The Competition Authority of Kenya (CAK) has approved KCB Group’s acquisition of a 75 percent stake in an IT firm associated with former Football Kenya Federation president Nick Mwendwa.
KCB signed an agreement to acquire the stake in Riverbank Solutions, the financial technology firm founded by Mr Mwendwa 16 years ago and was awaiting clearance from the regulator.
The company provides payment solutions to clients in areas such as banking and microfinance.
Riverbank’s offerings include mobile payment platforms, card services and point-of-sale (POS) systems.
Its POS applications run on devices such as smartphones and tablets and allow businesses to process payments, manage transactions and track inventory, reducing reliance on cash and manual record-keeping.
“The proposed acquisition of control of Riverbank solutions Limited by KCB Group PLC: pursuant to the provisions of section 46 (6) of the Competition Act, (Cap. 504) of the laws of Kenya, it is notified for general information, that in exercise of the powers conferred upon the Competition Authority of Kenya by section 46 (6) (a) (ii) of the Competition Act, the CAK has authorized the proposed transaction as set out herein,” reads the gazette notice.
KCB had earlier said that Riverbank was not new to them and the company had been providing the lender with agency banking solutions since 2013.
The acquisition is set to help KCB strengthen its non-interest income and tighten its grip on the payments value chain at a time when lending margins are under pressure and competition from fintech firms is intensifying.
By bringing the payments business in-house, the bank would gain greater control over transaction flows, fee-based revenues and customer data across both public-sector and corporate clients. The deal also aligns with KCB’s broader push to deepen its digital and regional footprint.
Riverbank has a footprint in banking agencies, social payments, and business solutions in Kenya, Uganda, and Rwanda.
The acquisition will allow the bank to scale merchant payments, cross-sell financial products and reinforce relationships in the region, while reducing reliance on third-party providers.
"Across the region, payments are expected to have the fastest growth, suggesting an opportunity to innovate. That's why we have made this strategic acquisition to enable us to offer a full stack of solutions," said KCB Group CEO Paul Russo last year.
