Equatorial Commercial Bank branch in Nairobi. Mwalimu sacco intends to sell 40 per cent of Mwalimu National Holdings, the vehicle used to invest in ECB, to members. PHOTO | FILE
By GEORGE NGIGI
Mwalimu Sacco gets green light to buy Merali bank
- Naushad Merali set to make Sh2 billion windfall from the sale of the 32-year-old Equatorial Commercial Bank.
- This makes Mwalimu the first sacco to buy a commercial bank and sets a precedent for other saccos that had been toying with the idea of converting into banks.
The purchase of billionaire Naushad Merali’s Equatorial Commercial Bank by Mwalimu Sacco has finally been given the go-ahead, giving the businessman an opportunity to make Sh2 billion windfall from the sale of the 32-year-old bank.
Mwalimu is the largest sacco in the country with a membership of 60,961 and savings of Sh18.3 billion. It intends to sell 40 per cent of Mwalimu National Holdings, the vehicle used to invest in ECB, to members.
A commission set up to investigate the controversial deal gave a nod to the transaction and turned the tables on the complainant, the Co-operative Alliance of Kenya (CAK), by calling for a competitive recruitment of its chief executive.READ MORE
SOURCE : BUSINESS DAILY
