Atlas Mara To Acquire Majority Stake In Rwanda’s Development Bank

Twenty years after the infamous genocide attack launched by the Hutu extremists killed thousands of people in Rwanda; Atlas Mara, an investment company partly owned by former Rwanda refugee Ashish Thakkar, has announced plans to acquire controlling stakes in the Development Bank of Rwanda.

The takeover will start in two months time when the government will announce how much to be received after selling its stake.

The Rwandan government is selling the controlling shares to Atlas Mara in order to expand the country’s access to finances and financial outreach.

Finance and Economic planning Minister, Claver Gatete, said the deal with Atlas Mara is in line with its move to encourage privatisation and attract Foreign Direct Investments that will spark economic growth.

He added that “Nothing better demonstrates that than Ashish, himself a child refugee of the genocide, returning to his home country. We are proud to have him uniting with us to continue Rwanda’s journey to be a leading financial services centre.”

                   

Atlas Mara is looking forward to deepening its investment in Africa by investing deeply in the African banking sector.Its latest move to acquire over 75 per cent share owned by Kigali at the Development Bank of Rwanda will split the bank into two business arms – the development arm owned by the government and the commercial side controlled by Atlas Mara after a privatisation later this year; an MOU signed by both entities indicates.

Thakkar’s partner, Bob Diamond, said land-locked Rwanda could become a launch pad to other parts of East Africa region including Kenya, East Africa’s largest economy.

The London stock exchange listed company recently agreed to buy 47.1 per cent ABC Holdings (BancABC), 9.1 per cent from the Union Bank of Nigeria and acquire reasonable shares at the African Development Corporation AG worth $265-million.