Prime News Ghana

BoG to declare uniBank’s takeover of ADB null and void

By PrimeBusiness
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The Bank of Ghana, BoG will later today March 7, 2018, denounce as null and void, the purported takeover of ADB Bank, Agricultural Development Bank by uniBank Ghana Limited.

The Bank of Ghana’s stance on the current takeover will be announced by the central bank’s Governor, Dr Ernest Addison.

A source familiar with the BoG’s position on the matter said in confidence that the stance by the banking sector regulator is informed by the fact that uniBank as an entity does not have majority shares in ADB.

The decision by some shareholders of ADB to pledge their shares, proceeds, entitlement and voting rights to uniBank, leading to the alleged takeover was also not sanctioned by the BoG, the source added.

“The thing is uniBank does not, in their own, have a majority shareholding in ADB but what happened was some shareholders of ADB promised to support uniBank at the board level.

“But if someone pledges to support you, do you go out there to say you have taken over a bank? But can you even take over a bank without permission from the regulator,” the source asked?

“You see the funny part, the regulator does not know anything about this; they had no faintest of ideas because nothing of that sort had come to their attention,” it added.

The source added that BoG’s position on the matter, expected before the close of Wednesday March 7, will render the action of Belstar Capital, Starmount Development Company Limited, EDC Investments Limited and SIC-FSL – shareholders of ADB null and void.


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Credit: Graphic Online