The partnership will allow the two Investment Banking players to collaborate closely on their respective research, sales and trading platforms.
Under the arrangement, EIB will execute Kenya and East Africa fixed income and equity trades for Exotix’ international and regional institutional clients. EIB’s Equity and Fixed Income sales team will be integrated within Exotix’ Global Frontier sales teams.
The EIB research team will follow a sector specialist research approach across East Africa, and will be integrated into the wider research team of Exotix. The parties have agreed to co-brand all research published under the collaboration, including all current East African research published by Exotix. EIB will leverage Exotix’s international distribution capability on East Africa research, giving EIB global reach and visibility. Over time, the scope of the collaboration may extend to the provision of capital market advisory services in the East Africa region.
Based in London and featuring regional offices in Dubai and New York, Exotix is a boutique investment bank specializing in illiquid bonds and loans, equities, structured finance and capital raising. On the other end, Equity Investment Bank is a member of the Nairobi Stock Exchange and is locally licensed to provide investment banking services including stock brokerage.
Speaking when he confirmed the development, Equity Bank Group, Managing Director and CEO, Dr James Mwangi, described the collaborative agreement with Exotix as one of the key efforts to revitalize Equity Investment Bank’s capacity as a key player in the local and regional investment banking market.
Said Dr Mwangi,”This collaboration is testament to Equity Bank Group’s desire to leverage world class partnerships for the best interests of its customers and clients. It will drive Equity Investment Bank’s ambitious agenda to become a leading brokerage and investment banking firm in Kenya and East Africa serving local and international institutional investors alongside local retail investors.”
On his part, Exotix CEO Mr. Phillip Southwell described the partnership with Equity Investment bank as a “logical step” geared at deepening the two firms’ delivery capacity.
“This collaboration is very exciting for Exotix and its clients. Partnering with a leading East African bank, with such a strong position in Kenya, is a logical next step in our growth strategy. This move will build on Exotix’ existing African capability, and make the most of our existing offering,” Southwell said. Ali Khalpey, Global Head of Equities of Exotix added: “I am delighted to announce this collaboration with Equity Bank, and look forward to meeting the demand for our compelling offering in East Africa. This is a strong signal of our intent to grow in Africa and Frontier Markets, following the recent expansion of our equities team across research, sales and trading.”
The collaboration, which is subject to local regulatory approvals, will leverage the strengths and networks of Equity Investment Bank and Exotix to provide a broad spectrum of East African fixed income and equity research to institutional investors whilst also providing access to capital markets in the East Africa region.