Corporate

Sidian Bank puts on sale former head offices to free cash

Mr Titus Karanja, Sidian’s chief executive. PHOTO | FILE
Mr Titus Karanja, Sidian’s chief executive. PHOTO | FILE 

Sidian Bank has put on the market its former Headquarters offices in a move intended to make it a property-light lender.

The bank intends to sell and lease back the building.

“We want to unlock the capital and deploy it in more efficient use in our lending business. It is about better deployment of capital’” said the Sidian Bank CEO Titus Karanja in an interview.

The commercial property along Naivasha Road, Kawangware Shopping Centre sits on approximately 19,388 square feet on 0.274 acres.

The Bank has its new headquarters along Wood Avenue in Kilimani.

Its rebrand to Sidian was to mark a shift in business from being a microfinance to a fully-fledged bank.

Banks have been opting for an asset-light model to improve their capital base.

National Bank two years ago sold buildings housing 12 of its branches except for its headquarters on Harambee Avenue.

The sale of the assets was intended to shore up its capital base with Sh1.2 billion proceeds expected from the buildings.