Home SK - Stocks, Property, Investment Chamas - Investment Groups BIZ - Small Business Soko - Market Wazua Life About Wazua
SIGN IN REGISTER
Thursday, Aug 13, 2020
Investor
We’re investing funds for profit. Join us and wazua!
LATEST DISCUSSIONS
KCB buy buy buy [1207]
Speculating in cryptocurrencies: A rough approach [286]
Mansa X SIB [2]
Exchange Bar: Results forecast [2212]
Properties on sale [16]
Bitcoin: Does it have a future ? [1251]
Why dustbowl is the future [606]
Elliott Wave Analysis Of The NSE 20 [3627]
NMG FY 2018 and Beyond [162]
Madness at the NSE [2320]
Realities of Forex Investment [3942]
Equity Bank 2020 [51]
CIC Insurance 2019 [108]
Sessional Paper No. 10 of 1965 [11]
VituVingiSana's MIGHTY road to wealth. Take notes! [100]
 
Forum Jump








Welcome Guest Search | Active Topics | Log In | Register

3 Pages<123
Equity Bank 2020
VituVingiSana
#41 Posted : Wednesday, June 24, 2020 11:56:35 AM
Rank: Chief


Joined: 1/3/2007
Posts: 17,169
Location: Nairobi
watesh wrote:
VituVingiSana wrote:
watesh wrote:
Ericsson wrote:
Equity group ends discussion with Atlas Mara group on acquisition of Atlas businesses in Rwanda,Tanzania, Zambia and Mozambique.
https://mobile.twitter.c...310542861799424/photo/1

There must be something fishy with those assets that Equity has been so hesitant to buy ever since last year as compared to BCDC bank in DRC which was a done deal really fast...... My take is that Equity should first make their TZ subsidiary bigger and more profitable before going further down south. KCB and DTB are profitable in TZ so it's not impossible.

I think the DRC deal was easier since it was a single bank in a single market and will be integrated into Equity DRC vs buying several small banks in new markets.

The latter takes more work, injecting capital, integration, etc. Perhaps not the time to do so but certainly something to think about in the future to become a pan-african bank.


It has been been almost 7 years in Tanzania and barely any growth over the past 4 years. It has been in losses in 2018, 2019 and start 2020 with a fat decline (-30%) in the top line revenue. KCB with an equally sized footprint in Tanzania was bringing in close to Ksh1 billion PBT from TZ unit. Equity need to rethink strategy and overhaul management there.
TZ is a tough place for Kenyan firms. Even KCB had a rough time in TZ for years but may have finally turned the corner.

UG, RW, DRC and even SS have been profitable for Equity.

Regional expansion is not easy but important as Kenya becomes very competitive.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Ericsson
#42 Posted : Monday, July 06, 2020 6:54:41 PM
Rank: Elder


Joined: 12/4/2009
Posts: 8,710
Location: NAIROBI
Ericsson
#43 Posted : Sunday, July 12, 2020 10:13:26 PM
Rank: Elder


Joined: 12/4/2009
Posts: 8,710
Location: NAIROBI
Equity Group eyes Sh50bn long-term debt in three years

Equity Group is eyeing up to Sh50 billion from international financiers in the next three years as it seeks to boost its liquidity and capital positions.

Group CEO James Mwangi told investors in a recent virtual annual general meeting that the board wants to reinforce the lender’s liquidity and capital positions through a mix of medium-term and long-term debts.

This will take the group’s borrowed funds beyond the Sh56.7 billion it has in its books at the end of December 2019.
Equity’s Sh22.89 billion loan or about 40 per cent of its current borrowings will mature by March 2023, the information in its latest annual report shows.
Equity has taken a cash preservation strategy in the wake of Covid-19, including recalling Sh9 billion in dividends and dropping the purchase of four banks outside Kenya.

“Forfeiture of dividends was a good gesture to all our partners that we are also in need as we called on them to support our customers,” Mr Mwangi told investors.

He said the bank had taken a proactive management strategy of preserving capital and liquidity as the group anticipates Covid-19 and its impact to last for at least 18 months.

https://www.businessdail...92028-6q9hrrz/index.html
aemathenge
#44 Posted : Wednesday, August 05, 2020 6:00:29 PM
Rank: Elder


Joined: 10/18/2008
Posts: 3,313
Location: Kerugoya
This man James Mwangi and Equity! It is so personal for him and has always been right from the very beginning.


Quote:
“I had gone with [EBS executives] to Central Bank because they had been condemned with closure.

Suddenly, the Governor looks at me, as I try to plead their case for more time, and he says [to me], ‘if it was you who was talking of turnaround, then I would give you the opportunity’.

I was between a rock and a hard place; if I hadn’t made the sacrifice to join them, then they would [have had] to close,” recalls Mwangi.

So, in a seemingly fool-hardy move, the young banker agreed to take on mounting debt, unpaid salaries, dwindling membership, and declining morale at Equity.

He even remortgaged his own house to inject some desperately needed cash into the business, inextricably linking his fate, and hard-won reputation, with that of the beleaguered building society.


Source Link From Forbes Africa

Wakanyugi
#45 Posted : Thursday, August 06, 2020 7:44:14 AM
Rank: Veteran


Joined: 7/3/2007
Posts: 1,627
aemathenge wrote:
This man James Mwangi and Equity! It is so personal for him and has always been right from the very beginning



For the really successful ones, business is always personal. A passion, an obsession even, rather than a job. Think Bezos, Jobs, Branson or even Dangote here at home.

In other news, I noticed this sentence from your link:

"Local banks are increasingly taking substantial loans from global funds such as the IFC, European Investment Bank and Agence Française de Développement, attracted by relatively more favourable terms of the debt including lower interest rates and longer maturity."

It seems like all that newly printed QE money is trying to find returns. How long before foreign buyers start to pile up on emerging markets?

Do I sense opportunity, or is that sanitizer my hands have been drinking finally getting to my head?
"The opposite of a correct statement is a false statement. But the opposite of a profound truth may well be another profound truth." (Niels Bohr)
Ericsson
#46 Posted : Tuesday, August 11, 2020 8:55:08 AM
Rank: Elder


Joined: 12/4/2009
Posts: 8,710
Location: NAIROBI
Equity group holdings announces completion of the acquisition of Banque Commerciale du Congo.
https://mobile.twitter.c...058063860146177/photo/1

Consideration price reduced from USA $105mn to 95mn
VituVingiSana
#47 Posted : Tuesday, August 11, 2020 9:13:53 AM
Rank: Chief


Joined: 1/3/2007
Posts: 17,169
Location: Nairobi
Ericsson wrote:
Equity group holdings announces completion of the acquisition of Banque Commerciale du Congo.
https://mobile.twitter.c...058063860146177/photo/1

Consideration price reduced from USA $105mn to 95mn

JM alikataa! Laughing out loudly And got a discount. Applause
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
Ericsson
#48 Posted : Tuesday, August 11, 2020 10:55:14 AM
Rank: Elder


Joined: 12/4/2009
Posts: 8,710
Location: NAIROBI
watesh
#49 Posted : Tuesday, August 11, 2020 11:55:53 AM
Rank: Member


Joined: 8/10/2014
Posts: 836
Location: Kenya
Ericsson wrote:
https://tradingroom.co.ke/equity-acquires-bank-bcdc/


Now they can go head to head with Raw Bank
heri
#50 Posted : Tuesday, August 11, 2020 12:41:46 PM
Rank: Member


Joined: 9/14/2011
Posts: 771
Location: nairobi
watesh wrote:
Ericsson wrote:
https://tradingroom.co.ke/equity-acquires-bank-bcdc/


Now they can go head to head with Raw Bank


Anyone know their market share in DRC now?
watesh
#51 Posted : Tuesday, August 11, 2020 1:58:20 PM
Rank: Member


Joined: 8/10/2014
Posts: 836
Location: Kenya
heri wrote:
watesh wrote:
Ericsson wrote:
https://tradingroom.co.ke/equity-acquires-bank-bcdc/


Now they can go head to head with Raw Bank


Anyone know their market share in DRC now?


As per their annual report 2019, Rawbank has a 27% market share in deposits and $2.1 billion in terms of assets. However, they are less profitable than Equity's DRC's subsidiary before the acquisition. In 2019 they had a net income of $7 million (ksh700m) a drop from $23 million (ksh2.3 billion) in 2018. Equity DRC had a net income of Ksh1.23 billion so with the addition of BCDC, post covid economic effects, they should technically match Rawbank's highest recorded net income.
Users browsing this topic
Guest (2)
3 Pages<123
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.