Credit institution, Top Finance Bank Uganda has been acquired by Salaam African Bank (SAB), a financial firm based in Djibouti.
The development was confirmed by the Bank of Uganda (BoU) in a communication issued on Monday.
"This is to inform the general public that M/s Salaam African Bank (hereafter SAB) with its headquarters in Djibouti has acquired Top Finance Bank Limited (hereafter TFB)," BoU said in a statement.
Accordingly, the acquisition was concluded following BoU approval 'in accordance with provisions of the Financial Institutions Act (FIA), 2004 (as amended) and its implementing Regulations.
"Bank Of Uganda welcomes the transaction." BoU stated.
Established in 2007, SAB is licensed and regulated by the Central Bank of Djibouti.
SAB has a presence in Ethiopia, through a representative office.
It is also in Kenya through Salaam Microfinance Bank Limited and Salaam Investment Bank Limited which are licensed by the Central Bank of Kenya and the Markets Authority of Kenya, respectively.
TFB was registered in Uganda as a company on the June 14, 2012 and was granted a Credit Institution License (Class 5) on the September 08, 2014.