Jamii Bora Bank Gets A Boost of 600 Million From Equator Capital Partners

Jamii Bora Bank Limited, has received a 600 million shillings’ equity investment from Chicago based private equity fund Equator Capital Partners LLC, under its ShoreCap II fund.

The investment will see ShoreCap II become significant shareholders of the bank with a shareholding of over 15 percent in Jamii Bora Bank, an SME focused institution.  

Acknowledging the equity investment by ShoreCap II, Jamii Bora Chief Executive Officer Sam Kimani said that the new investment is a clear testament to Jamii Bora’s sound strategy, stable financial position as well as commitment to creating tangible impact in its services.

“We are excited to have Equator Capital Partners as a strategic partner and significant shareholder of the bank. Their investment in JBBL is a testament to our sound strategy, stable financial position and commitment to creating tangible impact and enhancing banking value offered to SMEs across Kenya,” he said. “We believe their international background and exposure will be of benefit to JBBL in reinforcing its corporate governance structures while diversifying the shareholders’ mix”, he added.

Equator Capital Partners is a private equity fund management which invests in inclusive financial services entities in developing and transitional economies, with the intent of adding development impact for the funds it manages.

ShoreCap II is Equator Capital Partner’s 80 million US Dollars or an equivalent of 8 billion shillings international fund incorporated in Mauritius in 2009, focused on investments in small and medium sized financial institutions in Asia and Africa.

“It is a transitional period for the Kenyan banking industry. We believe Jamii Bora Bank’s strategic focus as an SME lender strongly resonates with our investment approach to deliver inclusive financial services that promote sustainable economic, social and environmental development through private sector investments,” said Nathalie Gabala, Director of Africa Investments.

“The bank is also managed by dedicated executives backed by a competent team and we look forward to collaborating with them to enrich their value to society and grow the Bank to a reputable high impact institution.” Added Gabala.

Jamii Bora Bank has grown its total capital consistently over the last five years. Following the equity investment by ShoreCap II total capital grew to 3.7 billion shillings, placing the Bank among top 20 highly capitalized Banks in the country out of a total 43 banks in the Country.

Related: Jamii Bora Solidifies its Working Capital