial bank, with a market capitalisation of approximately $1.03 billion.

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