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Business News of Monday, 10 December 2018

Source: dailyguideafrica.com

Energy Bank engages investors to meet deadline

Energy Commercial Bank Limited (ECBL) has indicated that it’s currently in talks with some strategic investors to acquire a stake in the bank through a private placement in order to meet the minimum capital requirement of GH¢400 million of the Bank of Ghana (BoG).

The discussions are expected to be completed soon to enable the bank recapitalize to the tune of GH¢400 million by the December 31, 2018 deadline given by the Central Bank.

By the foregoing, the bank is refunding all monies paid for the Energy Commercial Bank Limited (ECBL) shares under the Initial Public Offer (IPO) that ended a few weeks ago.

The ECBL IPO consisted of an offer for subscription of 261,538,462 new ordinary shares of Energy Commercial Bank Limited to raise GH¢340 million on the main board of the Ghana Stock Exchange (GSE).

As stated under paragraph 1.7 of the offer document and in accordance with Section 284 of the Companies Act, 1963 (Act 17), all monies paid for ECBL shares under the offer are to be returned to the receiving banks and receiving agents for onward distribution to applicants after the offer period has ended, if the minimum amount target is not met.

The minimum amount that was expected to be raised for the offer to be declared successful was GH¢68,000,000.

Refunds will be available at the registered offices or branches of the respective receiving agents and receiving banks from 14 December 2018.

All applicants should ensure that they have proof of their application (e.g. receipt) and proof of identification when they contact the respective receiving agents or receiving banks.

Energy Commercial Bank presently operates 12 branches in Ghana- five in Accra, three in Kumasi, and the rest in Tema, Takoradi and Tamale.