Kingdom Bank: There is a unique artistic image of a lion on a hill overlooking the land below – with a ‘This is Kingdom Business’ proclamation at the main reception of Co-operative Bank Group head office in Nairobi.
In the main boardroom, there is a prominent scroll on the wall that displays an August 2008 Declaration by the bank’s Board of Directors; “Co-operative Bank shall be the Kingdom Bank through which God will bless His people of Kenya.”
Co-op Bank Group MD Gideon Muriuki, in an advertorial placed in a local daily in 2003 said those pieces of art reflect the ‘faith-based’ foundation of Co-op Bank in the marketplace.
It is on this basis that Co-operative Bank has re-branded the newly acquired Jamii Bora Bank to Kingdom Bank after acquiring 224,153,541 new ordinary shares or 90 percent stake in the third tier lender that was on the downfall.
The re-branded third-tier bank’s existing issued 24.9 million ordinary shares of Sh66 each will now be re-designated and re-classified as Class B ordinary shares, giving owners room to share in future profits as opposed to cashing out at once
He added that Kingdom Bank’s customers would find Co-op Bank a natural – and a better – home for their kind of banking needs as it serves related market segments including SMEs and groups.
”With over 440,000 customers and 17 branches, the bank is a value-add to Co-op Bank, with minimal overlaps and large upside potential for exploration of deeper banking relationships,’’ Muriuki said.
He added that Jami Bora’s takeover is consistent with the Co-op Bank growth strategy that seeks to build dominance in the bank’s ‘domain market’ – Kenya – as opposed to expansion outside Kenya’s borders.
Co-op Bank Group is among the top four lenders in the region with an asset base of over Sh513 billion, predominantly owned by the over 15 million member Kenya Co-operative movement.
The group has since named Antony Mburu as the new chief executive of Kingdom Bank, replacing Timothy Mwaniki Kabiru who has been serving in the acting capacity after Samuel exited early last year.
He joins from Co-op Bank Group where he was the director – Credit Management. He is a career banker over 25 years’ experience in the region notably in risk and credit management.
The lender has also appointed the board to be chaired by Margaret Karangatha after getting a nod from regulators.
Others in the board include: Macloud Malonza, Julius Sitienei and Group MD Gideon Muriuki.
The acquisition now brings the number of Co-op Bank Group’s subsidiaries to six. Others are Co-operative Bank of Kenya, Co-Trust Investment Services Limited, Co-op Consultancy & Insurance Agency Limited, Kingdom Securities Limited 60 percent, and Co-operative Bank of South Sudan Limited 51 percent.