Kenya’s Competition Authority approves $15m KCB takeover of Riverbank

KCB Group, Kenya’s largest lender by assets, has received approval from the Competition Authority of Kenya (CAK) to acquire a 75% stake in Riverbank Solutions, a local payments solutions provider, in a deal valued at about KES 2 billion ($15 million). The deal now awaits the Central Bank of Kenya’s (CBK) approval.

In a notice in the Kenya Gazette, the Competition Authority said it had cleared the deal, subject to KCB Group protecting Riverbank’s customer data and maintaining the company’s existing contractual obligations.

“The acquirer shall ensure that all third-party transactional, customer, or merchant data collected or processed through the target’s infrastructure, networks, or platforms remain ring-fenced and are not shared, accessed, or utilised by the Acquirer for purposes other than those strictly necessary for the operation of the target undertaking,” CAK said in a notice seen by TechCabal.

“The merging parties shall ensure that the Target undertaking honours its current contracts with its customers as per the agreed contractual terms.”

The acquisition is part of KCB’s shift from a traditional lender to a platform-based financial services provider, signalling a trend where big banks are investing in payments, data, and embedded finance as future growth engines. The deal, first announced in March 2025, was later followed by a separate proposal to acquire Pesapal, another Kenyan payment group, which is awaiting regulatory approval.

In March 2025, KCB Group chief executive Paul Russo told TechCabal that the acquisition is part of the bank’s plan to build new digital capabilities and deliver “seamless, secure, and innovative” solutions for customers.

Founded in 2010 by Nick Mwendwa, Riverbank Solutions provides payment systems to manufacturers, microfinance institutions, retailers, county governments, and the military. The company operates in Kenya, Uganda, and Rwanda.

The fintech offers a range of digital services, including Zed 360, a management tool for small businesses; Swipe, which supports agency banking services; Zizi, a revenue collection platform; and CheckSmart, designed for social payments. Kisumu and Migori counties currently use the company’s platform to collect revenues.