Nigeria’s Zenith Bank Plc has cleared a major regulatory hurdle to its entry into Kenya, with the Competition Authority of Kenya (CAK) approving its plan to acquire 100% of Paramount Bank Ltd.
The clearance, announced Thursday, is conditional on Zenith retaining all 78 Paramount employees for at least a year post-acquisition. The regulator said the deal poses no competition risks but noted employment as its main public-interest concern.
The ruling comes amid mounting pressure on small Kenyan lenders to meet new capital rules that could triple minimum core capital requirements by 2029. Paramount, a Tier III bank ranked 33rd out of 39, is among those seeking stronger investors.
Zenith—Nigeria’s second-largest bank by assets and listed in Lagos and London—has no Kenyan operations and is awaiting approvals from the Central Bank of Kenya and Nigerian authorities. The deal is part of its broader push into East Africa, following rivals Access Bank, UBA, and GTBank.
If completed, the acquisition will give Zenith an instant foothold in a market where regulation-driven consolidation is reshaping the banking landscape.
