KCB Group has acquired a 75% stake in fintech firm Riverbank Solutions Limited, aiming to strengthen its regional distribution network.
The transaction’s completion is contingent upon customary conditions, including regulatory approvals from the Central Bank of Kenya.
This acquisition will enhance KCB’s digital capabilities by integrating Riverbank’s established presence in banking agency, social payments, and business solutions across Kenya, Uganda, and Rwanda. KCB will leverage Riverbank’s expertise in payment ecosystems and non-banking services, encompassing capability building, network expansion, and marketplace solutions.
Riverbank’s technology platform, “Zed 360,” will enable KCB to provide SME and MSME customers with essential business management tools, such as inventory management, financial reporting, and payroll management. This will streamline financial operations, improve transparency, and facilitate informed decision-making for both customers and the bank.
Riverbank also offers “Swipe” for agency banking, “Zizi” for revenue collection, and “CheckSmart” for social payments. Upon completion, Riverbank will operate as a subsidiary of KCB Group Plc.
“We are accelerating our digital transformation to deliver customer-centric solutions through technology, ensuring seamless, reliable, secure, and innovative services,” stated KCB Group CEO Paul Russo. “The payments sector’s rapid growth presents a significant opportunity for innovation, driving this strategic acquisition. This will maximize long-term shareholder value and enhance our competitive position.”
Russo added, “Our longstanding partnership with Riverbank, dating back to 2013 for Agency Banking Solutions, highlights their value. The Zed 360 platform will significantly enhance our MSME offerings and ecosystem banking capabilities.”
This acquisition aligns with KCB’s strategy to expand digital MSME solutions, focusing on streamlined transaction and payment services, instant digital lending, business management tools, and non-banking services such as business training and marketplace integration. It will also allow KCB to consolidate its agent banking channels into a unified platform.