KCB Group has announced a landmark acquisition of a 75% stake in Riverbank Solutions, an IT firm founded by former Football Kenya Federation (FKF) president Nick Mwendwa. The deal, estimated to be worth Ksh 2 billion, marks a strategic move by KCB into the digital payments sector.

The acquisition, once finalized, will make Riverbank Solutions KCB Group’s 13th subsidiary, reinforcing the bank’s push beyond traditional banking into fintech and digital payment solutions.

Expanding KCB’s Digital Footprint

Riverbank Solutions, established in 2010, has built a strong presence in digital payment solutions across multiple sectors, including banking, microfinance, manufacturing, retail, and the military. The company is particularly known for its mobile payment innovations, Point of Sale (POS) terminal applications, and card solutions.

The firm has also been a key revenue collection partner for county governments, including Kisumu and Migori, providing digital platforms for payment and financial transactions.

Speaking on the acquisition, KCB Group CEO Paul Russo stated:

“This investment aligns with our long-term strategy of diversifying revenue streams and leveraging technology to enhance financial services. Riverbank Solutions’ expertise in digital payments will be instrumental in accelerating our growth in the fintech space.”

Nick Mwendwa’s Role Unclear

Following the deal, Nick Mwendwa will retain a 25% stake in Riverbank Solutions. However, it remains uncertain whether he will continue as CEO of the company under KCB’s ownership.

Industry analysts see this move as part of a broader trend of banks integrating fintech firms to enhance digital financial services and remain competitive in Kenya’s fast-evolving financial landscape.

With the acquisition, KCB is positioning itself as a major player in non-banking financial solutions, further strengthening its position as one of the leading financial institutions in East Africa.

What This Means for Kenya’s Banking Industry

This acquisition highlights the increasing shift of traditional banks towards digital solutions, as the demand for mobile and cashless transactions continues to rise. By acquiring Riverbank Solutions, KCB aims to offer innovative, tech-driven financial services to both corporate and individual clients.

As the banking sector continues to embrace digital transformation, KCB’s latest move signals a new era of tech-driven financial services in Kenya.