National Bank has informed all of its shareholders that they have until the end of July 2019 to submit their offer acceptance forms for the proposed takeover by KCB bank.
The takeover deal will only be considered successful after the National Bank Of Kenya’s shareholders with a 75 percent stake in the bank, accept the offer.
KCB Group intends to acquire 1,473,781,200 ordinary shares of NBK in exchange for 147,378,120 KCB shares.
Once the acquisition is completed, investors at National Bank, will hold a 4.59 per cent stake in KCB Group.
Oraro & Company Advocates and Miller & Company Advocates are the legal advisors for the merger, while Standard Investment Bank and Pacifis Advisory Limited, are the transaction advisors for the merger.
According to Standard Investment Bank (SIB), National Bank’s fair value price is 6.10 per share Kenyan Shillings.
This puts KCB Group’s offer of about 3.80 Kenyan Shillings per share, substantially below the stock’s fair value.
National Bank expects the purchase deal to be completed by 25th August if all goes per the plan.
The transaction will however need approval from the Capital Markets Authority, Nairobi Securities Exchange, Central Bank of Kenya, the Competition Authority and shareholders before it is finalized.
