First National Bank Ghana (FNB) has announced to its customers that it has acquired a 100 percent stake in the Ghana Home Loans Bank (GHL) effective May 5, 2020.
According to a communique by First National Bank Ghana, the transaction has been approved by the regulators and the boards of the two banks with GHL bank becoming a subsidiary of the First National Bank Ghana.
The bank says further developments will be communicated in due course.
First National Bank Ghana in 2019 received a ‘no objection’ notice from the Bank of Ghana to initiate engagements with GHL Bank for a possible takeover.
Checks indicate that this move was part of interventions being made to avoid GHL Bank lose its license and it was being influenced by some difficulties GHL Bank is facing in meeting Bank of Ghana’s (BoG) GHC 400,000,00 minimum capital requirement by the end of 2019
This development came about because GHL Bank’s major shareholder, a Private Equity firm based in Dubai has indicated its inability to contribute to the bank’s recapitalization drive to meet in the new minimum capital requirement for universal banking.
QUESTIONS AND ANSWERS about THE First National Bank Ghana and GHL Bank merger
• What does this mean for customers of GHL Bank?
GHL Bank remains the nation’s leading provider of mortgage financing and FNB is one of the largest banks in Africa and a member of the FirstRand Group, a dominant player in global banking. Customers will, therefore, benefit from an even wider range of products and services as a result of these institutions successfully coming together.
• What does this mean for other GHL stakeholders – estate developers, service providers, vendors etc.
Again, everything remains unchanged. Our processes shall continue as before while the merger discussions proceed. As and when there are any changes, an official notice will be communicated to the necessary parties.
• When will this merger process be completed?
As quickly as possible. However, completion of this process is subject to customary closing conditions, including obtaining the requisite regulatory approvals from both Ghana and South Africa. When the process is satisfactorily completed, we will communicate that to you.
• Will any of your branches be closed as part of the process?
All our branches, ATMs, Internet Banking and Mobile app will remain functional. If need be, you may also walk into any of our branches from Monday to Friday between 8:00 am – 4:00 pm and on Saturdays between 9:00 am – 2:00 pm. Our omni-channel platform continues to deliver around-the-clock banking experience for your convenience.
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In the event of any specific concerns and questions – please contact us on 080 077 0522 or email clientexperience@ghlbank.com. We thank all our customers and stakeholders for their loyalty and continued patronage of our products and services.
Read First National Bank’s communique sent to customers
Dear valued customer, we are pleased to announce that First National Bank Ghana has acquired a hundred percent of GHL Bank. Effective 5th, May 2020, GHL Bank will become a subsidiary of First National Bank Ghana.
The transaction has been approved by the regulators and the boards of the two banks. You are advised to continue doing business with First National Bank. New developments will be communicated in due course.
