Who Is Behind the Acquisition of Gulf African Bank?

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The Competition Authority of Kenya (CAK) approved the acquisition of Gulf African Bank (GAB) by Dubai-based Soren Investment Company Ltd on May 16, 2025.

The deal places one of Kenya’s leading Islamic financial institutions under foreign ownership and signals a new phase of regional and sectoral integration for both entities.

Who is Soren Investment Company Ltd?

Soren Investment Company Ltd is a privately held investment firm incorporated on February 27, 2019, and headquartered at the Dubai International Financial Centre (DIFC).

The company specializes in managing investments across agriculture, commercial enterprises, and industrial sectors. Despite sharing a similar name with India-based Sorin Investments, which focuses on early-stage technology startups, the acquiring entity is the UAE-registered Soren.

Why Did Soren Acquire Gulf African Bank?

Gulf African Bank, operational since 2008, was Kenya’s first fully-fledged Islamic bank. The acquisition gives Soren a foothold in East Africa’s Islamic finance sector, aligning with growing demand for Sharia-compliant banking in Kenya.

It also provides a platform for geographic expansion. GAB has previously indicated plans to enter Uganda and Tanzania, regions with increasing economic integration under the East African Community (EAC).

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The acquisition supports Soren’s strategy to diversify its investment portfolio by adding financial services to its existing focus areas. It also enables market penetration in Kenya’s banking industry, which comprises 46 licensed institutions.

Gulf African Bank’s existing customer base, branch infrastructure, and regulatory standing provide a ready-made entry point.

What Will Change for GAB Customers and Employees?

The Sharia-compliant model is expected to continue under the new ownership. GAB’s identity is deeply rooted in Islamic banking principles, including interest-free lending and profit-sharing models such as Murabaha. Soren, operating from a region where Islamic finance is prominent, is unlikely to alter this structure.

Customers may see enhanced service delivery through potential digital upgrades and product diversification, especially in SME financing and trade finance. GAB has already prioritized digital banking and agency services, areas where Soren could accelerate growth.

While some branch or service consolidations are possible, GAB’s customer retention focus suggests minimal disruption.

Is the Acquisition Part of a Wider Trend in Kenya’s Banking Sector?

Yes. Kenya’s banking sector has seen a wave of consolidations. The Gulf African Bank transaction follows recent deals such as Access Bank’s acquisition of National Bank of Kenya, approved earlier in 2025.

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The Central Bank of Kenya and the CAK have supported such mergers to improve efficiency and capital adequacy. Foreign investors are increasingly drawn to Kenya’s position as a regional financial hub, especially within the context of East Africa’s economic integration.

What Made Gulf African Bank an Attractive Target?

Gulf African Bank posted a KSh 1.35 billion profit in 2024, a 30% rise from the previous year. Its total assets grew by 6.6% to KSh 44.9 billion, while customer deposits increased by 5.2% to KSh 35.8 billion.

GAB also reported a core capital of KSh 8.16 billion, up 19.6%, and a liquidity ratio of 45.5%, well above the Central Bank of Kenya’s 20% threshold. Its capital adequacy ratio stands at 19.1%.

Institutional investors such as Istithmar PJS (32%) and the International Finance Corporation (16%) already hold majority ownership in GAB, offering stability and credibility that likely reassured Soren.

What’s Next?

As regulatory approvals are now in place, attention will turn to how Soren integrates Gulf African Bank into its portfolio.

With potential investments in digital infrastructure, regional expansion, and Sharia-compliant offerings, the acquisition sets the stage for broader participation in East Africa’s banking sector, particularly in the growing Islamic finance niche.

Jefferson Wachira is a writer at Africa Digest News, specializing in banking and finance trends, and their impact on African economies.