Zenith Bank has finalized its acquisition of Paramount Bank in Kenya, marking a major milestone in the Nigerian lender’s strategic expansion across the African continent.
The bank confirmed the deal’s closure in a statement signed by Company Secretary Michael Osilama Otu on Tuesday, though the financial terms were not disclosed. With this move, Zenith Bank becomes the fourth Nigerian bank to operate in Kenya, joining United Bank for Africa (UBA), Guaranty Trust Bank (GTBank), and Access Bank.
Strategic Significance
According to Zenith Bank, the acquisition involved the purchase of 100% of Paramount Bank Kenya Limited’s issued share capital, following approval from regulatory authorities in both Nigeria and Kenya.
“Further to our publication on November 18, 2025, Zenith Bank PLC is pleased to announce the completion of its acquisition of the entire issued share capital of Paramount Bank Kenya Limited following the receipt of all requisite regulatory approvals in Kenya and Nigeria,” the bank said in a statement. “This acquisition marks a significant step toward our long-term strategic growth agenda and a strong inroad into the East African markets.”
The bank emphasized that the move reinforces its position as a leading financial institution in Sub-Saharan Africa and underscores its commitment to serving customers wherever they operate.
Regulatory Clearance
The Competition Authority of Kenya (CAK) approved the acquisition in January 2026, clearing a critical regulatory hurdle for Zenith’s entry into East Africa’s largest financial market. The approval came with a condition that Zenith retain all 78 Paramount Bank employees for at least 12 months post-acquisition, a requirement the bank is expected to meet.
The CAK also noted that the acquisition poses no risk to market competition, as Zenith had no prior operations in Kenya, and that Paramount’s market share remains largely unchanged, with rival banks controlling over 99.8% of the market.
Expansion Context
Listed on both the Nigerian and London stock exchanges, Zenith Bank has been pursuing aggressive growth beyond its West African base. The acquisition of Paramount Bank aligns with its broader strategy of entering new markets, following in the footsteps of peers like Access Bank, UBA, and GTBank, which already have operations in Kenya.
The move comes amid growing Nigerian banking interest in East Africa, exemplified by Access Holdings’ $109.6 million acquisition of the National Bank of Kenya (NBK) from KCB Bank Group in 2025. Zenith Bank’s expansion is further supported by a N614.65 billion hybrid capital raise completed last year, which increased its capital base by 160%.