Diamond Trust Bank Kenya (DTB) has completed the acquisition of a 100% stake in Habib Bank Limited Kenya (HBLK) following approval of the Central Bank of Kenya (CBK).

HBLK is a subsidiary of Pakistan’s Habib Bank, an existing DTB shareholder. Habib Bank will take a further 4.18% stake in DTB as consideration for the deal.

“HBLK will cease to be a bank licensed by CBK, and its rights and obligations will be taken up by DTB. All HBLK stakeholders including depositors, borrowers, employees, and creditors will therefore continue their relationships with DTB,” the central Bank said in a statement.

DTB, ranked sixth in terms of market share, comprises 63 branches. HBLK, ranked 33rd in market share, has five branches.

The central bank said that the merged entity will have a combined market share of around 6%.