Equity Group Holdings Plc has announced its proposed acquisition of 91.93 per cent of the issued share capital of Compagnie Générale De Banque (Cogebanque) PLC Ltd.
The purpose of the acquisition is to eventually merge the operations of Cogebanque with EGH’s existing banking subsidiary in Rwanda, Equity Bank Rwanda Plc.
“By acquiring Cogebanque, Equity Group will be able to expand its footprint and consolidate its position in Rwanda,” said James Mwangi, chief executive at Equity Group in a notice.
Equity Bank said it intends to extend an offer to the remaining shareholders to acquire all their shares in Cogebanque, aiming to become the holder of 100% of the issued shares.
The bank said that the binding term sheet has been signed with the Government of Rwanda, Rwanda Social Security Board, Sanlam Vie Plc, and Ms. Judith Mugirasoni, the sellers involved in the transaction.
Equity will pay RWF297,406 (Sh36, 485) per ordinary share for the 183,854 ordinary shares to be purchased according to the binding term sheet.
Equity also has operations in Uganda, Tanzania, the Democratic Republic of Congo and South Sudan.