@VVS, I&M staff costs and other operating expenses are soaring faster than incomes. SIB suspected that the Rwandan operation that were acquired in 1H12 is where exceptional business integration costs were incurred. Will be watching how this turns out in 1H13. On the bright side, I&M still boasts of the lowest CTI (Cost To Income) ratio across our universe of 11 listed banks.

Gulf Bank pegs listing plan on IFC exit

Gulf African Bank has tied its public listing plans to the exit of International Finance Corporation (IFC) from its shareholders’ roll.

The lender is 15 per cent owned by IFC, the World Bank’s private sector lending arm.

IFC bought a 15 per cent stake in the bank for $5 million (Sh430 million) last year, which valued it at about $33.33 million (Sh2.86 billion) at the time.

Chief executive of Gulf Bank Abdalla Abdulkhalik said IFC plans to exit through a public share sale.

“What they are looking at is that this (Gulf African Bank) will go into an initial public offering (IPO) and become a public company and therefore they (IFC) will be bought out by the normal mwananchi,” said Mr Abdulkhalik at the Islamic Finance Conference held in Mombasa last week without however giving time lines.The IPO, which could be a first for a Shariah-compliant bank, is also expected to raise additional capital for the lender. “We have not set a timeframe yet but at some point Gulf African Bank would like to go public,” said Mr Abdulkhalik.

IFC’s policy is to invest in firms for between five and seven years .Before IFC’s equity investment, Gulf Bank was owned by Istithmar World which had a 32 per cent stake, Government of Dubai sovereign fund and alternative investment BMI Bank BSC with a 21.3 per cent stake, Saudi Arabia-based investor Abdullah Mohammed Al Romaizan (21.3 per cent), Gulf Cap Group, a Dubai-based firm (10.3 per cent) and PTA Bank (5.3 per cent).

Going by the IFC’s investment horizon the public could get a chance to buy into the lender by 2017.

Looks like a bull in the offing

@ Mwekezaji it has come to be

CCTV Africa ‏@cctvnewsafrica 30m
#Nigeria's Guaranty Trust Bank has reached an agreement to acquire a 70 percent stake in #Kenya's Fina Bank Limited for 100 million dollars.
Retweeted by coldtusker
Expand

@ Mwekezaji it has come to be

CCTV Africa ‏@cctvnewsafrica 30m
#Nigeria's Guaranty Trust Bank has reached an agreement to acquire a 70 percent stake in #Kenya's Fina Bank Limited for 100 million dollars.
Retweeted by coldtusker

Consider it done

Guaranty Trust to Buy 70% of Kenya’s Fina Bank for $100 Million

http://www.bloomberg.com/news/2...ank-for-100-million.html

@mwekezaji ... I think there come a time when I&M Holdings shall find a suitor! Hopefully at a much higher price. I expect 2Q to be much better than 1Q.

... Fina is being sold at a trailing P/E of 32X .... Hail Chandaria know biz!!! ... Suitor is welcomed to I&M ... We also know biz!!!

This will be another Ecobank Kenya;the company may begin to slide in the loss making territory.
there must be something the Chandaria knew which is why they have sold majority of their stake.