FirstCaribbean International Bank has set its sights on acquiring ABN AMRO in Curacao in another move that would further solidify the chain as the largest regionally listed financial services institutions in the Caribbean region.
Officials announced their plans this week, explaining that they intend to take control of the ABN AMRO’s international banking and asset management business.
But the Central Banks of Curcao must first approve the transaction.
“We see the proposed acquisition of ABN AMRO’s Curcao operations as another step in what should become a much bigger commitment to the entire region we serve,” said Charles Pink, chief executive officer of FirstCaribbean. “Curacao itself offers a favourable jurisdiction for international banking and has developed as a professional financial centre with the presence of leading accountancy firms and well regarded financial institutions.”
ABN AMRO decided to sell off its Curacao business following a strategic review in which it concluded that as a dedicated and specialized international financial service provider, it would be an excellent fit with FirstCaribbean, which was fully focused on international banking in this region.
Executives of the Curacao bank said they had carefully selected FirstCaribbean as the buyer for the international banking and asset management business.
The move is being considered as a pivotal one in enhancing FirstCaribbean’s current corporate and private banking businesses.
“We are convinced that FirstCaribbean is the right partner to continue to enhance the service we offer to our clients. The combination of our expertise and value added products, combined with FirstCaribbean’s leading position will result in superbly focused provider of international financial services, offering excellent opportunities for both our clients and our staff,” said Pim van der Burg, senior vice president and managing director of ABN AMRO Curacao.
Curacao would be the seventeenth country with a FirstCaribbean presence in the last three years. ABN AMRO has long had corporate and retail banking operations in the northern Antilles, Saint Maarten, Saba and Saint Eustatius.
It has assets in excess of $1 billion and manages assets of more than $800 million.
First Caribbean is listed on five regional stock exchanges and has a balance sheet of over $9 billion and according to Standard and Poor’s has a strong A-Stable rating.
“FirstCaribbean made an offer that fits our requirements: their strategy is to further invest in the Curacao activities of international banking, it provides employees with additional career opportunities and it provides our clients with the comfort that their interests will be catered for in a professional manner,” said Huibert Bourneester, chief executive officer of ABN AMRO Asset Management.
“After analyzing multiple opportunities, we are confident that FirstCaribbean offers the best solution for all stakeholders involved,” he added.
ABN AMRO’s banking operations in Curacao will continue under the brand name of FirstCaribbean. After the transaction is completed, the business segment will be re-branded FirstCaribbean International Wealth Management.
Since its inception, FirstCaribbean has been rated as A-stable by Standard and Poor’s which is the highest rating of any commercial bank in the English-speaking Caribbean. The bank was formed in 2002 through the merger of the Caribbean operations of CIBC West Indies Holdings and Barclay’s Bank PLC.
Source: The Bahama Journal
