GEORGE TOWN, Cayman Islands (CNS) — Republic Financial Holdings Limited (RFHL) has completed its contentious acquisition of Cayman National Corporation Ltd, having purchased the equivalent of 74.99 percent of the once wholly Caymanian-owned bank at US$6.25 per share. The transaction cost the Trinidad-based bank just under US$198.5 million, according to a press release. Republic has said that all of the current CNC employees will remain that the bank will not be rebranded and that it will continue to be publicly traded on the Cayman Islands Stock Exchange.
“Cayman National is a leading full-service institution in one of the world’s most sophisticated financial centres, its brand is resilient and strong, and its management and employees are a critical part of that brand strength,” Republic chairman Ronald Harford stated as the deal closed. “We do not want this to change. It will continue to be the same bank known, loved, and run by a very strong and experienced team of Caymanians.”
The former president of the bank, Ormond Williams, recently filed a lawsuit after he was unexpectedly fired after 15 years in the job, but senior officials denied that his dismissal is related in any way to the sale of the majority shares in the CNB to Republic.
In February, just ahead of the completion of the sale, the former chief of Deutsche Bank (Cayman) Ltd, Janet Hislop, was appointed as Williams’ replacement. So far, there have been no indications of any other pending staff changes.
In the press release about the closing of the deal, Harford said the two institutions shared the same ideals on values, business processes and opportunities.
“The CNC acquisition will allow us to combine and leverage the talents of our two world-class organisations. We are particularly eager to learn from Cayman National’s experience in international financial services and serving high net worth clients,” he added.
As a result of this transaction, the asset base of the RFHL Group will increase to approximately US$12 billion.
Republished with permission of Cayman News Service