“DFCU still Strong” Chairman Elly Karuhanga

DailyNews Ug |Kampala, Uganda|

Arise B.V has reiterated its commitment to retaining its investment in dfcu Bank.

Arise B.V which owns 58.7% of dfcu Bank is an investment and development company jointly owned by the Netherlands Development Bank (FMO) and the Dutch Rabobank as well as Norfund, a Norwegian financial institution.

Other shareholders in the bank are the CDC Group, NSSF that own 9.97% and 7.46% respectively.

Others are Kimberlite Frontier Africa Master Fund, SSB Russell Investment Company and over 4000 others who own 7.35%, 1.71% and 14.81% respectively.

In a statement, Deepak Malik, Arise B.V’s chief executive officer said his company has always been supportive of the bank’s growth and development plans.

Malik added that this can be evidenced in the $50m bridging financing the company provided to the bank in 2017 when it wanted to acquire Crane bank from Bank of Uganda.

The statement read by Elly Karuhanga, dfcu Limited’s chairman during a press briefing at Kampala Associated Advocates in Kampala on Friday.

The report came on the heels of reports that the fund was on its way out after reports had emerged that CDC, another shareholder was seeking to sell its 10% shareholding at the bank.

“The partnership between Arise B.V and dfcu speaks directly to its (Arise) mandate to collaborate with local financial service providers in Sub-Saharan Africa to boost economic growth through strengthening the banking sector,” Malik said in the statement.

“Arise will continue to support any future growth plans of dfcu to contribute to a strong and efficient Ugandan bank, which will promote financial inclusion, and strengthen their ability to supply capital and financial services to small and medium enterprises, the rural sector and unbanked population in the country.

In September last year, dfcu Ltd, owners of dfcu Bank, announcement of a rights issue of over 263.5m shares through which the company sought to raise sh200b for implementation of its growth strategy.

Karuhanga said the company raised sh180b worth of capital from the rights issue to implement its growth strategy.

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