- KCB Group has inked an agreement for a controlling stake in an IT firm associated with former Football Kenya Federation (FKF) President Nick Mwendwa
- The deal which is subject to regulatory approvals will see the bank acquire a 75% stake in Riverbank Solutions Limited
- The transaction between the financial services technology firm specialising in payment solutions including mobile banking and KCB Group is valued at KSh 2 billion
Bonface Kanyamwaya, a journalist at .co.ke, has more than 10 years of financial, economy, business, markets and aviation expertise, providing insights into Kenya and global trends.
KCB Group has signed a deal to acquire a majority stake in an IT company associated with ex-Football Kenya Federation (FKF) President Nick Mwendawa.
As part of the agreement, KCB Group will list on the Nairobi Securities Exchange and obtain a 75% shareholding in the digital payments company.
Upon completion of the transaction, Riverbank Solutions will turn into KCB's 13th affiliate, with insiders suggesting the deal might be valued at around KSh 2 billion.
Riverbank Solutions Limited, established by Mwendwa, is a fintech company focused on payment solutions, with expertise particularly in mobile banking technologies.
"We are pleased to announce to our stakeholders and the investing community that on March 24, 2025, we signed an agreement to purchase 75% of the outstanding shares of Riverbank Solutions Limited," stated Company Secretary Bonnie Okumu in a public announcement yesterday.
KCB stated that this transaction aligns with their strategy to improve payment solutions for the betterment of their clients.
The bank reported that its post-tax profits for the entire year 2024 surged by 64.9%, reaching KSh 61.8 billion due to substantial growth in revenues. The company expressed confidence that it will be a perfect match for their strategic objectives.
This is due to their collaboration over the past decade.
The agreement is contingent upon receiving regulatory clearances from the Central Bank of Kenya and the Competition Authority of Kenya, according to the bank.
To address the legal financial hurdles in the deal, KCB has brought aboard IKM Advocates and KCB Investment Bank Limited as transaction advisors.
Initially, it wasn’t evident if Mwendwa, holding a 25% share in Riverbank, would keep his role as CEO of the new KCB subsidiary, provided the transaction comes to fruition.
About Riverbank Solutions
Riverbank Solutions is acknowledged for its advanced payment technologies, driving banking transactions throughout Kenya.
It is a prominent payments tech firm propelling financial innovation throughout Africa.
Riverbank Solutions specializes in providing advanced software solutions and digital payment systems, enabling enterprises across various sectors such as banking, microfinance, manufacturing, retail, and defense to enhance their operations.
Furthermore, certain solutions encompass user-friendly and secure payment methods, focusing particularly on advancements in mobile payments, transfer services, and point-of-sale terminal software.
Further purchases by KCB Group
The financial institution is negotiating with M Wend wa to obtain a 75% share of Riverbank at this juncture. .co.ke It was reported that in 2022, they obtained an 85% shareholding in Trust Merchant Bank located in the Democratic Republic of Congo.
It additionally obtained the banking activities of Atlas Mara Limited in Rwanda and Tanzania.
Last year, KCB Group entered into an agreement to sell National Bank to Nigeria's Access Bank.
