Home SK - Stocks, Property, Investment Chamas - Investment Groups BIZ - Small Business Soko - Market Wazua Life About Wazua
SIGN IN REGISTER
Sunday, Nov 29, 2020
Investor
We’re investing funds for profit. Join us and wazua!
LATEST DISCUSSIONS
Kenya Power HY 2019 [326]
KenGen HY 2019 [623]
Is it the right time to buy CENTUM? [121]
Treasury Bills and Bonds [1426]
Exchange Bar: Results forecast [2264]
Housing Finance: HFCK a diamond in the rough [2072]
Potential merger NIC + CBA [279]
KCB buy buy buy [1303]
Mumias Sugar huge demand [2859]
Kakuzi HY 2020 [22]
Barclays - 2018 and beyond [132]
DTB Group FY 2018 [36]
Bitcoin: Does it have a future ? [1287]
Carbacid Investments FY 2020 [21]
East African Cables [61]
 
Forum Jump








Welcome Guest Search | Active Topics | Log In | Register

2 Pages12>
DTB Group FY 2018
Superprime1
#1 Posted : Wednesday, March 20, 2019 5:15:44 PM
Rank: Member


Joined: 5/2/2018
Posts: 264
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.
xxxxx
#2 Posted : Wednesday, March 20, 2019 5:58:25 PM
Rank: Member


Joined: 3/20/2008
Posts: 502
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Ericsson
#3 Posted : Wednesday, March 20, 2019 9:45:45 PM
Rank: Elder


Joined: 12/4/2009
Posts: 9,134
Location: NAIROBI
Net earnings up 2%
Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
obiero
#4 Posted : Wednesday, March 20, 2019 9:49:17 PM
Rank: Elder


Joined: 6/23/2009
Posts: 12,853
Location: nairobi
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS

A certified terrorism financier according to DPP
COOP 5,500 ABP12.6; HF 30,000 ABP 5.90; KCB 7,500 ABP 36; KQ 414,100 ABP 7.92
VituVingiSana
#5 Posted : Wednesday, March 20, 2019 9:55:57 PM
Rank: Chief


Joined: 1/3/2007
Posts: 17,325
Location: Nairobi
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
obiero
#6 Posted : Wednesday, March 20, 2019 10:09:23 PM
Rank: Elder


Joined: 6/23/2009
Posts: 12,853
Location: nairobi
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly

The problem is that you get excited about such and brag about it, but someone selling smokies outside Mamlaka Hall makes more in a day than such an annual dividend payout by DTB
COOP 5,500 ABP12.6; HF 30,000 ABP 5.90; KCB 7,500 ABP 36; KQ 414,100 ABP 7.92
VituVingiSana
#7 Posted : Wednesday, March 20, 2019 10:44:41 PM
Rank: Chief


Joined: 1/3/2007
Posts: 17,325
Location: Nairobi
obiero wrote:
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly

The problem is that you get excited about such and brag about it, but someone selling smokies outside Mamlaka Hall makes more in a day than such an annual dividend payout by DTB

297mn (or so) shares x 2.60 = 750mn (or so) in dividends
The Mamlaka guy is doing very well if he makes more than 750mn/day! Applause Applause Applause
The smokies guy should be given KQ to run. Laughing out loudly
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
xxxxx
#8 Posted : Wednesday, March 20, 2019 11:45:53 PM
Rank: Member


Joined: 3/20/2008
Posts: 502
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly


I love WB but a dividend of 2.6 for a company trading at 130 or 150 is just careless. DTB should just declare a period of no dividends so its clear just like Centum did during Centum 1.0. That way investors are programmed to focus on capital gains.
VituVingiSana
#9 Posted : Thursday, March 21, 2019 12:06:35 AM
Rank: Chief


Joined: 1/3/2007
Posts: 17,325
Location: Nairobi
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly


I love WB but a dividend of 2.6 for a company trading at 130 or 150 is just careless. DTB should just declare a period of no dividends so its clear just like Centum did during Centum 1.0. That way investors are programmed to focus on capital gains.

"DTB should just declare a period of no dividends" You should propose that at the AGM. smile

"a dividend of 2.6 for a company trading at 130 or 150 is just careless" What would you call a share that trades at $300,000+ and pays zilch in dividends? Laughing out loudly

Question: If you know DTB's dividend policy is "stingy" and has been the case for years, if not decades, then why bother with DTB if you want a high dividend payout ratio?

BAT and BBK seem better suited for you.

Another is KCB with a decent payout ratio.

I have Centum whose dividend (vs PAT) is nothing to write home about. But I knew it going in. They retain "profits" to re-invest or pay down debt rather than have Rights Issues.
Another is Car & General. Lousy dividend vs PAT. Lousy for years. They retain "profits" to pay down debt, increase working capital and re-invest rather than have Rights Issues.

For both Centum and C&G, I focus on the Earnings Yield, NAV and potential future gains when they sell their "For Sale" investments.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
xxxxx
#10 Posted : Thursday, March 21, 2019 6:02:06 AM
Rank: Member


Joined: 3/20/2008
Posts: 502
VituVingiSana wrote:
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly


I love WB but a dividend of 2.6 for a company trading at 130 or 150 is just careless. DTB should just declare a period of no dividends so its clear just like Centum did during Centum 1.0. That way investors are programmed to focus on capital gains.

"DTB should just declare a period of no dividends" You should propose that at the AGM. smile

"a dividend of 2.6 for a company trading at 130 or 150 is just careless" What would you call a share that trades at $300,000+ and pays zilch in dividends? Laughing out loudly

Question: If you know DTB's dividend policy is "stingy" and has been the case for years, if not decades, then why bother with DTB if you want a high dividend payout ratio?

BAT and BBK seem better suited for you.

Another is KCB with a decent payout ratio.

I have Centum whose dividend (vs PAT) is nothing to write home about. But I knew it going in. They retain "profits" to re-invest or pay down debt rather than have Rights Issues.
Another is Car & General. Lousy dividend vs PAT. Lousy for years. They retain "profits" to pay down debt, increase working capital and re-invest rather than have Rights Issues.

For both Centum and C&G, I focus on the Earnings Yield, NAV and potential future gains when they sell their "For Sale" investments.



But does the capital gains part of the equation work out for DTB?
slick
#11 Posted : Tuesday, August 20, 2019 9:38:11 AM
Rank: Member


Joined: 6/1/2017
Posts: 288
Have guys received their DTB dividend cheques for 2019?I am yet to receive mine yet their book closure was on 24th May 2019 and dividend payout was on 26 June 2019
Contrarian Investor and Trader.Advocate of free markets,limited government interference in the economy and sound money
VituVingiSana
#12 Posted : Tuesday, August 20, 2019 10:16:17 AM
Rank: Chief


Joined: 1/3/2007
Posts: 17,325
Location: Nairobi
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly


I love WB but a dividend of 2.6 for a company trading at 130 or 150 is just careless. DTB should just declare a period of no dividends so its clear just like Centum did during Centum 1.0. That way investors are programmed to focus on capital gains.

"DTB should just declare a period of no dividends" You should propose that at the AGM. smile

"a dividend of 2.6 for a company trading at 130 or 150 is just careless" What would you call a share that trades at $300,000+ and pays zilch in dividends? Laughing out loudly

Question: If you know DTB's dividend policy is "stingy" and has been the case for years, if not decades, then why bother with DTB if you want a high dividend payout ratio?

BAT and BBK seem better suited for you.

Another is KCB with a decent payout ratio.

I have Centum whose dividend (vs PAT) is nothing to write home about. But I knew it going in. They retain "profits" to re-invest or pay down debt rather than have Rights Issues.
Another is Car & General. Lousy dividend vs PAT. Lousy for years. They retain "profits" to pay down debt, increase working capital and re-invest rather than have Rights Issues.

For both Centum and C&G, I focus on the Earnings Yield, NAV and potential future gains when they sell their "For Sale" investments.

But does the capital gains part of the equation work out for DTB?

First, do you think it is a quality business? If yes, then read further.
Capital Gains will happen when it happens. For now, I am more concerned about their NPLs and provisioning policy.

WHETHER WE’RE TALKING ABOUT SOCKS OR STOCKS, I LIKE BUYING QUALITY MERCHANDISE WHEN IT IS MARKED DOWN – WARREN BUFFET
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Marthegorgeous
#13 Posted : Tuesday, August 20, 2019 10:23:24 AM
Rank: New-farer


Joined: 12/16/2009
Posts: 34
Location: NAIROBI
slick wrote:
Have guys received their DTB dividend cheques for 2019?I am yet to receive mine yet their book closure was on 24th May 2019 and dividend payout was on 26 June 2019



They do not send cheques but dividend notification letter. Then they credit your bank account with cash. My cash was well recieved on time.
slick
#14 Posted : Tuesday, August 20, 2019 12:26:57 PM
Rank: Member


Joined: 6/1/2017
Posts: 288
Marthegorgeous wrote:
slick wrote:
Have guys received their DTB dividend cheques for 2019?I am yet to receive mine yet their book closure was on 24th May 2019 and dividend payout was on 26 June 2019



They do not send cheques but dividend notification letter. Then they credit your bank account with cash. My cash was well recieved on time.


@Marthegorgeous.It seems you registered to have your dividend funds directly transferred to your bank account.I normally receive the dividend cheques from DTB and my other counters.

Anyway,I called DTB Shares registry Department and they indicated they sent out the cheques in July and it seems my post office may have misplaced it.I will follow up with Post Office.

Thanks Marthegorgeous for confirming to me the dividend funds were disbursed
Contrarian Investor and Trader.Advocate of free markets,limited government interference in the economy and sound money
obiero
#15 Posted : Tuesday, August 20, 2019 4:46:59 PM
Rank: Elder


Joined: 6/23/2009
Posts: 12,853
Location: nairobi
VituVingiSana wrote:
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly


I love WB but a dividend of 2.6 for a company trading at 130 or 150 is just careless. DTB should just declare a period of no dividends so its clear just like Centum did during Centum 1.0. That way investors are programmed to focus on capital gains.

"DTB should just declare a period of no dividends" You should propose that at the AGM. smile

"a dividend of 2.6 for a company trading at 130 or 150 is just careless" What would you call a share that trades at $300,000+ and pays zilch in dividends? Laughing out loudly

Question: If you know DTB's dividend policy is "stingy" and has been the case for years, if not decades, then why bother with DTB if you want a high dividend payout ratio?

BAT and BBK seem better suited for you.

Another is KCB with a decent payout ratio.

I have Centum whose dividend (vs PAT) is nothing to write home about. But I knew it going in. They retain "profits" to re-invest or pay down debt rather than have Rights Issues.
Another is Car & General. Lousy dividend vs PAT. Lousy for years. They retain "profits" to pay down debt, increase working capital and re-invest rather than have Rights Issues.

For both Centum and C&G, I focus on the Earnings Yield, NAV and potential future gains when they sell their "For Sale" investments.

But does the capital gains part of the equation work out for DTB?

First, do you think it is a quality business? If yes, then read further.
Capital Gains will happen when it happens. For now, I am more concerned about their NPLs and provisioning policy.

WHETHER WE’RE TALKING ABOUT SOCKS OR STOCKS, I LIKE BUYING QUALITY MERCHANDISE WHEN IT IS MARKED DOWN – WARREN BUFFET

I am also worried about their NPL
COOP 5,500 ABP12.6; HF 30,000 ABP 5.90; KCB 7,500 ABP 36; KQ 414,100 ABP 7.92
Ericsson
#16 Posted : Wednesday, January 08, 2020 10:45:24 AM
Rank: Elder


Joined: 12/4/2009
Posts: 9,134
Location: NAIROBI
obiero wrote:
VituVingiSana wrote:
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly


I love WB but a dividend of 2.6 for a company trading at 130 or 150 is just careless. DTB should just declare a period of no dividends so its clear just like Centum did during Centum 1.0. That way investors are programmed to focus on capital gains.

"DTB should just declare a period of no dividends" You should propose that at the AGM. smile

"a dividend of 2.6 for a company trading at 130 or 150 is just careless" What would you call a share that trades at $300,000+ and pays zilch in dividends? Laughing out loudly

Question: If you know DTB's dividend policy is "stingy" and has been the case for years, if not decades, then why bother with DTB if you want a high dividend payout ratio?

BAT and BBK seem better suited for you.

Another is KCB with a decent payout ratio.

I have Centum whose dividend (vs PAT) is nothing to write home about. But I knew it going in. They retain "profits" to re-invest or pay down debt rather than have Rights Issues.
Another is Car & General. Lousy dividend vs PAT. Lousy for years. They retain "profits" to pay down debt, increase working capital and re-invest rather than have Rights Issues.

For both Centum and C&G, I focus on the Earnings Yield, NAV and potential future gains when they sell their "For Sale" investments.

But does the capital gains part of the equation work out for DTB?

First, do you think it is a quality business? If yes, then read further.
Capital Gains will happen when it happens. For now, I am more concerned about their NPLs and provisioning policy.

WHETHER WE’RE TALKING ABOUT SOCKS OR STOCKS, I LIKE BUYING QUALITY MERCHANDISE WHEN IT IS MARKED DOWN – WARREN BUFFET

I am also worried about their NPL


DTB to write off sh.3bn of debt owed by Nakumatt
Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
VituVingiSana
#17 Posted : Wednesday, January 08, 2020 11:13:59 AM
Rank: Chief


Joined: 1/3/2007
Posts: 17,325
Location: Nairobi
Ericsson wrote:
obiero wrote:
VituVingiSana wrote:
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
VituVingiSana wrote:
xxxxx wrote:
Superprime1 wrote:
Total operating income - Sh25.46bn

Total operating expenses - Sh14.49bn

PBT - Sh11bn

PAT - Sh7.08bn

Dividend maintained at Sh2.60/share, book closure May 23rd.


This kind of nonsensical dividend payout can only be entertained by VVS
Laughing out loudly Laughing out loudly Laughing out loudly
I see you have no love for Warren Buffett or Berkshire Hathaway Laughing out loudly Laughing out loudly Laughing out loudly


I love WB but a dividend of 2.6 for a company trading at 130 or 150 is just careless. DTB should just declare a period of no dividends so its clear just like Centum did during Centum 1.0. That way investors are programmed to focus on capital gains.

"DTB should just declare a period of no dividends" You should propose that at the AGM. smile

"a dividend of 2.6 for a company trading at 130 or 150 is just careless" What would you call a share that trades at $300,000+ and pays zilch in dividends? Laughing out loudly

Question: If you know DTB's dividend policy is "stingy" and has been the case for years, if not decades, then why bother with DTB if you want a high dividend payout ratio?

BAT and BBK seem better suited for you.

Another is KCB with a decent payout ratio.

I have Centum whose dividend (vs PAT) is nothing to write home about. But I knew it going in. They retain "profits" to re-invest or pay down debt rather than have Rights Issues.
Another is Car & General. Lousy dividend vs PAT. Lousy for years. They retain "profits" to pay down debt, increase working capital and re-invest rather than have Rights Issues.

For both Centum and C&G, I focus on the Earnings Yield, NAV and potential future gains when they sell their "For Sale" investments.

But does the capital gains part of the equation work out for DTB?

First, do you think it is a quality business? If yes, then read further.
Capital Gains will happen when it happens. For now, I am more concerned about their NPLs and provisioning policy.

WHETHER WE’RE TALKING ABOUT SOCKS OR STOCKS, I LIKE BUYING QUALITY MERCHANDISE WHEN IT IS MARKED DOWN – WARREN BUFFET

I am also worried about their NPL


DTB to write off sh.3bn of debt owed by Nakumatt
Good. Over and done with. It will not affect the PBT or Shareholder Funds.
Provisions vs Write Off (of provisions).
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Ericsson
#18 Posted : Wednesday, January 29, 2020 4:25:51 PM
Rank: Elder


Joined: 12/4/2009
Posts: 9,134
Location: NAIROBI
https://pbs.twimg.com/me...ormat=png&name=small
Wealth is built through a relatively simple equation
Wealth=Income + Investments - Lifestyle
kmucheke
#19 Posted : Monday, October 12, 2020 5:10:04 PM
Rank: Member


Joined: 3/16/2019
Posts: 227
Ugandan court declares syndicated loan to DTB Uganda borrower is illegal since DTB Kenya is not licensed to operate in Uganda.

This has made other foreign banks which rely on their parent banks when syndicating loans very jittery.

Equity Uganda has a similar court in case.

The loan defaulters are celebrating like there is no tomorrow.

Uganda Bankers Association has termed the ruling as "reckless".

Link

Quote:
“I do declare that the appointment of the 1st defendant(DTB Uganda) by the 2nd defendant(DTB Kenya) as agent bank and security agent in respect of the 2nd defendant’s(DTB Kenya) loan was illegal, unethical, unlawful, in breach of trust, in breach of fiduciary duty and in breach of the Financial Institutions Act 2004 as well the Bank of Uganda Consumer Protection Guidelines 2011 and the Kenyan Banking Act.”
kmucheke
#20 Posted : Thursday, October 15, 2020 9:32:20 AM
Rank: Member


Joined: 3/16/2019
Posts: 227
kmucheke wrote:
Ugandan court declares syndicated loan to DTB Uganda borrower is illegal since DTB Kenya is not licensed to operate in Uganda.

This has made other foreign banks which rely on their parent banks when syndicating loans very jittery.

Equity Uganda has a similar court in case.

The loan defaulters are celebrating like there is no tomorrow.

Uganda Bankers Association has termed the ruling as "reckless".

Link

Quote:
“I do declare that the appointment of the 1st defendant(DTB Uganda) by the 2nd defendant(DTB Kenya) as agent bank and security agent in respect of the 2nd defendant’s(DTB Kenya) loan was illegal, unethical, unlawful, in breach of trust, in breach of fiduciary duty and in breach of the Financial Institutions Act 2004 as well the Bank of Uganda Consumer Protection Guidelines 2011 and the Kenyan Banking Act.”


Uganda regulator hands relief to Kenyan lenders

I would not yet call it relief.
The judiciary needs also to clear the air on the same.

The borrower knew very well that this was a syndicated loan involving a foreign bank and is just trying to avoid paying back the loan

Quote:
Uganda’s central bank has said foreign-based commercial banks do not need its approval to lend funds originating abroad, bringing relief to Kenyan banks that had been rattled by a court ruling last week that declared some syndicated loans illegal.

The Bank of Uganda said it did not regulate lending that involved “using funds obtained from foreign banks that do not take deposits from the public in Uganda.”

“Foreign banks lending deposits held in jurisdictions other than Uganda are regulated and supervised by their home authorities,” it said in a statement. “It is not mandatory for a foreign bank to establish a representative office in Uganda in order to conduct lending.”

Though the Bank of Uganda’s position does not override the court’s ruling, it boosts chances of a successful appeal by Diamond Trust Bank (DTB), which was the subject of a commercial court ruling.

Uganda’s Commercial Division Judge Justice Henry Peter Adoyo last week ruled that DTB, together with its Ugandan subsidiary, DTB Uganda, acted illegally by jointly lending money to Ham Enterprises Ltd and Kiggs International (U) Ltd, owned by Ugandan businessman Hamis Kiggundu.

Both banks had put together syndicated loans for Mr Kiggundu and his businesses over several years. But after a dispute over repayments Kiggundu sued, arguing the loans were illegal because the Kenyan bank did not have a Ugandan banking licence issued by the central bank.

Ugandan banks have traditionally relied on syndicating big credit lines with parent banks in bigger markets to serve major corporate customers and the ruling, which has been appealed, put the fate of such loans in doubt.
Users browsing this topic
Guest
2 Pages12>
Forum Jump  
You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.

Home | . .. Investor | .. . Groups | .. . SME | . . . Market | .. . Club SK | . ..... About Wazua | . .. Search | . ..Sitemap | . ..Support | . ..Disclaimer | . ..Privacy Policy | . ..Terms of Use | . .. Contact Us
Copyright © 2020 Wazua.co.ke. All Rights Reserved.