The lender is also expected to stage an extraordinary general meeting on September 21 to attain seeking to attain support for the move.
Through a notice to the shareholders on Tuesday, the bank stated that it had provided a shareholder’s circular providing details of the proposed transaction.
On August 2, KCB disclosed that it had reached a binding agreement to acquire a majority 85 percent stake in Trade Merchant Bank TMB.
A move by the bank is based on a transaction that is expected to see the lender pay cash consideration for the bank and is expected to close by the end of next month subject to both shareholder and regulatory approvals.
The sealing of this deal marks KCB’s entry into the DRC and is expected to firm up the bank’s regional presence.
KCB will become just the second Kenyan bank in the DRC market after Equity Group made an earlier move to embrace the market.
“This is part of our ongoing strategy to tap into opportunities for new growth while investing in and maximizing returns from the Group’s existing businesses. It gives us strong headroom to accelerate our growth ambitions to deliver better value for our shareholders and to bolster the push for deeper financial inclusion and social and economic transformation in Africa and beyond,” noted KCB Group Chairman Andrew Kairu said during the announcement of the binding acquisition agreement.
Through the deal, the acquisition will bring KCB’s asset base closer to its target of Ksh.1.5 trillion which would make the bank the largest in not just Kenya but also the Eastern Africa region.
The deal comes in the background of KCB’s acquisition of Rwanda’s Bank Populaire Du Rwanda (BPR) last year