Nairobi, Jan. 22 -- The Competition Authority of Kenya (CAK) has approved the acquisition of Kenya's Paramount Bank by Nigeria's Zenith Bank Plc, on condition that the Lagos-headquartered lender retains current staff for at least a year.

The parties were obligated to disclose the transaction to the competition watchdog, as the impending deal qualifies as a merger under the Competition Act.

In its determination, the CAK stated that the transaction would not prevent competition within the banking industry or result in negative public interest concerns.

"Premised on the foregoing, the Authority approved the proposed acquisition of 100 percent shareholding of Paramount Bank Limited by Zenith Bank Plc, on condition that the acquirer retains...