KCB Group Plc to Acquire DRC-Based Lender Trust Merchant Bank (TMB)
Africa Opportunities

KCB Group Plc to Acquire DRC-Based Lender Trust Merchant Bank (TMB)

The transaction will see KCB acquire 85% of the DRC-based lender. KCB Group Plc has entered into a definitive agreement with shareholders of TMB to acquire a majority stake in the Democratic Republic of Congo (DRC)-based lender.

The transaction is expected to close by the end of the third quarter of 2022, subject to regulatory, shareholders and other approvals.

This will see KCB acquire 85% of the shares in TMB while the existing shareholders will continue to hold the balance for a period of not less than 2 years after which, KCB will acquire their shares.

KCB will pay a cash consideration for the shares determined based on the net asset value of TMB
at completion of the proposed transaction, and using a price to book multiple of 1.49.

TMB, a public company limited by shares, is one of DRC’s largest banks with US$1.5 billion in total
assets. TMB has a strong offering in Retail, SME, Corporate and Digital banking channels. It has
over 110 branches and numerous agency banking outlets spread across DRC.

This acquisition is aligned with the Group’s strategic focus of scaling its regional presence. Once
completed, this acquisition will complement KCB Group’s regional footprint with an asset base of
KShs. 1.5 Trillion (USD 12.6 billion) and is expected to strengthen the Group’s Retail and Corporate
banking franchises.

“This is part of our ongoing strategy to tap into opportunities for new growth while investing in and
maximizing returns from the Group’s existing businesses.

It gives us strong headroom to accelerate our growth ambitions to deliver better value for our shareholders and to bolster the push for deeper financial inclusion and social and economic transformation in Africa and beyond.

We are excited that we can now play a role in catalyzing DRC’s and indeed East Africa’s economic expansion agenda,” said Andrew Wambari Kairu, KCB Group Chairman.

“We are very excited about the opportunities KCB offers in this transaction and we are proud to bring
our unique DRC insights and experience to the KCB Group.

We believe that by combining our local knowledge and standing with the size and expertise of KCB Group, we should be able to increase market share and shareholder value through unlocking our synergies and business opportunities,” said Robert Levy, TMB Chairman.