• Monday, July 15, 2024
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Greenwich Merchant Bank gets CBN approval-in-principle for HoldCo structure

Greenwich Merchant Bank gets CBN approval-in-principle for HoldCo structure

Greenwich Merchant Bank has secured Approval-in-Principle (AIP) from the Central Bank of Nigeria (CBN) to transition into a Holding Company (HoldCo) structure to enhance efficiency.

The Holding Company, to be named ‘Greenwich Holdings Limited,’ will oversee a diverse portfolio of existing financial services entities comprising Greenwich Merchant Bank Limited, Greenwich Asset Management Limited, Greenwich Securities Limited, Greenwich Trustees Limited, as well as proposed new ventures in the financial services sector.

This announcement was made by Kayode Falowo, bank’s Chairman, at the recently concluded Annual General Meeting (AGM) of the bank held in Lagos.

Each subsidiary, operating within its specialised domain under the overarching umbrella of Greenwich Holdings Limited, will foster synergy, efficiency, and strategic alignment across the group’s operations.

Speaking on the significance of this transition, Kayode Falowo, Chairman of Greenwich Merchant Bank, stated that this strategic move will enable Greenwich Group to streamline operations, enhance efficiency, and unlock new growth opportunities. “We are committed to leveraging this structure to deliver superior financial products and services to our esteemed clientele,” he stated.

Falowo further characterised the approval-in-principle to transit into a Holding Company as a pivotal moment in the bank’s journey towards enhanced competitiveness and market leadership, solidifying its position as the go-to institution for delivering comprehensive financial services tailored to meet the evolving needs of its clientele.

The HoldCo AIP, as explained by Falowo, signifies more than just a regulatory green light; it represents a strategic milestone that will enable the bank to optimize its operations and explore new avenues for growth. “We are committed to leveraging this structure to deliver superior financial products and services to our esteemed clientele, and continue to contribute to Nigeria’s economic development,” he stated.

Falowo also noted the importance of meeting the CBN’s recently announced minimum capital requirement for banks. “Addressing this proactively through our Right Issue, which started prior to the Apex bank’s announcement, is a crucial step towards ensuring long-term financial stability and opening up future growth prospects,” he said. He further revealed that the bank has completed the Right Issue, which is currently awaiting CBN approval. Once approved, this will bring the bank to about 60 percent of the required capital, with ongoing processes to meet the balance within the coming months.

Benson Ogundeji, acting managing director/CEO, Greenwich Merchant Bank, echoed the Chairman’s sentiment, expressing optimism about the bank’s prospects, and citing the HoldCo approval-in-principle as a testament to the bank’s resilience and strategic foresight. “This regulatory nod reaffirms confidence in the bank’s ability to adapt and thrive in a dynamic financial landscape, positioning us for sustained growth and value creation for our stakeholders”.

Founded on a commitment to provide high-end financial products and services to select clientele across various sectors of the economy, Greenwich Merchant Bank has consistently differentiated itself through its deep industry insight, and its dedication to building strong relationships, exceeding clients expectations.

The transition of Greenwich Merchant Bank to a holding company will not only represent a significant milestone for the institution, it will also hold broader implications for Nigeria’s economic development. By leveraging its diversified offerings and strategic positioning, Greenwich Holdings Limited is poised to contribute to Nigeria’s journey towards sustainable economic growth and prosperity. It will facilitate increased access to capital through its subsidiaries, supporting entrepreneurship and innovation, promoting investment and economic growth, and contributing to the overall resilience of the Nigerian financial sector.

It will be recalled that in 2020, CBN granted Greenwich Merchant Bank a licence to operate as a merchant bank in the country, thus allowing the bank to offer diverse services in Corporate Banking, Investment Banking, Treasury and Global Markets, Wealth and Asset Management, Securities Dealing, etc.

As Greenwich Merchant Bank embarks on this transformative journey, it remains steadfast in its commitment to delivering superior value and strengthening its standing as the preeminent partner for clients in Nigeria’s dynamic financial services sector.

Greenwich Merchant Bank (GMB) is a leading merchant bank owned by reputable corporate and private investors. The Bank has its headquarters in Lagos, Nigeria with a focus on high end financial products and services to select clientele in targeted sectors of the economy. With a comprehensive suite of services spanning Corporate Banking, Private Banking, Investment Banking, Asset & Wealth Management, Treasury & Global Markets and Securities Trading, Greenwich Merchant Bank is dedicated to driving economic growth and prosperity in Nigeria and beyond. The Bank is rated BBB (NG) Long Term, and A3 (NG) Short Term with a Stable Outlook by Global Ratings Agency, GCR, and BBB with a Stable Outlook by Agusto & Co.