Co-operative Bank Moves to Split Banking Operations into Separate Subsidiary

Co-operative Bank of Kenya has announced plans to reorganize into a Non-Operating Holding Company structure, a move that would see the listed entity converted from an operating bank into a holding company sitting above its banking and other subsidiaries.

Under the proposed structure, the current listed entity would be renamed Co-opbank Group PLC and would cease to conduct banking business directly. A new wholly owned subsidiary, Co-op Bank Kenya Limited, would be incorporated to take over and carry on the banking operations currently conducted by the parent, with an initial core capital of KES 20 billion.

The reorganisation requires approvals from the Central Bank of Kenya, the Capital Markets Authority, the Cabinet Secretary to the National Treasury, the Registrar of Companies and other relevant regulators, in addition to shareholder approval at the forthcoming Annual General Meeting on 15th May 2026. The bank said the restructuring is intended to enhance operational efficiency and establish a more robust platform for growth and expansion

The bank declared a final dividend of KES 1.50 per share for the full year ended 31 December 2025, bringing the total payout for the year to KES 2.50 per share, including an interim dividend of KES 1.00 paid in December 2025. The final dividend is payable on 5 June 2026 to shareholders on the register at the close of business on 30 April 2026.