Nigerian-based bank, Guaranty Trust Bank (GT Trust), has acquired a 70 per cent stake in Fina Bank. Balivada Rao, the managing director of Fina Bank Rwanda, a subsidiary of the Kenyan-based lender, confirmed the buy-out over the week.
Rao said the deal will benefit clients and the bank in terms of products innovation and service delivery. The takeover deal is worth about $100m (Rwf67.5b).
Earlier in July, GT Bank and the shareholders of Fina Bank entered into a share sale and purchase agreement for the acquisition of the stake. The agreement was, however, subject to customary regulatory approvals from the central bank. The development means that all Fina Bank branches across the region; in Kenya, Uganda and Rwanda will now be renamed and rebranded as subsidiaries of GT Bank, Rao said.
GT Bank joins a list of other West African banks, including Ecobank and Access Bank, which have ventured into the East African region to tap into its fast-growing economies and opportunities..