I&M and Orient Bank signed the acquisition agreement last year. Credit: Scott Graham on Unsplash.

I&M Holdings, a banking group in Kenya, has acquired 90% share in Orient Bank for an undisclosed amount. I&M purchased the bank from 8 miles and Morka Holdings.

The acquisition agreement signed by I&M and Orient Bank in July 2020 was completed last month.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Central Bank of Kenya, Bank of Uganda, Capital Markets Authority of Kenya and the COMESA Competition Authority approved the transaction.

Part of I&M’s growth and expansion strategy in Eastern Africa, this move helps the group foray into Ugandan market. The strategy involves local and regional investment to serve all types of customers and promote trade flows in the region.

All I&M customers in Uganda will have access to its Corporate, Business, Personal Banking, and Treasury and Trade Finance solutions.

I&M group executive director Sarit Raja Shah said: “I&M Group aspires to be Eastern Africa’s leading financial partner for growth. The acquisition of OBL will place I&M Bank in an advantageous position to capitalise on the growth in the Eastern African economies and thereby ultimately increasing shareholder value.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Shah added that the deal will allow the group to extend its network to regional customers and improve profitably.

Orient Bank CEO Kumaran Pather noted: “The acquisition of OBL into I&M Holdings PLC will see the new entity rise to greater heights and allow us to broaden our market reach and penetration.”

With the transaction, I&M obtains net loan assets worth KES7.7bn ($70.8m) and deposits worth KES18.2bn ($167.39m) held by Orient. The bank also has a customer base of nearly 70,000, with 340 employees, 14 branches and 22 ATMs across Uganda.

I&M expects integration of Orient to yield significant business and operational synergies. Meanwhile, Orient customers will benefit from I&M’s range of financial solutions.

The group previously acquired all of the issued share capital in Giro Commercial Bank (GCBL).