Equity Bank to expand to ten African countries

Apr 10, 2015

Ethiopia, DRC and Burundi will be targeted first.

Kenyan banking group Equity Bank has announced plans to expand to ten new countries in Africa.

It said it wants to expand first in Ethiopia, DRC and Burundi, followed by Mozambique, Malawi, Zambia and Zimbabwe, as well as West and Central Africa (Nigeria, Cameroon, Ghana), Jeune Afrique reports.

"In some countries, it is difficult to start from scratch because they are too big, so we will enter the market by acquiring a medium-sized bank that we will develop," said James Mwangi, CEO of the group, quoted by Business Daily. For these acquisitions, Equity Bank will therefore pay in shares rather than cash, he added.

Equity Bank has announced it will issue 400 million new shares, worth about 20 billion Kenyan shillings (€200 million).

The group
was founded in October 1984 and currently has more than eight million customers, making it one of the largest banks in Africa in terms of customers.ADNFCR-2976-ID-801783056-ADNFCR