As part of its ongoing strategic expansion, Republic Financial Holdings Limited (RFHL) has announced the completion of its acquisition of a majority interest in the Cayman National Corporation Limited (CNC).
Republic Financial Holdings Limited is the registered owner of all of the banks in the Republic Bank Group which includes Republic Bank (Guyana) Limited.
The CNC Group was established in 1974 and has five subsidiaries: Cayman National Bank Ltd., Cayman National Fund Services Ltd., Cayman National Securities Ltd., Cayman National Bank (Isle of Man) Limited, and Cayman National (Dubai) Ltd. It is the largest financial services company based in the Cayman Islands, providing banking, trust and company management, fund administration, and wealth management services to clients in the Cayman Islands and around the world.
The RFHL in a press release disclosed that this transaction comprised the purchase of 74.99% of the issued shares in CNC at an offering price of US$6.25 per share by RFHL’s Barbadian subsidiary, Republic Bank Trinidad and Tobago (Barbados) Limited. The overall cost of the transaction was US$198,474,012.50. As a result of this transaction, the asset base of the RFHL Group will increase to approximately US$12 billion. For its fiscal 2018 (October 2017 to September 2018), CNC recorded profit after tax of US$26.5 million, the RFHL release added.
According to RFHL Chairman, Ronald F. deC. Harford, “The acquisition of CNC will allow us to combine and leverage the talents of our two world-class organisations. We are particularly eager to learn from Cayman National’s experience in international financial services and serving high net worth clients. We are pleased to welcome both the employees and clients of the CNC Group to the Republic Family.”
RFHL has confirmed that all employees of the CNC Group will remain following the acquisition of the majority shareholding, and that the Bank will not be rebranded. “Cayman National is a leading full-service institution in one of the world’s most sophisticated financial centres, its brand is resilient and strong, and its management and employees are a critical part of that brand strength.” Harford was quoted as saying.
The Group operates in several territories, including Barbados, Cayman Islands, Grenada, Ghana, Guyana, St. Lucia, Suriname, and Trinidad and Tobago. The pending acquisition of the nine ScotiaBank operations in the Eastern Caribbean, St. Maarten and Guyana is ongoing and currently receiving the attention of all the relevant regulatory bodies.
