Companies
KCB restructures investment units after buyout of NBK
Wednesday April 12 2023
KCB Branch in Nairobi. FILE PHOTO | NMG
KCB Group has completed separation of roles between its two investment units- KCB Capital and NatBank Trustee and Investment Services Limited.
KCB Capital has since been rebranded to KCB Investment Bank effective January 11 in changes that have seen the two subsidiaries that previously offered similar services taking on distinct roles.
KCB Investment Bank will, for instance, now offer brokerage, advisory and consultancy services to the group’s clientele and other customers after the spinoff.
Meanwhile, Natbank is expected to transition to KCB Asset Management with its operations being centered on fund management, corporate trustee services, pension schemes and unit trusts.
“The two entities give us two different capabilities with products that can be white labelled. Wealth management is at the core of what we want to do,” KCB’s chief executive Paul Russo told the Business Daily.
“The units will also support the network enabling our customers to first and foremost purchase instruments such as infrastructure bonds and unit trusts through our branches.”
KCB Investment Bank is the bigger of the two units by asset size having posted an asset base of Sh660.6 million for the financial year ended in December 2022.
The unit was profitable through the period when it posted a net profit of Sh40.3 million.
