Commercial Bank of Africa (CBA), the financial institution controlled by President Uhuru Kenyatta’s family, has agreed to acquire the Rwandan subsidiary of Crane Bank, owned by Ugandan tycoon and former billionaire Sudhir Ruparelia.
According to a report by Business Daily, the deal will be concluded in September pending approval from regulatory authorities. Terms of the deal were not disclosed.
In October last year, Uganda’s central bank announced that it had taken over management of Crane Bank, saying it lacked capital hence posed a systemic risk to the country’s financial system.
It subsequently sold it to Uganda’s second largest bank DFCU
CBA is pursuing its expansion plans across the East African region. Outside Kenya, it already has branches in Tanzania and Uganda.
The Commercial Bank of Africa is part of the Kenyatta Family conglomerate which include dairy company, Brookside, hotel chain Heritage East Africa and extensive land holdings across Kenya.