Spire Bank will be sold by the end of March. Mwalimu Sacco, which owns the bank, wants to sell the struggling lender to a local lender “who has shown interest.” Members of the Sacco will meet by then to review the performance of the bank.
It is said that Mwalimu Sacco, in an annual meeting in October decided to either sell the bank or liquidate it. Sources at the Sacco indicate that a local bank interested in buying Spire is already conducting “due diligence” before deciding whether to buy it.
Read More: The Ailing Spire Bank Has Been Sold
“The Sacco is currently engaging both regulators as well as potential entities to take over Spire Bank completely off Mwalimu National’s ownership,” John Ochieng Board Chairman said in a statement.
In December 2020, Mwalimu National Sacco acquired a 100 percent stake of the Spire Bank from tycoon Mr. Naushad Merali.
Spire Bank said at the time that the share sale by the tycoon to Mwalimu National Sacco gave it an opportunity to offload the shares to a strategic investor.
Spire has been surviving on deposits with customers always taking money away from it with the fear that it might collapse at any moment.
Read More: Equatorial Commercial Bank Rebrands to Spire Bank