In T&T: First Citizens cleared to buy Butterfield Bank

29 August 2012

Local bank (officially) set to makes waves just north of our shores…USD 45mm worth!

State banking group First Citizens announced yesterday that regulators in both Barbados and Trinidad and Tobago have approved the purchase of Butterfield Bank (Barbados) Ltd by the local Group and that payment has been made by First Citizens for 100 per cent of the shares of Butterfield Bank (Barbados) Ltd from the Bank of NT Butterfield & Son Ltd.

A CMC media report out of Bermuda yesterday said the shares cost First Citizens US$45 million.

Bank of Butterfield is Bermuda’s oldest and second largest bank.

This acquisition represents an ideal opportunity for First Citizens to achieve its strategic objective to actively seek potential assets within the region and beyond.

In two to three weeks the doors of the current Butterfield Bank (Barbados) Ltd will be open to the public under the name First Citizens Bank (Barbados) Ltd.

Until such time the bank will continue to be run under the Butterfield Bank (Barbados) Ltd name even though it is legally owned by First Citizens, the bank said in a statement yesterday.

Acting Group CEO at First Citizens Larry Nath said: “Butterfield’s employees and customers are a good fit with the First Citizens business model and we welcome them wholeheartedly and look forward to serving them as members of the First Citizens family.”

Nath said: “First Citizens intends to strengthen its commitment to Barbados. Not only is this the first acquisition of a retail bank outside of our home base, giving First Citizens the opportunity to expand its operations in Barbados, but it also represents an opportunity for Butterfield Bank (Barbados) Ltd to become a much larger financial institution.”

Glyne Harrison, Acting CEO at Butterfield Bank (Barbados) Ltd said: “We recognise that the solid financial platform built by Butterfield Bank (Barbados) Ltd was one of the attributes which attracted the First Citizens Group to this vibrant banking institution.”

Harrison added: “A First Citizens Bank (Barbados) Ltd customer will benefit from a full range of broader, more competitive offerings in retail, corporate and merchant banking services as well as asset management, trustee and brokerage services.”

The First Citizens Group has assets of almost US$5 billion and equity of over US$800 million.


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