The shareholders of Kenya's Sidian Bank Ltd. approved the lender's capital increase of 1.5 billion Kenyan shillings via rights issue.

The new capital will be used to meet the bank's goal of becoming a Tier 2 lender — the middle of three tiers in Kenyan banking — by 2022, according to a March 26 release. Sidian Bank said the proceeds would be used to further invest in its trade finance business, strengthen its loan book, set up an internet banking platform and open a new branch, among other activities.

Centum Investment Co. Ltd., the lender's biggest shareholder, has subscribed its full rights of about 1.1 billion shillings, the bank added.

As of March 26, US$1 was equivalent to 100.8 Kenyan shillings.