KCB has reached an agreement with Imperial Bank over its acquisition after it was placed under receivership.
The offer includes a further recovery of 19.7 percent of eligible depositor balances remaining at Imperial Bank.
The bank has said that the interest rates payable on deposit balances will be in line with the existing deposit products.
Imperial Bank was put under receivership in October 2015 three months after the bank raised $20 million bond to shore up its capital reserves.
“CBK has become aware of unsafe and unsound business condition at Imperial Bank. The appointment of KDIC as a receiver for Imperial Bank Kenya Limited has been carried out in the interest of its depositors, creditors, and members of the public,” the bank said in a
KCB had won the bid for the collapsed lender in July last year, giving account holders higher access to their money.
KCB has confirmed it will take over five branches of the bank as CBK and KDIC continue to explore options for the remaining staff and branches.
Central Bank of Kenya and Kenya Deposit Insurance Corporation had announced a release of funds increasing total recovery to approximately 35 percent of original eligible deposits held at the date of receivership.
Funds were previously made available in three tranches, and approximately 92 percent of eligible depositors had been granted full access to their balances.
The acceptance of this final offer increases total recovery for eligible deposits held at the date of receivership to 47 percent to date.