Kenyatta, Ndegwa and Merali Families to Make Billions from NCBA Deal

South Africa’s Nedbank Group has completed its takeover of a 66% stake in NCBA Group, creating a major financial windfall for three prominent Kenyan families with significant interests in the lender.

The Kenyatta, Ndegwa and Merali families are among the beneficiaries of the transaction, which was completed on Monday, October 19, following the approval of the necessary regulatory authorities.

The deal is valued at approximately KSh 110 billion and makes NCBA a subsidiary of Nedbank, one of South Africa’s leading financial institutions.

According to details reported by Billionaires.Africa, the three families are set to receive approximately KSh 7.84 billion in cash and about 15 million Nedbank shares as part of the transaction.

The Kenyatta family holds its interest mainly through Enke Investments Limited, which owns approximately 13.2% of NCBA. Former President Uhuru Kenyatta’s younger brother, Muhoho Kenyatta, also holds shares directly in the bank.

The Ndegwa family, linked to former Central Bank of Kenya governor Philip Ndegwa, is NCBA’s largest shareholder through First Chartered Securities Limited, with a stake of about 14.94%.

Meanwhile, the Merali family holds approximately 5.4% of NCBA through Yana Investments Limited, an investment company associated with the late businessman Naushad Merali and now controlled by his widow, Zarin Merali.

Under the takeover agreement, Nedbank acquired approximately 66% of NCBA’s issued shares. The offer was structured so that participating shareholders received 20% of the consideration in cash and 80% in newly issued Nedbank shares.

NCBA will retain its brand, Nairobi headquarters and local leadership, while continuing to trade on the Nairobi Securities Exchange. The remaining 34% of its shares will be held by public investors.

The acquisition gives Nedbank an established presence in East Africa, allowing it to expand its regional operations through NCBA’s existing network and digital banking services.

For the three Kenyan families, the transaction provides a significant return on their investments while giving them exposure to Nedbank through shares in the South African lender.

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Ninah Jackson feedback-opera-news-app@opera.com