Deal confirmed between Scotiabank and Banco de Progreso
On Tuesday, 14 August 2018, The Bank of Nova Scotia (Scotiabank) made the formal announcement that an agreement had been reached amongst shareholders for the bank to acquire Banco de Progreso, subject to regulatory approval within the next three weeks.
Clavet Group Ltd and Fletchwood Ltd, hold 86.84% and 10.58% of the shares of Banco de Progreso have put their combined shares of 51.83 million up for sale at US$6.33 each, giving a total of US$328 million, which is around RD$16.3 thousand million.
With this acquisition, Scotiabank will become the fourth largest bank in the country behind Banco de Reservas, Banco Popular and Banco BHD-Leon.
Banco del Progreso has 57 branches in the country, 188 ATM machines, more than 160 sub agencies and more than 250,000 personal and business clients. Banco del Progreso has around 1,430 employees, while Scotiabank employs 2,000.
Scotiabank has been operating in the country since 1920, with 58 branches, 120 ATMs and 2,000 employees.
In a note to its clients, Banco del Progreso stated that bank customers would soon have access to a much wider network of branches, a wider range of products and services. The bank advanced that nothing would be changed in terms of branches, operations or products until regulatory approval has been granted. At that time, the Banco del Progreso brand would be replaced with the Scotiabank branded products and services.
Source: DR1, Eldia
Aug 18, 2018
Category: DR News |