Kenyan-based DTB Group has acquired an additional 16.34 percent stake in its Burundian subsidiary after buying out International Finance Corporation (IFC) for Sh152.2 million, Business Daily Africa has reported.
The transaction, which was completed in the year ended December, raised the Nairobi Securities Exchange-listed firm’s equity in Diamond Trust Bank Burundi to 83.67 percent from the previous 67.33 percent.
It marks the latest investment in regional subsidiaries in which the Kenyan banking multinational has been raising its stake by participating in rights issues and buying out minority shareholders.
DTB is among a group of local banks that are expanding their regional footprint in a bid to capture new growth and reduce reliance on the Kenyan market.
“On June 22 2018, Diamond Trust Bank Kenya Limited acquired an additional 16.34 percent stake in Diamond Trust Bank Burundi Limited by purchasing International Finance Corporation’s shareholding in the entity at a consideration of Sh152.2 million,” the Bank said in its annual report.