KCB Group has completed the acquisition of  a DRC-based Bank, Trust Merchant Bank SA (TMB), controlling an 85 per cent stake in the financial institution.

The acquisition is after the lender obtained the regulatory green light in Kenya, the Democratic Republic of Congo and the COMESA Competition Commission.

The acquisition will give KCB Group access to DRC’s largest banks with an asset base of Kes 209 billion and a strong offering in Retail, SME, Corporate and Digital banking channels.

KCB Group CEO Paul Russo said the transaction will positively contribute towards KCB’s increased scale of operations.

 This is by establishing its presence in new markets and providing income diversification from a geographical perspective.

Additionally, he said the transaction will enable KCB to accelerate its market presence in the DRC in the near term by leveraging on the lender’s 18-year operational history.

Vast branch network, valuable local customer relationships and deep knowledge of local business dynamics.

Further to the core banking business of TMB, the existence of an insurance subsidiary Afrissur SA will provide an opportunity for KCB to diversify its offerings in DRC’s insurance sector.

This Transaction will provide KCB with a strategic foundation to capitalize on cross-border trade from the Indian to the Atlantic Oceans.

“Combining our common legacies and our complementary footprints will strengthen our ability to serve our communities and regional customers and provide solutions that make a difference in people’s lives,” Russo said.

KCB Group will operate TMB with its current brand and enhance the current business operating model with the capabilities KCB has built over time in systems and processes.

This will build on the strengths of TMB and enable TMB to deliver significant incremental value by being part of KCB.