Nairobi, May 22 -- Mauritius-based private equity fund Shorecap III, LP has received Central Bank of Kenya (CBK) clearance to acquire a 20 percent stake in Credit Bank, deepening deals in the Kenyan banking sector.

CBK in a Monday notice said Shorecap will acquire the stake on June 15, 2023, following the approval of the deal on April 24. The Competition Authority of Kenya also cleared the deal in November last year.

"CBK welcomes this transaction that will diversify and strengthen the resilience of the Kenyan banking sector," said the regulator in a statement.

Shorecap is owned by ShoreCap III GP Limited, African Development Bank Group, CDC Holdings Guernsey Limited, European Investment Bank, KfW Development Bank and Oesterreichische ...