A consortium of investors led by the regional corporate advisory firm Pamoja Capital Ltd has received regulatory approval to take over investment bank Genghis Capital Ltd at an undisclosed price.
The shares will be sold by Zafrullah Khan, the former chairman of the troubled lender Chase Bank, and his co-owners.
The new investors will acquire the entire issued share capital of Genghis through a special purpose vehicle called Goodison Two Seven Three Ltd.
In a statement on Wednesday, Genghis said Goodison Two Seven Three would provide its expertise in management, corporate finance and transaction advisory, drawn from its extensive experience in the Eastern and Southern African markets.
On the other hand Genghis Capital would continue offering its clients stockbroking, corporate finance advisory and asset management services.
“The focus going forward will be to provide both our existing and potential clients with a best in class platform through which they can access investment opportunities in East Africa and beyond,” said Geoffrey Gangla, firm’s new chief executive.
“The investment in Genghis Capital underscores our belief in the long-term potential of the firm.”
A new board of directors has been appointed to oversee operations at Genghis Capital.
Mr Gangla is a co-founder and the immediate former managing director of the Pamoja Capital Group of Companies.
Pamoja Capital Ltd is an independent corporate finance advisory firm with offices in Johannesburg and Nairobi. The firm offers financial and transaction advisory services to private and public sector institutions operating in Africa.
Since its inception in 2006, it has worked on both public and private sector deals across various industries such as oil and gas, telecommunications, financial services and infrastructure and executed transactions worth $15 billion with over $1 billion worth of deals still in the pipeline.
Genghis is an investment bank licensed by Capital Markets Authority and a trading participant at the Nairobi Securities Exchange Limited.
The firm shared directorship with Chase Bank which had been closed by Central Bank in April following a run on deposits after it emerged that the management had under-reported insider loans by Sh8.1 billion.