Pending receipt of various regulatory approvals in Kenya, Nigeria, Rwanda and Uganda, the transaction will be completed through a mixture of capital infusion in Fina Bank, and an acquisition of shares from the current shareholders.
Following completion of the transactions, the acquirer’s global presence will increase from existing seven to ten countries, as Fina Bank owns 92% stake in Fina Bank Rwanda and in Uganda through its fully owned Ugandan subsidiary.
Fina Bank had total assets of $338m, gross customer loans of $184m and customer deposits of $285m and the group manages 38 bank branches and has a workforce of 550 staff across the three countries, as of 31 March 2013.
The acquirer currently manages banking business in Ghana, The Gambia, Sierra Leone, Liberia, Cote D’Ivoire and the UK.
GTBank and the remaining shareholders of Fina Bank will also sign a shareholders’ agreement for hassle free transition of the governance and operations of the bank. It is also expected that GTBank may acquire further shares in due course.
The bank said in a statement, "The parties will enter into this agreement in the spirit of a close partnership, as they share common objectives, and see significant benefits and synergies for both institutions and their respective stakeholders resulting from the transaction."
