Chase Bank Kenya
Chase Bank Kenya Limited , commonly referred to as Chase Bank, was a commercial bank in Kenya, licensed by the Central Bank of Kenya, the central bank and national banking regulator.
Chase Bank was a large financial services provider in Kenya, with an estimated asset valuation of approximately US$1.428 billion, as of December 2015. At that time, shareholders' equity was valued at US$119.7 million.
History
In 1995, several business people acquired a 60% stake in United Bank, after paying approximately US$1.23 million. At that time the bank's headquarters were located in the western town of Kisumu, approximately, by road, northwest of Nairobi, Kenya's capital and largest city.At that time, United Bank was in receivership and was under statutory administration by the Central Bank of Kenya, the country's banking regulator. Its paid-up capital, then, was approximately US$970,000 and it had an asset base valued at approximately US$1.9 million. In 1996, the bank opened for business under the new owners who rebranded to its present name. In 1997, a decision was made to relocate the bank's only branch at the time, from Kisumu to Nairobi. Over the years, Chase Bank has progressively improved its bottom line by growing its customer base and increasing its profitability.
Statutory management
On April 7, 2016, Chase Bank was placed under receivership by the Central Bank of Kenya making it the third bank to be placed under receivership in a twelve-month period. This was mainly due under reporting of insider loans and not meeting the statutory banking ratios. Chase Bank re-opened on 27 April 2016 with KCB as the receiver manager.In April 2016, the bank was put under statutory management by the CBK following what it termed 'unsafe financial conditions'. The liquidity problems that it faced followed social media reports after the resignation of two of its directors. The reports showed that its profits in 2015 fell to Ksh. 742 million from 2.3 billion in 2014. The statements also revealed that non performing loans had risen from Ksh. 3 billion in 2014 to Ksh. 11 billion in 2015.
In April 2016, Inspector General of Police Joseph Boinnet ordered to surrender themselves to the police to answer questions about mismanagement in the bank. After closure for two weeks, the bank reopened on 27 April 2016 under management of Kenya Commercial Bank.
Liquidation
In April 2018, the central bank announced that State Bank of Mauritius would be acquiring certain assets and matched liabilities from Chase Bank's. This deal included 75% of deposits, bank staff and branches and merging them with the operations of its Kenyan subsidiary, SBM Kenya. The remaining assets and liabilities were then transferred to Kenya Deposit Insurance Corporation for liquidation.Ownership
In March 2013, Amethis Finance, a development finance company based in Paris, France, invested US$10.5 million into the bank, thereby taking an equity position in Chase Bank. In October 2013, a European Private Equity Fund, invested KSh1.5 billion into the bank, taking up an equity position into the institution., the shareholders in the stock of the bank are summarized in the table below:
Rank | Name of Owner | Percentage Ownership |
1 | Rinascimento Global Limited | 15.9 |
2 | Shegas Limited | 13.9 |
3 | Balst Investment Holdings Limited | 11.2 |
4 | of France | 10.9 |
5 | Festuca Investments Limited | 9.3 |
6 | German Investment Corporation | 6.6 |
7 | Carlo Van Wageningen | 6.5 |
8 | Employee Stock Ownership Plan | 4.3 |
9 | Responsability investments / | 3.4 |
10 | Namaja Investments Limited | 3.0 |
11 | Other Local & International Investors | 15.0 |
Total | 100.00 |
Member Companies
Subsidiaries
Other than the banking business, Chase Bank has the following subsidiaries:- RAFIKI Microfinance Bank Limited - 75% Shareholding - A deposit-taking microfinance bank.
- Chase Insurance Agency Limited - 100% Shareholding - The Insurance agency arm of the business.
Branches
; Nairobi Branches
- City Centre Branch - Prudential Assurance Building, Wabera Street Nairobi
- Buru Buru Branch - Kenol Buru Buru, Mumias South Road, Nairobi
- Diamond Plaza Branch - Diamond Plaza, Parklands, Nairobi
- Donholm Branch - East Gate Shopping Mall, Nairobi
- Eastleigh Branch - Sunrise Shopping Mall, First Avenue, Eastleigh, Nairobi,
- Elite Banking Centre - 1st Floor, ABC Towers, Waiyaki Way, Nairobi
- Embakasi Branch - Ground Floor, Taj Shopping Mall, Outer Ring Road, Embakasi, Nairobi
- Hurlingham Branch - Ground Floor, Northern Wing, Landmark Plaza, Argwings Kodhek Road, Nairobi
- Ngara Branch - Peace Plaza, Ngara Road, Nairobi
- Parklands Branch - Ground Floor, Mediplaza, Third Avenue, Parklands, Nairobi
- Riverside Mews Branch - Riverside Mews, Riverside Drive, Nairobi
- Sameer Park Branch - Sameer Park, Mombasa Road, Nairobi
- Strathmore Branch - Strathmore Student Center, Madaraka Estate, Ole Sangale Road, Nairobi
- Upper Hill Branch - KMA Centre, Junction of Chyulu / Mara Road, Upper Hill, Nairobi
- Village Market Branch - 3rd Level, Village Market, Limuru Road, Gigiri, Nairobi
- Windsor Branch - Ridgeways Mall, Kiambu Road, Nairobi
- Ongata Rongai Branch - Masaai Mall, Rongai Road Nairobi
- Delta Branch - Delta Towers, Westlands Roundabout Nairobi
- Lunga Lunga Branch, next to Tuskys Lunga Lunga, Industrial Area Nairobi
- River Road Branch - Sundries Plaza, Ground floor, River Road Next to Sagret Hotel Nairobi
- Kilimani Branch - Adlife Plaza, Kilimani Nairobi
- Kasuku Express Branch - Kasuku Center, Kileleshwa Nairobi
- Karen Branch - Water Mark, Business Plaza, Karen Nairobi
- Lavington Branch - 3rd Floor, Lavington Green Mall, Lavington Nairobi
- Kimathi Branch - Ansh Plaza, Kimathi Street Nairobi
- Madaraka Express Branch - Along Langata Road Opp Getrudes at TOTAL Gas Station Nairobi
- Bondeni Branch - Ground Floor, Suhufi Palace, Abdel Nasser Road, Mombasa
- Mombasa Branch - Ground Floor, Jubilee Building, Moi Avenue, Mombasa
- Nyali Branch - Nyali Plaza, Links Road, Mombasa
- Mtwapa Branch - Tuskys Mall, Mtwapa Mombasa
- Old Town Branch - Opposite Central Police Station Mombasa
- KPA Branch - KPA Mombasa
- Kilifi Express Branch - Kenol Kobil, Kilifi Road Kilifi
- Eldoret Branch - Utamaduni Building, Kenyatta Street, Eldoret
- Kisii Branch - Royal Towers, Hospital Road, Kisii
- Kisumu Branch - West Emporium, Oginga Odinga Street, Kisumu
- Kisumu Express - Naivas Mall, Jomo Kenyatta Road, Kisumu
- Malindi Branch - Links Road, Opposite Multi Grocers Limited, Malindi
- Nakuru Branch - Spikes Business Centre, Kenyatta Avenue, Nakuru
- Thika Branch - Nelleon Building, Kenyatta Avenue, Thika
- Machakos Branch - at Naivas House, along Mwatu wa Ngoma Rd., Machakos Town Machakos
- Garissa Branch - Lilac Plaza along Kismayu Road
- Narok Branch - Ol Talet Mall. Ground Floor, Opposite KCB Along Nairobi Kisii Highway Narok
- Kitale Branch - Nakumatt Mall, Mega Centre Kitale
- Kericho Branch - Ratan Plaza along Kenyatta Road Kericho
Governance