HFC, Republic Bank Go To Court

By Samuel Boadi

By Samuel Boadi



Asare Akuffo- MD, HFC (L) and David Dulal-Whiteway, CEO, RBTT (R)

At a commercial court in Accra yesterday, HFC Bank and Republic Bank of Trinidad & Tobago (RBTT) Limited, began a legal battle to determine whether efforts by the latter to occupy the former was appropriate.

HFC Bank is arguing that there was a breach of procedure in the execution of the Securities & Exchange Commission’s code on takeovers and mergers, for which reason it is calling for an interlocutory injunction to be placed on the takeover by RBTT.

HFC is also said to have dragged the SEC to court over the issue.

However, the court adjourned the case to June 23, 2014 after it had heard both parties.

HFC Bank recently added 280,000 ordinary shares to its number of issued shares, bringing the total number of issued shares to 296,360,918

‘We have played pioneering role in the development of the mortgage industry in Ghana and continue to be the number one home loan provider in the country,’ Asare Akuffo, Managing Director of the bank disclosed.

Shareholders of HFC Bank Ghana Limited last year gave the nod for the bank to raise GH¢50 million from a private placement.

This was to increase its stated capital from GH¢45 million to GH¢95 million.

The private placement was also opened to the 10 largest shareholders, including SSNIT, Union Bank of Nigeria, Ghana Union Assurance and COCOBOD.

In addition, the shareholders also passed a special resolution to enable the bank acquire up to a maximum of five percent of its issued share capital in order to prevent the depreciation of its stock on the capital market.

By Samuel Boadi
 
 
 
 

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