Africa-Press – Tanzania. ARISE has officially acquired 34.9-per cent shareholding previously owned by Rabobank in NMB Bank. NMB Bank, one of the largest banks in the country, is listed on Dar es salaam Stock Exchange (DSE).
Late last December, the Capital Market and Securities Authority (CMSA) approved the transfer of 174,500,000 the lender’s shares owned by Rabobank to Arise, an investment arm.
Arise Chief Executive Officer Deepak Malik said the conclusion of share transfer was a milestone for Arise.
“The organisation’s core mandate is to partner with locally-owned sustainable financial institutions to strengthen and develop effective, inclusive financial systems in Africa to contribute to economic growth and poverty reduction.”
“Tanzania is a key investment destination in sub-Saharan Africa for Arise and we are excited about the collaborative partnership with NMB, which is set to further advance financial inclusion in Africa,” said Mr Malik.
Speaking on share transfer, NMB Bank Chief Executive Officer Ruth Zaipuna said the successful completion of the share transfer was a testament of investors’ confidence in the institution and the country at large.
“The collaborative partnership between Arise and NMB is envisaged to deliver substantial operational, commercial, organisational and financial benefits with long-term market returns that go beyond stakeholders’ expectations,’’ she added.
NMB Bank is Tanzania’s largest bank by assets, according to last year’s third quarter financial results.
Its total assets increased to a record of 7.0tri/- in the third quarter last year up from 6.1tri/- from the third quarter in 2019.
NMB Bank is also the most profitable bank in Tanzania, having recorded an impressive 145bn/- net profit in the quarter ended September last year up from 82bn/- registered in 2019.
Undoubtedly this long-term investment by Arise will support NMB Bank’s future growth aspirations and spur economic growth and the prosperity of Tanzanians, through increased financial inclusion and the growth of retail, small medium enterprises (SMEs) and agriculture sectors.
Arise will support the growth and development of NMB Bank through providing access to international standards of best practices and expertise across an array of business areas.
“We are confident that this partnership will yield positive benefits for both NMB Bank and Arise in the future,” concluded Mr Malik.
