News Column

Fina Bank Rebrands Following Buyout By GT Bank

February 5, 2014

Richard Mungai

International banking group Guaranty Trust Bank plc yesterday made entry into the Kenyan market through the purchase of a 70 per cent stake in Fina Bank . The back currently has operations in most west African countries and the United Kingdom and trades on the Nigeria Stock Exchange , London Stock Exchange and Deutsche Borse . The chief executive, Segun Agbaje said the bank will use its local franchise, which has re-branded from Fina Bank to GT Bank East Africa, to invest in oil and gas sector in the country so as to topple the existing market dominance of six local banks. "We want to put GT Bank East Africa among the top 10 banks in five years, thus we will invest in various sectors like oil and gas because our balance sheet has capacity to pay," Agbaje said. The buyout of Fina Bank will see the bank founder Dhanu Chandaria and the rest of shareholders pocket over Sh8.6 billion with an option of buying a 30 per cent stake from GT Bank East Africa. Fina Bank executive director, Hanish Chandaria said local shareholders have the chance of shifting their shares to GT Bank in order to invest in the remaining stake that has been reserved for local investors, while the employees will benefit from key roles in the new brand. "The partnership with GT Bank doesn't affect the previous staffing perspective, but rather it will allow us to improve on service, technology, and capital," he said.

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Source: AllAfrica

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