Publications
Partners
Cape Town - Investment company Arise has acquired a 12% stake in Equity Group Holdings, the parent company of Equity Bank.
Arise, owned by three key shareholders, namely Norfund, FMO and Rabobank, is now the single largest shareholder in this listed company, which boasts operations in six East African nations. With a client base in excess of 11.7 million the group now claims to have the largest number of deposit customers in Africa.
According to Arise CEO Deepak Malik, this acquisition speaks directly to the core mandate of Arise, which is to invest in sustainable financial service providers (FSPs) in sub-Saharan Africa to boost economic growth and job creation.
“Arise aims to strengthen and develop effective, inclusive financial systems through collaborative long term partnerships with leading institutions such as the Equity Group”, said Malik.
“The financial services industry plays a crucial role in facilitating infrastructural and industrial development at national and regional levels. A broader, deeper financial sector facilitates the growth and prosperity of Africa’s businesses, from small-scale entrepreneurs to large corporations and promotes financial inclusion."
He regards the Equity Group as having an established track record, characterised by high growth and a solid financial performance.
Dr James Mwangi, group CEO and managing director Equity Group Holdings, said Equity’s vision is to champion the socio-economic prosperity of the people of Africa.
"We have endeavoured to achieve this by being an innovative and inclusive provider of financial solutions. We are excited by the expanded opportunities this development presents, to combine our market leading position with Arise, who brings along their substantial resources as well as expertise, which we believe will be invaluable in accelerating the growth of our business," said Mwangi.
"This transaction brings diversification to Equity’s capital base which is important for the group.”
SUBSCRIBE FOR FREE UPDATE: Get Fin24's top morning business news and opinions in your inbox.
Read Fin24's top stories trending on Twitter: Fin24’s top stories
