Display options Mobile website

Business News of Monday, 19 November 2012

Source: Daily Graphic

CDH and Phoenix to merge

Transnational Holdings, the majority shareholders of CDH Financial Holdings Ltd, and CDH Investments, the majority shareholder of Phoenix Holdings Ltd, are presently engaged in negotiations to explore the possibility of merging the two financial service companies. Promoters say the merger can create a level of synergy that could make the new group an entity to generate greater shareholder value.

CDH Financial Holdings comprises Ivory Finance Company Ltd, CDH Commodities Ltd—a licensed buyer of cocoa, grains and steel—CDH Securities Ltd, a broker-dealer and a licensed dealing member of the Ghana Stock Exchange, and CDH Asset Management Ltd, asset and pensions fund manager.

CDH also holds a 20 per cent stake in Accra City Hotel Ltd (Novotel Accra).

Phoenix Holdings is made up of Phoenix Insurance Ltd and Phoenix Life Assurance Company Ltd. Both subsidiaries are listed among Ghana’s Club 100 companies.

CDH sold its stake in CDH Insurance (now trading as Nsia Ghana) in 2009, as part of the restructuring process of the group.

A source close to the merger talks said the restructuring process had reached a crucial phase, with the possible merger of CDH and Phoenix.

The Chairman of Phoenix Insurance, Mr Divine Letsa, confirmed the merger negotiations, adding that details would be made available at the right time.

The Group Chief Executive Officer of CDH Financial Holdings Ltd, Emmanuel Adu-Sarkodee, also confirmed the on-going merger discussions.

Comments:
This article has no comments yet, be the first to comment