Branch International Inc Tuesday formally acquired an 84.89 per cent stake in Kenya’s Century Microfinance Bank Limited paving the way to actualise its strategy towards being a Pan-African digital bank.
Branch International is the first mobile digital lender to acquire a majority stake in a banking institution.
Matt Flannery, the founder of Branch International said Tuesday during the formal signing ceremony for the acquisition of the Kenyan microfinance lender following regulatory approvals.
“With the recent acquisition, we will soon be making a landmark transition as the first digital lender to expand into the microfinance banking market, allowing for deposit-taking financial services and enhanced lending for individuals and SME clients,” said Flannery.
A celebratory moment following today’s signing ceremony which officially brings Branch Kenya & Century Microfinance Bank together. Leadership is excited to leverage respective strengths to provide world class financial services across Kenya. #forgingforwardtogether pic.twitter.com/fMSM9zwi0M
— Branch_mfb (@branch_mfb) March 1, 2022
Branch currently serves customers in Kenya, Tanzania, Nigeria, and India, with offices in Nairobi, Lagos, Bangalore, Mumbai, and Silicon Valley.
Rose Muturi, Branch East Africa Managing Director said the acquisition enables them to enter into a space where they can do more beyond digital lending and expand their physical footprint.
“We are very excited… Century Microfinance Bank being in a regulated market and charts way to offer new digital products to our over 2 million customers in Kenya.”
Florence Alice, the chief executive of Century Microfinance Bank Limited says the merger will make them “the bank of the future…with a bigger vision to connect to the rest of the world.”
According to Florence, the synergy came at the right moment in moving to the next level, especially within the digital space.
Branch disclosed that it has attracted global investors ranging from Andreessen Horowitz to visa and the World Bank Group’s IFC in its corporate mission to offer world-class financial services to the mobile generation.
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