NIC Group and Commercial Bank of Africa have changed their name and brand, they will now be known as NCBA Group PLC and the Kenya operating bank will be known as NCBA Bank Kenya PLC.
The two financial institutions announced Friday that “The name is the coming together of NIC Group and Commercial Bank of Africa and is just the beginning of the fusion of the two banks,” Isaac Awuondo, Chairman designate of NCBA Bank Kenya said.
“Soon we shall be announcing the brand which is a reflection of both banks’ values, borrowing from the best of both and building new strengths to deliver better banking experience for our customers,” he added.
The merged outfit now forms Kenya’s 3rd largest bank, by assets of Ksh 415 billion shillings and 9% of all loans in Kenya. The combined bank will be among the largest financial institutions in the East African region with a total asset base in excess of Ksh 4444 billion and shareholders equity of Ksh 65 billion.
“All account holders, depositors, employees, creditors and other stakeholders of the existing institutions should deal with NCBA Bank Kenya PLC and NCBA Group PLC,” said the regulator on the merger that will become effective October 1, 2019.
CBK said the merger will strengthen both institutions leveraging on their combined market share of 9.9 percent and a customer base of over 40 million in four Easter African countries.
The institutions have said in October, they will finalise the harmonisation of the systems so that all their customers enjoy seamless services across our channels in Kenya.
“Our ambition is that by 1st November, all NCBA customers will experience the same service levels regardless of their previous relationship at NIC or CBA, ”John Gachora, NCBA Group Managing Director designate.
The next phase of the merger will be integrating their businesses in Tanzania, Uganda, and Rwanda, which is still subject to specific regulatory approvals from those countries.
The proposed merger was first announced by the respective Boards of NIC and CBA on 6th December 2018. In April 2019, shareholders of both banks approved the merger.