Republic to merge Cayman operations | Local company

REPUBLIC Bank on Tuesday announced plans to merge its operations in the Cayman Islands.
In a press release issued by one of its Cayman subsidiaries, Republic said Cayman National Bank Ltd (CNB) will acquire by way of merger, the banking operations of Republic Bank (Cayman), subject to all regulatory approvals. .
Republic further stated that the securities operations of Republic Bank Cayman will also be merged with the operations of Cayman National Securities Ltd (CNS). CNB and CNS will be the remaining entities after the mergers.
CNB, CNS and RBKY are all indirectly owned by Republic Financial Holdings Ltd (RFHL). The merger of these entities streamlines operations in the Cayman Islands and creates efficiencies, with no loss of service to customers or displacement of staff.
All RBKY Caymanians will continue to be employed within the Cayman National Group following the completion of the mergers, the press release said.
RFHL Chairman Nigel Baptiste said, “The merger of Republic Bank (Cayman) into the Cayman National Corporation group brings the RFHL group closer to streamlining our operations in the Cayman Islands. This decision will allow the RFHL Group to improve the experience of existing customers of Republic Bank (Cayman) Ltd by giving them access to a wider range of products and services and eliminating some of the duplication that currently exists between the two entities. .
Stuart Dack, CEO of CNC, said, “We are confident that this transaction will add great value to the Cayman National Corporation group and we look forward to welcoming both Republic Bank Cayman customers and staff.
Republic Bank Cayman will communicate more information about the proposed transition directly to its customers in the coming weeks. Subject to regulatory approvals, once the merger is complete, an announcement will be made, T&T Bank said.
Republic completed the acquisition of 74.99% of the issued shares of Cayman National Corporation, the holding company of Cayman National Bank, in March 2019.
The Port of Spain-based financial institution purchased 31,754,242 shares at an offer price of $6.25 per share for total consideration of $198,474,012.50.
In its offer of September 14, 2018, Republic proposed to acquire between 51 and 74.99% of the Cayman bank holding company. Subscriptions by shareholders of the holding company enabled Republic to acquire 74.99% of Cayman National Corporation.
Asked in an interview on October 3, 2018 about the factors that would determine Cayman National Bank Republic’s share count, Baptiste said, “The main concern of shareholders is undoubtedly the national symbol that Cayman Bank/Group represents and which sentiment is, I believe, what will determine shareholders’ willingness to sell.
“Our offer is very good but the price is not always the only determinant of these types of decisions. For our part, we believe that our record of similar acquisitions in other territories is the best illustration of the fact that this Bank will not lose its national identity and that there will be no reduction in the role it will play in the development of the Cayman economy.
“These are two of the reasons we were attracted to this operation and our intention will be to preserve both while improving the way the bank/group performs its role.”
In the interview, Baptiste said the Cayman Bank acquisition would be immediately accretive to Republic’s earnings, up to $0.50 per share depending on how much of Cayman Bank Republic might acquire.
During its financial year ended September 30, 2021, the Cayman Islands was the second largest source of after-tax profits for the banking group. The Cayman Islands generated $219.6 million in after-tax profit, representing 15.2% of Republic’s total after-tax profit attributable to shareholders of $1.44 billion.
T&T generated $671.7 million in after-tax profits, which represents 46.5% of the bank’s profits in its 2021 fiscal year, which ended September 30, 2021.