NASSAU, BAHAMAS — CIBC today announced that the transaction that would have seen GNB Financial Group Limited acquire a majority stake in FirstCaribbean International Bank Limited will not proceed as it did not receive approval from FirstCaribbean’s regulators.
In a statement, Colette Delaney, CEO, FirstCaribbean, said: “While this transaction would have supported FirstCaribbean’s long-term growth prospects, it is only one way of supporting growth for our bank going forward. CIBC has held a majority ownership stake in FirstCaribbean for a number of years, and there exists an excellent working relationship with a shared focus on meeting the needs of our clients.”
She added: “FirstCaribbean is a strong, well-run bank which is adjusting sensibly to the economic reality of the pandemic and is well-positioned to recover as the economies of the region recover. We remain laser-focused on delivering on our strategy — providing our clients with first-class service through a modern everyday banking experience and providing our employees with the best possible work experience.”
Under the proposed deal announced back in late 2019, GNB would have acquired 66.73 percent of the shares of FirstCaribbean, which was subject to the approval of local regulators. CIBC would have retained 24.9 percent interest in the Caribbean bank.
GNB is wholly owned by Starmites Corporation S.ar.L, the financial holding company of the Gilinski Group. The Gilinski Group, headed by Jamie Gilinski, has banking operations in Colombia, Peru, Paraguay, Panama and the Cayman Islands with approximately US$15 billion in combined assets.
First Caribbean is located in 16 countries around the Caribbean, providing banking services through approximately 2,900 employees in 64 branches and offices.
Loading ...
