Bank of Ghana approves Omni Bank, Sahel Sahara Bank merger

Bank of Ghana approves Omni Bank, Sahel Sahara Bank merger

The Bank of Ghana has approved a merger between OmniBank Ghana Ltd and Sahel Sahara Bank (BSIC).

The consent was contained in a letter written from authorities of the central bank to the Managing Directors of the two banks.

Bank of Ghana approves Omni Bank, Sahel Sahara merger
Omni Bank Ghana Ltd. Source:
Source: UGC

The request for approval has been with the central bank since August 3, 2018, according to BoG’s letter.

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The two banks agreed to come together following the increase in the minimum capital requirement for commercial banks from 120 million Cedis to 400 million Cedis.

The Bank of Ghana however maintained that the approval was subject to some six (6) conditions which should culminate in the regulator’s ultimate acceptance of the merger.

The conditions include that the two banks complete capital verification exercises in respect of the fresh capital injection of GH¢13,800,000 by shareholders of Omnibank.

Also, the two entities are expected to submit a signed agreement between the Ghana Amalgamated Trust Limited (GAT) and the Pension Funds confirming the availability of the GH¢120,000,000 for the proposed capitalization of OMNIBSIC bank.

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The two banks have also been asked to submit resolutions by their respective boards and shareholders and the GAT confirming the capitalization.

Meanwhile, the Bank of Ghana is seeking a shareholders agreement between Omnibank, BSIC Bank and the Ghana Amalgamated Trust stating the new shareholding structure.

Furthermore, there is to be the submission of draft regulations of the combined entity as well as submission to the central bank, copies of the forms and other documents filed at the Registrar General’s Department in furtherance of the merger.

The Bank of Ghana Governor, Dr. Ernest Addison said in November 2018 that twenty-two (22) banks have met the requirement out of the 30 banks.

He indicated that out of the total number, two were mergers.

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