The I&M Group PLC has warned its shareholders to exercise caution when dealing with its shares. This is after they announced a proposed acquisition of the group by East Africa Growth Holding.
According to a cautionary announcement by the company, a shareholder of the I&M bank, British International Investment Bank agreed to sell 10.13% of its share capital in the group.
“On 3 November 2023, British International Investment Plc, notified I&M Group Plc (the “Company”) that it had agreed to sell its shares in the Company amounting to approximately 10.13% of the Company’s issued share capital, to East Africa Growth Holding, an investment vehicle established by Africinvest Fund IV LLC, Africinvest IV Netherlands CV and Africinvest Financial Inclusion Vehicle LLC,” the warning statement read.
Notably, I&M Group Plc is the holding company of I&M Bank Ltd.
Further, according to I&M Bank, the British International Investment, owns approximately 10.68% of I&M Group Plc.
Furthermore, the British International Investment is a development finance institution wholly owned by the government of the United Kingdom.
Warnings issued despite uncertainty of the transaction
Nevertheless, the I&M Bank noted that the completion of the transaction and planned acquisition is dependent on certain conditions.
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Among these conditions include a receipt of all relevant regulatory approvals in Kenya and in other countries where I&M Group Plc has operating subsidiaries.
However, despite this uncertainty, the cautionary announcement still noted that the transaction may have a material effect on the trading price of the shares of the I&M Group Plc.
“The shareholders of the Company and the public are accordingly advised to exercise due caution when dealing in the shares of the Company,” the cautionary statement further forewarned.
I&M Group Shares.
The I&M Holdings Plc is listed on the Nairobi Securities Exchange (NSE) under the ticker symbol IMH.
Remarkably, the group was officially listed at the Nairobi Securities Exchange in 2013.
Likewise, this was after the successful conclusion of the merger deal between I&M Bank with investment company, City Trust, through a share swap.
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Consequently, the current share price of I&M Holdings Plc (IMH) is Kshs17.40.
Notably, the share prices at the Kenyan Bank have been on a rise since the second of November where they sold at Ksh16.90.
On 7th of November, I&M Holdings successfully traded a volume of 5,400 shares.
