I&M Group PLC has completed a Sh4.19 billion fundraiser through the sale of 86.5 million new ordinary shares to East Africa Growth Holdings, a special purpose vehicle backed by global institutional investors AfricInvest, FMO, and Norfund.
The new shares were sold at Sh48.42 each—81 per cent higher than the average market price over the previous 30 days.
The transaction increases EAGH’s stake in I&M Group to 15.14 per cent, making it the company’s fourth-largest shareholder.
The funds raised will be used to support I&M’s ongoing strategy focused on digital transformation, regional expansion, and new growth initiatives under its iMara 3.0 plan.
“This capital raise is a strong endorsement of I&M’s strategy and the Group’s vision to become Eastern Africa’s leading financial partner for growth. We are proud to partner with such experienced and purpose-driven investors,” said I&M Group director, corporate advisory & sustainability Gauri Gupta.
He added that the investment consortium brings together three experienced development-focused investors.
AfricInvest, based in Tunisia, has financed over 230 companies across Africa; FMO, the Dutch development bank, has a history of investing in sustainable private sector growth for more than 50 years; and Norfund, Norway’s investment fund for developing countries, focuses on building sustainable businesses in emerging markets.
The deal received shareholder approval during an Extraordinary General Meeting held on December 10.
I&M Group said the capital injection will help accelerate its plans for expansion into new markets and enhance its retail and MSME (micro, small and medium enterprises) offerings.
“This investment will play a pivotal role in enabling I&M Group to realise its long-term ambitions of geographical expansion and sustainable growth,” said the lenders chairman Oliver Fowler.
The investment also follows a recent visit by the Dutch Minister for Foreign Trade and Development, Reinette Klever, who led an FMO delegation to I&M’s Nairobi head office during a state visit to Kenya. Discussions during the visit focused on strengthening existing partnerships and exploring future collaboration opportunities.
EAGH’s increased stake in I&M marks a deepening of ties between the bank and long-term development financiers, as Kenya's financial sector continues to attract interest from global investors seeking to support financial inclusion and economic growth in Eas
