ECB rebrands to Spire Bank with new plan for growth

pace with peers in the banking sector.

The bank has re branded to Spire Bank as its new owners, Mwalimu National Sacco, look to make the bank competitive. With the change in image, the bank’s strategy will focus on small and medium enterprise banking and introducing new banking products.

Speaking during the unveiling of the new brand, Spire Bank Managing Director Tom Gitonga emphasized the need for the bank to become aggressive in its search for market share.

“We have solutions that are well tailored towards the need of the SME, because even with adequate funding without proper infrastructure the business will fail,” Mr Gitonga said.

Mwalimu National Sacco acquired a 75 percent stake in the bank for Sh2.5 billion.

The tier three bank announced a net loss of Sh486 million for 2015, but is looking to bounce back.

The bank is now aiming to growing its banking business through the provision of retail, SME and corporate banking products. Spire has also set up an insurance brokers unit to take advantage of bancassurance.

The bank also plans to enter into an agency banking agreement with Mwalimu sacco by August.

“The arrival of our new shareholder who is dynamic has given us a fantastic opportunity of expansion. We are targeting to improve our foot print. At the moment we already have two branches in Kakamega and Machakos,” Mr Gitonga said.

A number of small banks in the country have been seeking new capital to meet Treasury requirements to raise core capital to Sh5 billion by 2018. This has opened the space for mergers and acquisitions with at least three banks getting new shareholders injecting cash.